Carmaker optimistic despite slump in profits
The Coventry-based carmaker made £109m after tax between April and June, down from £351m in 2025.
Jaguar Land Rover (JLR) reported a significant decline in pre-tax profits, reaching £109 million compared to £351 million during the same quarter in 2025. The Coventry-based automaker attributed this downturn primarily to the conflict in the Middle East and a decrease in vehicle sales.
Further impacting profitability, a fire at a key components supplier in Norway contributed to profits falling to £66 million in the first three months of the financial year, a stark contrast to £248 million in the corresponding period of 2025. Revenues for the three months ending in June dropped to £6 billion, with sales experiencing a 9.2% decrease.
P.B. Balaji, JLR's chief executive officer, expressed optimism, stating, "Despite the near-term industry challenges, we continue to see strong demand for our brands and look forward to the launch of new products in the coming months."
This profit slump follows closely on the heels of JLR's announcement of approximately 300 redundancies two weeks prior. The company also confirmed plans for up to 300 job cuts, less than a year after a cyber-attack disrupted production for five weeks, costing JLR nearly £2 billion.
In a statement, Jaguar Land Rover Automotive PLC acknowledged, "Despite the supply constraints and market disruption faced by the business, the first quarter has been profitable." The statement added, "A combination of the recently announced growth objectives and the exciting product launches due in the coming months leaves JLR in good shape whilst acknowledging the continuing geopolitical, inflationary and regulatory challenges the industry faces."
JLR also noted that the planned discontinuation of current Jaguar models, in anticipation of the all-electric Jaguar Type 01 launch, had an impact on the latest profit figures.