$TTM we alerted about a week ago with at target of
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Posted On: 01/31/2013 7:48:08 AM
$TTM we alerted about a week ago with at target of $32
Jaguar Land Rover: Auto Maker Boosted by Weaker Sterling
By Marietta Cauchi
LONDON--U.K.-based Jaguar Land Rover said Thursday that the weak sterling is generally good for business because the Indian-owned luxury auto maker exports the majority of its Jaguar and Land Rover models.
"In general terms weaker sterling is favourable for U.K. exporters like JLR," said Jaguar Land Rover Chief Financial Officer Kenneth Gregor.
Jaguar Land Rover exports 80% of its vehicles, but some 20% of these exports are sold in Europe where the company also sources parts.
"In terms of the euro, we also source components in Europe as well as sell cars there, so there are both favourable and unfavourable effects on that [sterling/euro] currency pairing for us," Mr. Gregor added.
Jaguar Land Rover was bought by Tata Motors Ltd. (TTM) from Ford Motor Co. (F) in 2008 for $2.3 billion and under its new owner has invested heavily in both product development and expanding its global footprint, in particular in China where sales of its luxury marques increased 71% in 2012.
However, just last week the company spooked investors with a rare profit warning because it had sold more lower-end than premium versions of its sporty SUV. Jaguar Land Rover said that profit for the October-December quarter would be slightly "lower."
Jaguar Land Rover is the single largest contributor to parent Tata Motors' profit.
Write to Marietta Cauchi at marietta.cauchi@dowjones.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
Jaguar Land Rover: Auto Maker Boosted by Weaker Sterling
By Marietta Cauchi
LONDON--U.K.-based Jaguar Land Rover said Thursday that the weak sterling is generally good for business because the Indian-owned luxury auto maker exports the majority of its Jaguar and Land Rover models.
"In general terms weaker sterling is favourable for U.K. exporters like JLR," said Jaguar Land Rover Chief Financial Officer Kenneth Gregor.
Jaguar Land Rover exports 80% of its vehicles, but some 20% of these exports are sold in Europe where the company also sources parts.
"In terms of the euro, we also source components in Europe as well as sell cars there, so there are both favourable and unfavourable effects on that [sterling/euro] currency pairing for us," Mr. Gregor added.
Jaguar Land Rover was bought by Tata Motors Ltd. (TTM) from Ford Motor Co. (F) in 2008 for $2.3 billion and under its new owner has invested heavily in both product development and expanding its global footprint, in particular in China where sales of its luxury marques increased 71% in 2012.
However, just last week the company spooked investors with a rare profit warning because it had sold more lower-end than premium versions of its sporty SUV. Jaguar Land Rover said that profit for the October-December quarter would be slightly "lower."
Jaguar Land Rover is the single largest contributor to parent Tata Motors' profit.
Write to Marietta Cauchi at marietta.cauchi@dowjones.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
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