Archive · 13 Nov 2025
Tata Motors CV Reports Rs 867 Crore Loss in Q2 FY26 Due to Impairment Charge
Tata Motors' commercial vehicle division had a tough second quarter for the 2025-26 financial year, losing Rs 867 crore.
This loss happened because they had to account for a one-time charge on an investment they made in another company, Tata Capital.
Even though they lost money, they actually sold more vehicles this quarter compared to last year, and their total sales money increased by about 6%.
The company is happy because after a slow start to the year, demand for their trucks and buses picked up a lot as a new tax system (GST 2.0) was introduced and the holiday season started.
They saw a 12% increase in how many vehicles they sold, thanks to having more vehicles available, better pricing, and more marketing efforts.
Tata Motors Commercial Vehicles reported a loss of Rs 867 crore in Q2 FY26, compared to a profit of Rs 498 crore in Q2 FY25.
Consolidated revenue for Q2 FY26 was Rs 18,491 crore, an increase of 6.26% year-on-year from Rs 17,402 crore.
The loss was primarily due to a one-time impairment charge related to an investment in Tata Capital.
Company reported a 12% year-on-year volume growth, with demand surging due to GST 2.0 and the festive season.
Girish Wagh, MD & CEO, highlighted improved product availability, pricing strategy, and market activations as drivers for volume growth.
- Who
- Tata Motors Commercial Vehicles
- What
- Reported a loss of Rs 867 crore in Q2 FY26, despite a 6.26% YoY revenue growth.
- When
- Second quarter of FY26
- Where
- India
- Why
- Primarily due to a one-time impairment charge related to an investment in Tata Capital, although demand surged due to GST 2.0 and the festive season.
Financial Performance Challenges
Market Demand and Operational Recovery
Profitability vs. Revenue Growth
Financial Performance Challenges
Tata Motors Commercial Vehicles incurred a loss of Rs 867 crore in Q2 FY26, a significant decline from a profit of Rs 498 crore in the same quarter last fiscal year.
Market Demand and Operational Recovery
Despite the loss, consolidated revenue saw a 6.26% year-on-year increase, reaching Rs 18,491 crore, driven by a 12% volume growth.
Cause of Loss
Financial Performance Challenges
The loss was primarily attributed to a one-time impairment charge related to an investment in Tata Capital.
Market Demand and Operational Recovery
The company is experiencing a surge in demand across segments, catalyzed by the rollout of GST 2.0 and the festive season, leading to increased sales volumes.
- Q2 FY26 Commercial Vehicles Loss
- Rs 867 crore
- Q2 FY25 Commercial Vehicles Profit
- Rs 498 crore
- Q2 FY26 Consolidated Revenue
- Rs 18,491 crore
- Q2 FY25 Consolidated Revenue
- Rs 17,402 crore
- Year-on-Year Revenue Growth
- 6.26%
- Volume Growth (YoY)
- 12%
Sources
Tata Motors (CV) shares slip after strong market debut; analysts remain positive on growth outlook
Tata Motors’ commercial vehicles were always profitable and passenger cars were not so: N Chandrasekaran
Tata Motors CV arm share listing lifts Nifty 50 count to 51 stocks. How will it impact index rebalancing?
Tata Motors Commercial Vehicles listing a ‘Defining Moment’ in company’s journey: N Chandrasekaran
Tata Motors demerger ends cross-subsidy: Chandrasekaran
Tata Motors Commercial Vehicles demerged stock gets listed at a premium on exchanges
Tata Motors CV shares list at 26% premium
Tata Motors share price falls 3% ahead of earnings announcement
Tata Motors CV shares list at 28% premium, morning trading volatile
Tata Motors demerger: What is cost split ratio? Check details of cost allocation ratio announced by company
Tata Motors' CV arm lists on BSE, seeks clean mobility, tech-led growth
Tata Motors Q2 Results: Commercial Vehicles arm posts ₹867 crore net loss; revenue at ₹18,585 crore — Details here
Tata Steel profit surges nearly 4x
