Tata Motors has commenced the development of its gigafactory in United Kingdom’s Somerset with the project’s financial closure currently underway. During a post-earnings conference call, Tata Motors Group Chief Financial Officer PB Balaji noted the company’s resilience amidst challenges such as the Red Sea crisis, stating it remains manageable.
The December quarter saw Tata Motors achieve remarkable results, with a 133.2 per cent surge in net profit to Rs 7,100 crore and a consolidated revenue increase of 25 per cent to Rs 1,10,600 crore. Balaji affirmed land-levelling work has already begun at the site in Somerset, following the announcement made in July last year regarding plans for a global battery cell giga factory, representing an investment of over 4 billion pounds to facilitate the automotive sector’s shift towards electric mobility.
“We are making significant progress in executing our plans in the UK. Financial closure for the project is also underway, and operations on the ground are proceeding smoothly,” Balaji stated, exuding confidence in the project’s advancement despite minor disruptions from the Red Sea crisis. He elaborated on measures to mitigate the impact of crisis, including rerouting strategies to minimize delays.
Regarding Electric Vehicle or EV sales, Balaji accentuated the consistent growth trajectory, stressing that EV and CNG segments are experiencing robust expansion without cannibalization. Tata Motors aims to achieve 25-30 per cent of sales from EVs in fiscal years 2025 and 2026, reflecting the company’s commitment to sustainable mobility and technological advancement.
