JLR expect new launches to drive sales

Despite the pandemic fear looming large across the globe, auto major, Tata Motors surprised the street with its Jaguar Land Rover unit returning to profit in Q2FY21, reporting a significant improvement in positive cash flow in the quarter, as sales and revenue recovered from the impact of COVID-19 in Q1FY21, but remained below pre-pandemic levels from a year ago. Industry experts feel the positive trend is likely to continue as the company is planning a series of new launches in the coming quarters. Analysts says, while JLR’s near-term volumes may be at risk from a potential second wave of COVID-19, JLR’s mixed improvement and tight cost capital expenditure control would drive sharp improvement in operating performance and debt reduction in the coming quarters. Also, new launches are likely to drive sales of the company going forward. The positive sales are expected to continue and things are expected to improve as the vaccine for COVID-19 is expected to be available in the coming months.  A gradual improvement in sales is expected to continue and will be supported by new and refreshed products, including the refreshed Jaguar F-PACE as well as 2021 model year Range Rover Velar, Jaguar XF and Jaguar XE.