Tata Motors is among today's top losers at the Market. Know why

Tata Motors Ltd., India's top vehicle maker, figured in the top losers list on the futures and options market after the auto giant reported a tepid set of earnings mainly on account of lower unit sales of luxury vehicles.

Tata Motors said its first quarter consolidated profit fell 49 percent to 2,769 crore rupees compared with 5,398 crore in the year ago period. Its Sales during April-June slipped 5.7 percent to 61,020 crore rupees from 64,683 crore rupees in the same period a year ago as it sold lesser Jaguars and Land Rovers.

Sales of JLR vehicles fell 3.7 percent on year to 110,648 vehicles in the past three months, the company said in a release to the exchanges. Tata said it saw initial signs of recovery in the local sales of medium to heavy vehicles, which saw strong revenue growth.

The results were announced after markets shut for Friday.

Shares of Tata Motors fell 1.3 percent, or 5 rupees, or 388.45 rupees, their lowest since March 2014, on the National Stock Exchange. There was a build up of short positions seen on the counter, which was the top traded future with 25,370 contracts being traded by 10:35 AM.

Tata Motors' market capitalisation has fallen 25 percent in the past three months to 1.33 lakh crore rupees on fears of a protracted slowdown in Chinese markets, the main home to JLR sales.

Image credit: Indiatimes