Tata Motors has said during Q3 FY2017 (October-December 2016), its commercial vehicle operations "witnessed demand shrinkage due to the demonetisation - the M&HCV segment witnessed major pressure with a fall of 9.0% YoY and the LCV segment was overall flat".
The company posted a net profit of Rs 112 crore in Oct-Dec, compared to Rs 2,953 crore in the corresponding quarter a year earlier.
On a standalone basis, the company said net loss widened to Rs1,046 crore in the December quarter from Rs137 crore a year ago.
Analysts had expected Tata Motors to post a profit of 22.48 billion rupees, Thomson Reuters data shows.
Revenue from the company's British unit Jaguar Land Rover (JLR) went up by 13.1% from £5,781 million to £6,537 million while its retail sales went up by 8.5% year-on-year. "That is because the JLR margin seem to be settling in to the single digit space unlike (in) the past where a 14% was a given".
Tata Motor's passenger vehicles segment grew by 25.4% Y-o-Y with auto segment growth of 31.1% Y-o-Y due to a strong response to its model Tiago.
The company received payback worth 85 million pounds (over Rs 710 crore) from Chinese insurance companies for the Janjin blasts in 2015 which led to a loss of over 240 million pounds of inventory, Ramakrishnan said.
Shares in Tata Motors, part of the sprawling tea-to-steel conglomerate, fell 7.3 per cent on the Bombay Stock Exchange on Tuesday.
Tata Motors Ltd.'s quarterly profit plunged 97 percent after margins at its luxury Jaguar Land Rover unit narrowed and costs surged.
"What is it that we need to be a high performance organisation - being lean, it's about being agile and it's about having clearly addressed and delegated accountability", Mr. Butschek said.
Prime Minister Narendra Modi's so-called demonetization drive removed around 86 percent of India's cash at a stroke, triggering massive queues outside banks and a daunting cash shortage that has hit businesses across the country. The United States accounts for about 25% of JLR's sales.