Edgar Filing: TATA MOTORS LTD/FI

Form 6-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

Report of Foreign Issuer

Pursuant to Rule 13a-16 or 15d-16 of

the Securities Exchange Act of 1934

For the Month of November 2014

Commission File Number: 001-32294

LOGO

TATA MOTORS LIMITED

(Translation of registrant’s name into English)

BOMBAY HOUSE

24, HOMI MODY STREET,

MUMBAI 400 001, MAHARASHTRA, INDIA

Telephone # 91 22 6665 8282 Fax # 91 22 6665 7799

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F x Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes ¨ No x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes ¨ No x

Indicate by check mark whether by furnishing the information contained in this Form, the Registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:

Yes ¨ No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g 3-2(b): Not Applicable

TABLE OF CONTENTS

Item 1: Form 6-K dated November 17, 2014 along with the Press Release.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorised.

Tata Motors Limited

By: /s/ Hoshang K Sethna

Name: Hoshang K Sethna

Title: Company Secretary

Dated: November 17, 2014

LOGO

JAGUAR
LAND ROVER
JAGUAR LAND ROVER AUTOMOTIVE PLC
INTERIM REPORT
THREE AND SIX MONTHS ENDED
30 SEPTEMBER 2014

Contents


Management’s discussion and analysis of financial condition and results of operations			2

General trends in performance (including results of operations)			3
Performance in key geographical markets on retail basis			4
Business risks and mitigating factors			5
Employees			5
Cash flow			5
Liquidity and capital resources			5
Subsequent events			5
Borrowings			6
Acquisitions and disposals			6
Off-balance sheet financial arrangements			6
Board of Directors			6

Condensed consolidated financial statements

Consolidated Income Statement			7
Consolidated Statement of Comprehensive Income			7
Consolidated Balance Sheet			8
Consolidated Statement of Changes in Equity			9
Consolidated Cash Flow Statement			10
Notes			11

This report uses:

Group, Company, Jaguar Land Rover and JLR to refer to Jaguar Land Rover Automotive plc and its subsidiaries.

EBITDA – measured as earnings before tax and adding back depreciation, amortisation, finance income, finance expense, foreign exchange gains/(losses) on financing and unrealised derivatives, unrealised commodity gains/(losses) and share of gains/(losses) from joint ventures.

PBT – profit before tax.

Net cash – measured as cash and cash equivalents and short term deposits less total borrowings (including secured and unsecured borrowings and factoring facilities, but excluding finance leases).

Free cash flow – measured as the net change in cash and cash equivalents, less net cash in financing activities, less movement in short term deposits.

Product and other investment – measured as cash outflows relating to tangible assets (net of proceeds from disposals of tangible assets), intangible assets, expensed R&D and investment in joint ventures.

FY15 – Year ending 31 March 2015

FY14 – Year ended 31 March 2014

H1 – 6 months ended 30 September

Q2 – 3 months ended 30 September

Q1 – 3 months ended 30 June

Management’s discussion and analysis of financial condition and results of operations

Q2 FY15 was another solid quarter for Jaguar Land Rover:

•

Retail volumes of 110,781 units, up 8% from Q2 FY14 with Land Rover up 10% and Jaguar down 2%

•

Revenue £4.8 billion, up £0.2 billion

•

EBITDA £933 million, up £124 million with EBITDA margin of 19.4%, up 1.9 ppt

•

PBT £609 million, down £59 million

•

Free cash flow of £497 million after total investment of £763 million, before financing costs

•

Cash and financial deposits £3.8 billion and undrawn long-term committed bank lines £1.3 billion

The increase in sales reflects the continued success of Range Rover, Range Rover Sport and the Jaguar F-Type.

Strong sales growth has been evident across the majority of markets, most notably in the UK and China (our largest market) and other parts of Asia.

The quarter was supported by more favourable macroeconomic conditions, in general, evidenced by the robust growth in the US and UK with continued growth in China. Economic conditions have been flatter in Europe and more challenging in other markets such as Russia and Brazil.

Although the US Dollar and Chinese Renminbi have recently strengthened against the Pound, the same exchange rates were generally less favourable during Q2 FY15 compared to the same period last year. The Russian Rouble and other emerging market currencies were also weaker given economic and geo-political events. Prices for base and precious metals have generally softened over the quarter.

In the six months to 30 September, revenue has grown 17% and PBT has grown by 42%over the equivalent period a year ago.

The continued success of both brands, most notably Range Rover, Range Rover Sport and F-Type models coupled with a favourable market mix, increased the EBITDA margin for the quarter to 19.4%, up 1.9 ppt compared to the same quarter in the prior year. The EBITDA margin for the 6 months to 30 September was 19.9%, up 3.2 ppt compared to the same period last year.

The Company continues to invest significantly in R&D and capital expenditure (e.g. new assembly hall at Solihull, new engine manufacturing plant at Wolverhampton and investment in new China manufacturing JV), spending £763 million in Q2 FY15, up £106 million compared to Q2 FY14. Investment in R&D and capital expenditure for the 6 months ended 30 September 2014 totalled £1.4 billion compared to £1.2 billion over the same period last year. The Company has indicated that total investment will be in the region of £3.5 - £3.7 billion in FY15.

Free cash flow improved during Q1 FY15 to £497 million versus £430 million in Q2 FY14 as cash from operations more than funded investment in the period. Free cash flow for the 6 months to 30 September was £502 million, compared to £89 million for the same period a year ago.

General trends in performance (including results of operations)

Overall strong volume growth

Total retail volumes were 110,781 units for the quarter, an increase of 8% compared to Q2 FY14. Retail volumes were 91,134 units for Land Rover up 10% and 19,647 units for Jaguar down 2% compared to the equivalent quarter in the prior year.

The increase in Land Rover retail volumes was driven by higher sales of Range Rover and Range Rover Sport.

The decrease in Jaguar retail volumes reflects lower Jaguar XF and XJ sales volumes in the period, partially offset by continuing strong sales of F-Type.

Wholesale volumes for Q2 FY15 were 103,975 units, an increase of 2% on the equivalent quarter in the prior year. At a brand level, wholesale volumes were 86,194 units for Land Rover and 17,781 units for Jaguar.

Revenue and profits

The Company generated revenue of £4,808 million in Q2 FY15, an increase of 4% over the £4,612 million in Q2 FY14.

The EBITDA margin has improved by 1.9 ppt to 19.4%, compared to Q2 FY14. This is primarily driven by favourable product mix as Range Rover, Range Rover Sport and Jaguar F-Type continue to perform well, and a favourable market mix lead by growth in China and Asia Pacific regions.

PBT for the quarter was £609 million, down £59 million from £668 million in Q2 FY14. The decrease in PBT is more than explained by: (i) unfavourable revaluation of foreign currency debt and unrealised hedges in Q2 FY15 (£85 million), compared to positive revaluation in Q2 FY14 (£87 million) and (ii) higher depreciation and amortisation (£28 million increase).

Profit after tax for the quarter was £450 million with a 26% effective tax rate, compared to £507 million with a 24% effective tax rate for Q2 FY14, due to the booking of a one off tax credit.

EBITDA reconciliation


Three months ended 30 September (£ millions)	2014			2013
EBITDA margin		19.4	%		17.5	%
EBITDA		933			809
Adjustments:
Depreciation and amortisation		(244	)		(216	)
Foreign exchange gains/(losses) - financing		(53	)		47
Foreign exchange gains/(losses) - unrealised derivatives		(24	)		26
Unrealised commodity gains/(losses)		(8	)		14
Finance income		12			9
Finance expense (net)		(1	)		(13	)
Share of loss from joint ventures		(4	)		(8	)
Other		(2	)		—

Profit before tax		609			668

Income tax expense		(159	)		(161	)

Profit after tax		450			507

Performance in key geographical markets on retail basis


Three months ended 30 September (Units)	2014		2013		Change (%)
China		29,786		24,351		22.3	%
Europe (excluding UK)		17,227		16,426		4.9	%
UK		22,151		20,201		9.7	%
North America		17,616		18,617		(5.4	)%
Asia Pacific (excluding China)		6,702		5,495		22.0	%
All other markets		17,299		17,554		(1.5	)%

Total JLR		110,781		102,644		7.9	%

Global economic performance was mixed over the quarter. Robust employment and GDP growth coupled with buoyant consumer spending is driving improved economic conditions in the US and UK whilst China maintains growth above 7%. Growth and economic performance is more variable in the Eurozone and some emerging markets.

Economic conditions remain positive in the United Kingdom as unemployment continues to fall and healthy retail spending continues. The Scottish vote against independence caused some volatility in the Pound Sterling, and lower inflation has pushed back the expectation of interest rate rises to mid-2015 leaving the Pound Sterling weaker over the quarter. New passenger car sales in the UK were up 6.3% over the quarter compared to the same period last year and JLR continue to outperform the market with retail volumes up 9.7%.

Growth in the United States is continuing as GDP rises and unemployment falls (now below 6% for the first time since 2008). Sustained consumer confidence and an improvement in employment helped new passenger car sales grow by 6.8% over the quarter compared to the same period last year. JLR sales in the US fell by 7.5% compared to Q2 last year due partly to production scheduling.

Growth in Europe remains sluggish as Italy’s economy returned to recession and the slowdown in Germany and France impacts the fragile economic recovery. The ECB have dropped interest rates further and consumer confidence is softening. Despite the weaker economic environment, there was a modest rise in new passenger car sales of 1.7% and 4.1% in France and Germany respectively and sales growth in Spain was particularly strong at 16.2%. Against this backdrop, JLR managed to maintain robust sales growth in Europe up 4.9% over the quarter compared to the same period last year.

Despite fears of a slowing Chinese economy, growth remains above 7% supported by fiscal stimulus from the government to maintain their GDP growth target of 7.5%. New vehicle sales remain buoyant with growth of 8.1% compared to the same period last year and JLR sales outpaced the market once more with retail sales growth of 22.4%.

Challenging economic and political conditions continue in some of the other emerging markets. In Brazil, falling production, retail spending, consumer confidence and the uncertainty surrounding the run up to the recent presidential elections contributed to a 14.3% drop in new vehicle sales compared to the same period last year resulting in a fall in JLR retail sales of 11.2% over the same period. Tightening economic conditions in Russia and the present conflict with the Ukraine continues to impact the Russian economy. Despite a drop in new vehicle sales of 22.9% in Russia JLR sales were only modestly impacted, down by 2.7% over the quarter.

Business risks and mitigating factors

As discussed on pages 83-89, and elsewhere, of the Annual Report 2013-14 of the Company, Jaguar Land Rover is exposed to various business risks including but not limited to the uncertainty of global economic conditions, fluctuations of currency exchange rates and raw material prices.

Employees

At the end of Q2 FY15, Jaguar Land Rover employed 31,826 people worldwide including agency personnel (Q2 FY14: 27,948). Approximately 1,300 of the people employed are in overseas markets.

Cash flow

Free cash flow was £497 million in the quarter up £67 million from £430m in Q2 FY14. The increase reflects higher cash generated by operating activities (up £194m), offset partially by higher net cash used in investing activities excluding changes in bank deposits longer than 3 months.

Cash generated by operating activities was £1,189 million in the quarter compared to £995 million during Q2 FY14, primarily reflecting higher EBITDA and favourable working capital changes.

Investment in tangible assets (property, plant and equipment), expenditure on intangible assets (product development programs) and investment in joint ventures totalled £701 million in the quarter, compared to £595 million in Q2 FY14. The Company’s capital expenditure on tangible assets primarily relates to the introduction of new products, capacity expansion of its production facilities and continuing quality and reliability improvement projects.

Reported net cash used in investing activities of £740 million in the quarter (Q2 FY14: £425 million) includes a £48 million increase in bank deposits with a maturity of over 3 months (Q2 FY14: decrease of £140 million) which are classified as investments.

Cash used in financing activities was £54 million in the quarter, primarily reflecting £41 million of interest and fees paid relating to outstanding debt. In Q2 FY14, cash received from financing activities was £54 million, reflecting higher utilisation of short-term financing facilities.

Liquidity and capital resources

As at 30 September 2014, the Company had £2,263 million of cash and cash equivalents and a further £1,490 million of bank deposits with maturities greater than 3 months. The total amount of cash and cash equivalents includes an amount of £572 million in subsidiaries of Jaguar Land Rover outside the United Kingdom.

The cash in some of these jurisdictions is subject to restriction on remitting cash to the UK through inter-company cash pooling loans or interim dividends although annual dividends are generally permitted.

In addition, the Company had a £1,325 million undrawn committed credit facility with £994 million maturing in July 2018 and the balance maturing in July 2016. The Company also had £51 million of undrawn shorter-term committed credit facilities.

Subsequent events

On 31 October 2014, the Company issued USD 500 million (approximately £300 million) 4.250% Senior Notes due 2019. The Company intends to use the net proceeds from the issue and sale of the Senior Notes for general corporate purposes, including support for the on-going growth and capital spending plan.

Borrowings

The following table shows details of the Company’s financing arrangements as at 30 September 2014.


(£ millions)	Facility amount		Outstanding			Undrawn		First call date
Committed
£500m 8.25% Senior Notes due 2020*		500		500			—		Mar-2016
£400m 5% Senior Notes due 2022**		400		400			—		n/a
$410m 8.125% Senior Notes due 2021*		252		252			—		May-2016
$500m 5.625% Senior Notes due 2023*		308		308			—		Feb-2018
$700m 4.125% Senior Notes due 2018**		430		430			—		n/a
Revolving 3 and 5 year credit facilities		1,325		—			1,325
Receivable factoring facilities		215		164			51

Subtotal		3,430		2,054			1,376

Prepaid costs		—		(22	)		—

Total		3,430		2,032			1,376

*	The Notes are guaranteed on a senior unsecured basis by the guarantors Jaguar Land Rover Limited, Jaguar Land Rover Holdings Limited, Land Rover Exports Limited, JLR Nominee Company Limited and Jaguar Land Rover North America LLC.

**	The Notes are guaranteed on a senior unsecured basis by the guarantors Jaguar Land Rover Limited and Jaguar Land Rover Holdings Limited.

Acquisitions and disposals

There were no material acquisitions or disposals in the period.

Off-balance sheet financial arrangements

The Company has no off-balance sheet financial arrangements other than commitments disclosed in the condensed consolidated financial statements.

Board of Directors

The following table provides information with respect to members of the Board of Directors of Jaguar Land Rover:


Name	Position	Year appointed as Director, Chief Executive Officer
Cyrus P Mistry	Chairman and Director	2012
Andrew M. Robb	Director	2009
Dr. Ralf D. Speth	Chief Executive Officer and Director	2010
Nasser Mukhtar Munjee	Director	2012
Chandrasekaran Ramakrishnan	Director	2012

Condensed Consolidated Income Statement

For the three and six months ended 30 September 2014 (unaudited)


		Three months ended						Six months ended
		30 September 2014			30 September 2013			30 September 2014			30 September 2013
(£ millions)	Note	(unaudited)			(unaudited)			(unaudited)			(unaudited)
Revenue			4,808			4,612			10,161			8,709
Material and other cost of sales			(2,904	)		(2,827	)		(6,203	)		(5,317	)
Employee cost			(463	)		(390	)		(892	)		(751	)
Other expenses			(939	)		(937	)		(1,866	)		(1,744	)
Net impact of commodity derivatives			(7	)		10			8			(9	)
Development costs capitalised	2		274			259			547			501
Other income			32			96			56			109
Depreciation and amortisation			(244	)		(216	)		(478	)		(418	)
Foreign exchange gain			45			73			192			43
Finance income	3		12			9			23			18
Finance expense (net)	3		(1	)		(13	)		(5	)		(46	)
Share of loss from joint ventures			(4	)		(8	)		(10	)		(12	)

Profit before tax			609			668			1,533			1,083

Income tax expense			(159	)		(161	)		(390	)		(272	)

Profit for the period			450			507			1,143			811

Condensed Consolidated Statement of Comprehensive Income

For the three and six months ended 30 September 2014 (unaudited)


	Three months ended						Six months ended
	30 September 2014			30 September 2013			30 September 2014			30 September 2013
(£ millions)	(unaudited)			(unaudited)			(unaudited)			(unaudited)
Profit for the period		450			507			1,143			811
Items that will not be reclassified subsequently to profit or loss:
Remeasurement of defined benefit obligation		(80	)		(160	)		(194	)		(278	)
Income tax related to items that will not be reclassified		16			(3	)		39			24

		(64	)		(163	)		(155	)		(254	)

Items that may be reclassified subsequently to profit or loss:
Gain on effective cash flow hedges		(475	)		657			(412	)		817
Cash flow hedges reclassified to foreign exchange gain in profit or loss		(69	)		(1	)		(158	)		(47	)
Currency translation differences		11			—			—			—
Income tax related to items that may be reclassified		109			(135	)		114			(161	)

		(424	)		521			(456	)		609

Other comprehensive expense net of tax		(488	)		358			(611	)		355

Total comprehensive income attributable to shareholders		(38	)		865			532			1,166

Condensed Consolidated Balance Sheet


		30 September 2014		31 March 2014
As at (£ millions)	Note	(unaudited)		(audited)
Non-current assets
Equity accounted investees			207		145
Other financial assets			270		473
Property, plant and equipment			3,725		3,184
Intangible assets			4,589		4,240
Other assets			59		33
Deferred income taxes			373		284

Total non-current assets			9,223		8,359

Current assets
Cash and cash equivalents			2,263		2,260
Short term deposits			1,490		1,199
Trade receivables			748		831
Other financial assets	5		268		392
Inventories	6		2,276		2,174
Other current assets	7		237		355
Current tax assets			16		19

Total current assets			7,298		7,230

Total assets			16,521		15,589

Current liabilities
Accounts payable			4,609		4,787
Short term borrowings	13		165		167
Other financial liabilities	10		407		277
Provisions	11		418		395
Other current liabilities	12		426		395
Current tax liabilities			109		113

Total current liabilities			6,134		6,134

Non-current liabilities
Long term debt	13		1,867		1,843
Other financial liabilities	10		164		69
Provisions	11		591		582
Retirement benefit obligation	16		935		674
Other non-current liabilities			91		77
Deferred tax liabilities			493		346

Total non-current liabilities			4,141		3,591

Total liabilities			10,275		9,725

Equity attributable to shareholders
Ordinary shares			1,501		1,501
Capital redemption reserve			167		167
Reserves	14		4,578		4,196

Equity attributable to shareholders			6,246		5,864

Total liabilities and equity			16,521		15,589

These condensed consolidated interim financial statements were approved by the board of directors.

Company registered number: 6477691

Condensed Consolidated Statement of Changes in Equity


(£ millions)	Ordinary shares		Capital redemption reserve		Other reserves			Total Equity
Balance at 31 March 2014 (audited)		1,501		167		4,196			5,864
Profit for the period		—		—		1,143			1,143
Other comprehensive expense for the period		—		—		(611	)		(611	)

Total comprehensive income		—		—		532			532

Dividend paid		—		—		(150	)		(150	)

Balance at 30 September 2014 (unaudited)		1,501		167		4,578			6,246


(£ millions)	Ordinary shares		Capital redemption reserve		Other reserves			Total Equity
Balance at 31 March 2013 (audited)		1,501		167		1,871			3,539
Profit for the period		—		—		811			811
Other comprehensive expense for the period		—		—		355			355

Total comprehensive income		—		—		1,166			1,166

Dividend paid		—		—		(150	)		(150	)

Balance at 30 September 2013 (unaudited)		1,501		167		2,887			4,555

Condensed Consolidated Cash Flow Statement

For the three and six months ended 30 September 2014 (unaudited)


	Three months ended						Six months ended
	30 September			30 September			30 September			30 September
	2014			2013			2014			2013
(£ millions)	(unaudited)			(unaudited)			(unaudited)			(unaudited)
Cash flows from operating activities
Profit for the period		450			507			1,143			811
Adjustments for:
Depreciation and amortisation		244			216			478			418
Loss on sale of assets		—			—			1			—
Foreign exchange loss/(gain) on loans		53			(47	)		26			(52	)
Income tax expense		159			161			390			272
(Gain)/loss on embedded derivative		—			(9	)		—			3
Finance expense (net)		1			22			5			43
Finance income		(12	)		(9	)		(23	)		(18	)
Foreign exchange loss/(gain) on derivatives		24			(26	)		—			(38	)
Foreign exchange gain on short term deposits		(11	)		—			(20	)		—
Share of loss from joint ventures		4			8			10			12

Cash flows from operating activities before changes in assets and liabilities		912			823			2,010			1,451

Trade receivables		61			(54	)		84			110
Other financial assets		—			228			(12	)		283
Other current assets		153			161			119			312
Inventories		(148	)		29			(102	)		(290	)
Other non-current assets		(9	)		(4	)		(9	)		(4	)
Accounts payable		160			18			(254	)		(132	)
Other current liabilities		98			48			31			(153	)
Other financial liabilities		7			(246	)		(4	)		(285	)
Other non-current liabilities and retirement benefit obligations		34			10			80			41
Provisions		(8	)		51			38			44

Cash generated from operations		1,260			1,064			1,981			1,377

Income tax paid		(71	)		(69	)		(172	)		(266	)

Net cash generated from operating activities		1,189			995			1,809			1,111

Cash flows used in investing activities
Investment in joint ventures		—			—			(72	)		—
Movements in other restricted deposits		(1	)		20			1			61
Investment in short term deposits		(48	)		140			(273	)		105
Purchases of property, plant and equipment		(367	)		(321	)		(655	)		(570	)
Proceeds from sale of property, plant and equipment		1			—			1			—
Cash paid for intangible assets		(335	)		(274	)		(604	)		(533	)
Finance income received		10			10			22			20

Net cash used in investing activities		(740	)		(425	)		(1,580	)		(917	)

Cash flows from financing activities
Finance expenses and fees paid		(41	)		(38	)		(67	)		(84	)
Proceeds from issuance of short term debt		—			100			—			101
Repayment of short term debt		(11	)		(6	)		(6	)		(101	)
Payments of lease obligations		(2	)		(2	)		(3	)		(3	)
Dividends paid		—			—			(150	)		(150	)

Net cash used in financing activities		(54	)		54			(226	)		(237	)

Net change in cash and cash equivalents		395			624			3			(43	)
Cash and cash equivalents at beginning of period		1,868			1,405			2,260			2,072

Cash and cash equivalents at end of period		2,263			2,029			2,263			2,029

Notes (forming part of the condensed consolidated financial statements)

1	Accounting policies Basis of preparation

The information for the three months ended 30 September 2014 is unaudited and does not constitute statutory accounts as defined in Section 435 of the Companies Act 2006. The condensed consolidated interim financial statements of Jaguar Land Rover Automotive plc have been prepared in accordance with International Accounting Standard 34, ‘‘Interim Financial Reporting” under IFRS as adopted by the European Union (‘EU’).

The condensed consolidated interim financial statements have been prepared on a historical cost basis except for certain financial instruments held at fair value. These financial instrument valuations are classified as level 2 fair value measurements, as defined by IFRS 13, being those derived from inputs other than quoted prices which are observable. There have been no changes in the valuation techniques used or transfers between fair value levels from those set out in the annual consolidated financial statements for the year ended 31 March 2014.

The condensed consolidated interim financial statements should be read in conjunction with the annual consolidated financial statements for the year ended 31 March 2014, which were prepared in accordance with IFRS as adopted by the EU. There were no difference between those financial statements and the financial statements for the group prepared under IFRS as adopted by the International Accounting Standards Board.

The condensed consolidated interim financial statements have been prepared on the going concern basis as set out within the directors’ statement of responsibilities section of the group’s annual report for the year ended 31 March 2014.

The accounting policies applied are consistent with those of the annual consolidated financial statements for the year ended 31 March 2014, as described in those financial statements.

2	Research and development


	Three months ended						Six months ended
	30 September			30 September			30 September			30 September
	2014			2013			2014			2013
(£ millions)	(unaudited)			(unaudited)			(unaudited)			(unaudited)
Total R&D costs		336			321			662			613
R&D expensed		(62	)		(62	)		(115	)		(112	)

Development costs capitalised		274			259			547			501

Interest capitalised		29			22			59			47
R&D tax credit		(13	)		(23	)		(26	)		(23	)

Total internally developed intangible additions		290			258			580			525

3	Finance income and expense

Recognised in net income


	Three months ended						Six months ended
	30 September			30 September			30 September			30 September
	2014			2013			2014			2013
(£ millions)	(unaudited)			(unaudited)			(unaudited)			(unaudited)
Finance income		12			9			23			18

Total finance income		12			9			23			18

Total interest expense on financial liabilities measured at amortised cost		(33	)		(53	)		(71	)		(99	)
Unwind of discount on provisions		2			4			6			4
Interest capitalised		30			27			60			52

Finance expense		(1	)		(22	)		(5	)		(43	)

Embedded derivative value movement		—			9			—			(3	)

Total finance expense (net)		(1	)		(13	)		(5	)		(46	)

The capitalisation rate used to calculate borrowing costs eligible for capitalisation was 6.0% (six months to 30 September 2013: 7.5%).

Notes (continued)

4	Allowances for trade and other receivables

Changes in the allowances for trade and other receivables are as follows:


	30 September 2014		31 March 2014
As at (£ millions)	(unaudited)		(audited)
At beginning of period		8		10
Change in allowance during the period		3		(1	)
Written off		—		(1	)

At end of period		11		8

5	Other financial assets - current


	30 September 2014		31 March 2014
As at (£ millions)	(unaudited)		(audited)
Advances and other receivables recoverable in cash		22		22
Derivative financial instruments		231		361
Other		15		9

Total current other financial assets		268		392

6	Inventories


	30 September 2014		31 March 2014
As at (£ millions)	(unaudited)		(audited)
Raw materials and consumables		87		75
Work in progress		250		211
Finished goods		1,939		1,888

Total inventories		2,276		2,174

7	Other current assets


	30 September 2014		31 March 2014
As at (£ millions)	(unaudited)		(audited)
Recoverable VAT		95		237
Prepaid expenses		94		70
Other		48		48

Total current other assets		237		355

8	Taxation

Recognised in the income statement

The income tax for the 3 month and 6 month periods ended 30 September 2014 and 30 September 2013 is charged at the estimated effective tax rate expected to apply for the applicable financial year ends.

9	Capital expenditure

Capital expenditure in the period was £755 million (3 month period to 30 September 2013: £558 million) on fixed assets and £641 million (3 month period to 30 September 2013: £588 million) was capitalised as intangible engineering assets (excluding the R&D tax credit). There were no impairments, material disposals or changes in use of assets.

Notes (continued)

10	Other financial liabilities


	30 September 2014		31 March 2014
As at (£ millions)	(unaudited)		(audited)
Current
Finance lease obligations		5		5
Interest accrued		22		24
Derivative financial instruments		196		65
Liability for vehicles sold under a repurchase arrangement		184		183

		407		277

Non-current
Finance lease obligations		11		13
Derivative financial instruments		152		55
Other payables		1		1

		164		69

11	Provisions


	30 September 2014		31 March 2014
As at (£ millions)	(unaudited)		(audited)
Current
Product warranty		362		343
Legal and product liability		53		49
Provisions for residual risk		2		2
Other employee benefits obligations		1		1

Total current provisions		418		395

Non-current
Other employee benefits obligations		7		10
Product warranty		553		538
Provision for residual risk		10		13
Provision for environmental liability		21		21

Total non-current provisions		591		582


	Six months ended			Year ended
	30 September 2014			31 March 2014
(£ millions)	(unaudited)			(audited)
Product warranty
Opening balance		881			743
Provision made during the period		226			541
Provision used during the period		(178	)		(397	)
Impact of discounting		(6	)		(6	)
Foreign currency translation		(8	)		—

Closing balance		915			881

Legal and product liability
Opening balance		49			16
Provision made during the period		7			41
Provision used during the period		(3	)		(5	)
Foreign currency translation		—			(3	)

Closing balance		53			49

Notes (continued)

11	Provisions (continued)


(£ millions)	Six months ended 30 September 2014 (unaudited)			Year ended 31 March 2014 (audited)
Residual risk
Opening balance		15			15
Provision made during the period		—			2
Provision used during the period		—			—
Unused amount released in the period		(3	)		—
Foreign currency translation		—			(2	)

Closing balance		12			15

Environmental liability
Opening balance		21			22
Provision made during the period		—			—
Provision used during the period		—			(1	)

Closing balance		21			21

Product warranty provision

The group offers warranty cover in respect of manufacturing defects, which become apparent within a year and up to five years after purchase, dependent on the market in which the purchase occurred.

Legal and product liability provision

A legal and product liability provision is maintained in respect of known litigation which impacts the group. In the main the provision relates to motor accident claims, consumer complaints, dealer terminations, employment cases and personal injury claims.

Residual risk provision

In certain markets, the group is responsible for the residual risk arising on vehicles sold by dealers on leasing arrangements. The provision is based on the latest available market expectations of future residual value trends. The timing of the outflows will be at the end of the lease arrangements – being typically up to three years.

Environmental risk provision

This provision relates to various environmental remediation costs such as asbestos removal and land clean up. The timing of when these costs will be incurred is not known with certainty.

12	Other current liabilities


As at (£ millions)	30 September 2014 (unaudited)		31 March 2014 (audited)
Liabilities for advances received		313		253
Deferred revenue		23		19
VAT		59		85
Others		31		38

Total current other liabilities		426		395

Notes (continued)

13	Interest bearing loans and borrowings


As at (£ millions)	30 September 2014 (unaudited)			31 March 2014 (audited)
EURO MTF listed debt		1,867			1,843
Loans from banks		165			167
Finance lease liabilities		16			18

Total borrowings		2,048			2,028

Less:
Current bank loan		(165	)		(167	)

Total short term borrowings		(165	)		(167	)

Current portion of finance lease obligations		(5	)		(5	)

Long term debt		1,878			1,856

Held as long term debt		1,867			1,843
Held as long term finance lease obligations		11			13

14	Other reserves

The movement of reserves and accumulated deficit is as follows:


(£ millions)	Translation reserve			Hedging reserve			Profit & loss reserve			Total reserves
Balance at 1 April 2014		(383	)		539			4,040			4,196
Profit for the period		—			—			1,143			1,143
Remeasurement of defined benefit obligation		—			—			(194	)		(194	)
Gain on effective cash flow hedges		—			(412	)		—			(412	)
Currency translation differences		—			—			—			—
Income tax related to items recognised in other comprehensive income		—			81			39			120
Cash flow hedges reclassified to foreign exchange in profit or loss		—			(158	)		—			(158	)
Income tax related to items reclassified to profit or loss		—			33			—			33
Dividend paid		—			—			(150	)		(150	)

Balance at 30 September 2014		(383	)		83			4,878			4,578


(£ millions)	Translation reserve			Hedging reserve			Profit & loss reserve			Total reserves
Balance at 1 April 2013		(383	)		(196	)		2,450			1,871
Profit for the year		—			—			1,879			1,879
Remeasurement of defined benefit obligation		—			—			(135	)		(135	)
Gain on effective cash flow hedges		—			1,041			—			1,041
Income tax related to items recognised in other comprehensive income		—			(220	)		(4	)		(224	)
Cash flow hedges reclassified to foreign exchange in profit or loss		—			(112	)		—			(112	)
Income tax related to items reclassified to profit or loss		—			26			—			26
Dividend paid		—			—			(150	)		(150	)

Balance at 31 March 2014		(383	)		539			4,040			4,196

Notes (continued)

15	Dividends

During the three months ended 30 September 2014, no ordinary share dividend was proposed and paid (three months to 30 September 2013: £nil).

During the six months ended 30 September 2014, an ordinary share dividend of £150 million was proposed and paid (six months to 30 September 2013: £150 million).

16	Employee benefits

Jaguar Land Rover Limited and Jaguar Land Rover Holdings Limited (previously Land Rover), have pension arrangements providing employees with defined benefits related to pay and service as set out in the rules of each fund. The following table sets out the disclosure pertaining to employee benefits of Jaguar Land Rover Limited, Jaguar Land Rover Holdings Limited, UK and overseas subsidiaries which operate defined benefit pension plans.


(£ millions)	Six months ended 30 September 2014 (unaudited)			Year ended 31 March 2014 (audited)
Change in defined benefit obligation
Defined benefit obligation, beginning of the period		6,053			6,021
Service cost		84			176
Interest cost		137			262
Actuarial losses / (gains) arising from:
- Changes in demographic assumptions		90			(39	)
- Changes in financial assumptions		467			(243	)
- Experience adjustments		—			8
Prior service costs		1			6
Foreign currency translation		—			(2	)
Member contributions		1			1
Benefits paid		(66	)		(137	)

Defined benefit obligation, at end of period		6,767			6,053

Change in plan assets
Fair value of plan assets at beginning of the period		5,382			5,365
Interest income		123			237
Remeasurement gain / (loss) on the return of plan assets, excluding amounts included in interest income		363			(407	)
Administrative expenses		(4	)		(8	)
Foreign currency translation		—			(2	)
Employer’s contributions		36			333
Members contributions		1			1
Benefits paid		(66	)		(137	)

Fair value of plan assets at end of period		5,835			5,382

Amount recognised in the balance sheet consist of
Present value of defined benefit obligations		(6,767	)		(6,053	)
Fair value of plan assets		5,835			5,382
Restriction on asset and onerous obligation		(3	)		(3	)

Net liability		(935	)		(674	)

Non-current assets		—			—
Non-current liabilities		(935	)		(674	)

Notes (continued)

16	Employee benefits (Continued)

The range of assumptions used in accounting for the pension plans in both periods is set out below:


(£ millions)	Six months ended 30 September 2014 (unaudited)		Year ended 31 March 2014 (audited)
Discount rate		4.1		4.6
Expected rate of increase in compensation level of covered employees		3.8		3.9
Inflation increase		3.3		3.4

For the valuation at 30 September 2014 and 31 March 2014, the mortality assumptions used are the SAPS base table, in particular S1NxA tables and the Light table for members of the Jaguar Executive Pension Plan. A scaling factor of 115% has been used for the Jaguar Pension Plan, 110% for the Land Rover Pension Scheme, and 105% for males and 90% for females for Jaguar Executive Pension Plan. There is an allowance for future improvements in line with the CMI (2013) projections and an allowance for long term improvements of 1.25% per annum.

17	Commitments and contingencies

In the normal course of business, the group faces claims and assertions by various parties. The group assesses such claims and assertions and monitors the legal environment on an on-going basis, with the assistance of external legal counsel wherever necessary. The group records a liability for any claims where a potential loss is probable and capable of being estimated and discloses such matters in its financial statements, if material. For potential losses that are considered possible, but not probable, the group provides a disclosure in the financial statements but does not record a liability in its accounts unless the loss becomes probable.

The following is a description of claims and assertions where a potential loss is possible, but not probable. Management believe that none of the contingencies described below, either individually or in aggregate, would have a material adverse effect on the group’s financial condition, results of operations, or cash flows.

Litigation

The group is involved in legal proceedings, both as plaintiff and as defendant and there are claims of £28 million (31 March 2014: £27 million) against the group which management have not recognised as they are not considered probable. The majority of these claims pertain to motor accident claims and consumer complaints. Some of the cases also relate to replacement of parts of vehicles and/or compensation for deficiency in the services by the group or its dealers.

Other claims

From time to time, in the normal course of business, the group may face tax claims in various jurisdictions. The group has assessed there are no contingent liabilities arising from such claims as at 30 September 2014 and 31 March 2014 as the likelihood that these will give rise to any material settlement is considered remote.

Commitments

The group has entered into various contracts with vendors and contractors for the acquisition of plant and machinery, equipment and various civil contracts of capital nature aggregating £1,290 million (31 March 2014: £940 million) and £Nil (31 March 2014: £Nil) relating to the acquisition of intangible assets.

The group has entered into various contracts with vendors and contractors which include obligations aggregating £693 million (31 March 2014: £717 million) to purchase minimum or fixed quantities of material.

Inventory of £Nil (31 March 2014: £Nil) and trade receivables with a carrying amount of £164 million (31 March 2014: £167 million) and property, plant and equipment with a carrying amount of £Nil (31 March 2014: £Nil) and restricted cash with a carrying amount of £Nil (31 March 2014: £Nil) are pledged as collateral/security against the borrowings and commitments.

There are guarantees provided in the ordinary course of business of £Nil (31 March 2014: £1 million).

Notes (continued)

18	Capital Management

The group’s objectives when managing capital are to ensure the going concern operation of its entities and to maintain an efficient capital structure to reduce the cost of capital, support the corporate strategy and to meet shareholder expectations.

The group’s policy is to borrow primarily through capital market issues to meet anticipated funding requirements and maintain sufficient liquidity. The group also maintains certain undrawn committed credit facilities to provide additional liquidity. These borrowings, together with cash generated from operations, are loaned internally or contributed as equity to certain subsidiaries as required. Surplus cash in subsidiaries is pooled (where practicable) and invested to satisfy security, liquidity and yield requirements.

The capital structure is governed according to group policies approved by the Board and is monitored by various metrics such as debt to EBITDA and EBITDA to interest ratios, as per the debt covenants and rating agency guidance. Funding requirements are reviewed periodically with any debt issuances and capital distributions approved by the Board.

The following table summarises the capital of the group:


As at (£ millions)	30 September 2014 (unaudited)		31 March 2014 (unaudited)
Short term debt		170		172
Long term debt		1,878		1,856

Total debt*		2,048		2,028

Equity		6,246		5,864

Total capital (debt and equity)		8,294		7,892

*	Total debt includes finance lease obligations of £16 million (31 March 2014: £18 million).

19	Related party transactions

The group’s related parties principally consist of Tata Sons Ltd., subsidiaries, associates and joint ventures of Tata Sons Ltd which includes Tata Motors Ltd. (the ultimate parent company), subsidiaries, associates and joint ventures of Tata Motors Ltd. The group routinely enters into transactions with these related parties in the ordinary course of business including transactions for sale and purchase of products with its associates and joint ventures. Transactions and balances with the group’s own subsidiaries are eliminated on consolidation.

The following table summarises related party transactions and balances not eliminated in the consolidated condensed interim financial statements.


	2014				2013
	(unaudited)				(unaudited)
Six months ended 30 September (£ millions)	With fellow subsidiaries, associates and joint ventures		With immediate or ultimate parent		With fellow subsidiaries, associates and joint ventures		With immediate or ultimate parent
Sale of products		7		35		—		24
Services received		75		6		54		1
Services rendered		8		—		3		—
Trade and other receivables		31		19		17		2
Accounts payable		40		3		20		—
Dividend paid		—		150		—		150

Compensation of key management personnel


Six months ended 30 September (£ millions)	2014 (unaudited)		2013 (unaudited)
Key management personnel remuneration		13		7

20	Subsequent Events

On 31 October 2014, the Company issued USD 500 million (approximately £300 million) 4.250% Senior Notes due 2019. The Company intends to use net proceeds from the issue and sale of the Senior Notes for general corporate purposes, including support for the on-going growth and capital spending plan.

LOGO

Jaguar Land Rover results for the quarter ended 30 September 2014
14 November 2014

LOGO

JAGUAR LAND ROVER
Disclaimer
Statements in this presentation describing the objectives, projections, estimates and expectations of Jaguar Land Rover Automotive plc and its direct and indirect subsidiaries (the “Company”, “Group” or “JLR”) may be “forward-looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand / supply and price conditions in the domestic and overseas markets in which the Company operates, changes in Government regulations, tax laws and other statutes and incidental factors.
Q2 FY15 represents the 3 month period from 1 July 2014 to 30 September 2014
Q2 FY14 represents the 3 month period from 1 July 2013 to 30 September 2013
Consolidated results of Jaguar Land Rover Automotive plc and its subsidiaries contained in the presentation are unaudited and presented under IFRS as approved in the EU.
2

LOGO

Participants
JAGUAR LAND ROVER
Kenneth Gregor C. Ramakrishnan
CFO Jaguar Land Rover CFO Tata Motors
Bennett Birgbauer
Treasurer Jaguar Land Rover
3

LOGO

Agenda
JAGUAR LAND ROVER
Key topics Page
Financial performance 5
Other developments 14
Closing Q&A 18
4

LOGO

Q2 FY15 financial highlights
Strong sales, revenue and profits
JAGUAR LAND ROVER
Retail volumes 110,781 for the quarter, up 8% from prior year, with Land Rover up 10% and Jaguar down 2%
Revenue £4.8bn, up £0.2bn on the prior year
EBITDA £933m, up £124m with EBITDA margin of 19.4%, up 1.9ppt from Q2 FY14
PBT of £609m, down £59m on the prior year
Free cash flow of £497m after total investment of £763m, before financing costs
Cash and financial deposits £3.8bn and undrawn long-term committed bank lines £1.3bn
Credit rating outlook revised to “Positive” by S&P (BB) and Moody’s (Ba2)
5

LOGO

Key financial metrics
JAGUAR LAND ROVER
Key metrics - IFRS
Quarter ended 30 September 6 months ended 30 September
(£ millions, unless stated) 2014 2013 Change 2014 2013 Change
Retail volumes (‘000 units) 110.8 102.6 8.2 226.4 197.4 29.0
Wholesale volumes (‘000 units) 104.0 101.9 2.0 219.2 192.6 26.6
Revenues 4,808 4,612 196 10,161 8,709 1,452
EBITDA * 933 809 124 2,020 1,456 564
EBITDA % 19.4% 17.5% 1.9% 19.9% 16.7% 3.2%
Profit before tax 609 668 (59) 1,533 1,083 450
Profit after tax 450 507 (57) 1,143 811 332
Free cash flow 497 430 67 502 89 413
Cash 3,753 2,699 1,054 3,753 2,699 1,054
*EBITDA defined to include the revaluation of current assets and liabilities and realised FX and commodity hedges but excludes the revaluation of foreign currency debt and unrealised FX and commodity hedges
6

LOGO

Solid overall performance for the quarter
JAGUAR LAND ROVER
Land Rover retail volume of 91.1.k units, up 8.5k units (10%) vs prior year - driven by Range Rover and Range Rover Sport
Jaguar retail volume of 19.7k, down 0.3k units (2%) - lower XF and XJ sales partially offset by F-Type
EBITDA of £933m (margin of 19.4%), up £124m (up 1.9ppt) from Q2 FY14, reflecting:
- increased volumes
- rich product mix supported by the on-going success of Range Rover Sport, Range Rover and Jaguar F-Type
- robust market mix, with strong sales in emerging markets
- Offset partially by less favourable foreign exchange, net of realised hedges
PBT of £609m, down £59m with the higher EBITDA offset by:
- Unfavourable revaluation of foreign currency debt and unrealised hedges
- Higher depreciation and amortisation
PAT of £450m reflects an effective tax rate of 26%
7

LOGO

Quarterly retail volumes by carline
Total retail sales of 110.8k up 8% overall
JAGUAR LAND ROVER
Jaguar - Q2 FY15 vs Q2 FY14
Down (2)% 20.0 19.7 0.7 0.9 2.6 3.2 5.1 4.4 11.6 11.2
Q2FY14 Q2FY15
F-TYPE XK XJ XF
Units in ‘000
Land Rover - Q2 FY15 vs Q2 FY14
Up 10% 82.6 9.7 11.7 30.8 12.3 14.2 3.9 91.1 13.5 19.4 29.2 10.7 14.2 4.0
Q2FY14 Q2FY15
Range Rover
Range Rover Sport
Range Rover Evoque
Discovery
Freelander
Defender
8

LOGO

Quarterly retail volumes by geography Total retail sales of 110.8k up 8% overall
JAGUAR LAND ROVER
UK Up 10% 20.2 15.6 4.6 22.2 17.4 4.8 Q2FY14 Q2FY15
North America Down (5)% 18.6 13.6 5.0 13.7 17.6 3.9 Q2FY14 Q2FY15
China Up 22% 29.8 24.4 24.1 5.7 19.8 4.6 Q2FY14 Q2FY15
Q2 FY15 UK 20.0% All Other Markets (ROW) 15.6% Asia Pacific 6.0% Europe (ex. Russia)15.6% China Region 26.9% North America 15.9% 110.8k units
Europe Up 5% 16.4 13.8 2.6 17.2 15.0 2.3 Q2FY14 Q2FY15
Asia Pacific Up 22% 5.5 4.3 1.2 6.7 5.4 1.3 Q2FY14 Q2FY15
All other markets Down (1)% 17.6 15.6 2.0 17.3 15.5 1.8 Q2FY14 Q2FY15
Q2 FY14 UK 19.7% All Other Markets (ROW) 17.1% Asia Pacific 5.4% Europe (ex. Russia) 16.0% China Region 23.7% North America 18.1% 102.6k units
Land Rover Jaguar Units in ‘000
9

LOGO

Income statement JAGUAR LAND ROVER
Consolidated income statement - IFRS
Quarter ended 30 September 6 months ended 30 September
(£ millions, unless stated) 2014 2013 Change 2014 2013 Change
Revenues 4,808 4,612 196 10,161 8,709 1,452
Material cost of sales (2,904) (2,827) (77) (6,203) (5,317) (886)
Employee costs (463) (390) (73) (892) (751) (141)
Other (expense) /Income(1) (782) (845) 63 (1,593) (1,686) 93
Product development costs capitalised 274 259 15 547 501 46
EBITDA 933 809 124 2,020 1,456 564
Depreciation and amortisation (244) (216) (28) (478) (418) (60)
Debt/unrealised hedges MTM(2) (85) 87 (172) (15) 85 (100)
Net finance (expense) / income and other(3) 5 (12) 17 6 (40) 46
Profit before tax 609 668 (59) 1,533 1,083 450
Income tax expense (159) (161) 2 (390) (272) (118)
Profit after tax 450 507 (57) 1,143 811 332
1) Includes mark to market of current assets and liabilities and realised gains on matured FX and commodity hedges
2) Includes mark to market of unrealised FX options (time value) and commodity hedges and revaluation of foreign currency debt 10
3) Includes start-up costs for the China JV

LOGO

JAGUAR LAND ROVER
Strong cash flow to support investment
Consolidated cash flow - IFRS
Quarter ended 30 September 6 months ended 30 September
(£ millions, unless stated) 2014 2013 Change 2014 2013 Change
EBITDA 933 809 124 2,020 1,456 564
Working capital changes 348 241 107 (29) (74) 45
Tax paid (71) (69) (2) (172) (266) 94
Other (21) 14 (35) (10) (5) (5)
Cash flow from operations 1,189 995 194 1,809 1,111 698
Investment in fixed and intangible assets (701) (595) (106) (1,330) (1,103) (227)
Other (including finance income) 9 30 (21) 23 81 (58)
Free cash flow (before financing) 497 430 67 502 89 413
Investment in financial deposits (48) 140 (188) (273) 105 (378)
Changes in debt (13) 92 (105) (9) (3) (6)
Dividends paid - - - (150) (150) -
Finance expenses and fees (41) (38) (3) (67) (84) 17
Net change in cash & cash equivalents 395 624 (229) 3 (43) 46
11

LOGO

JAGUAR LAND ROVER
Solid financing structure
Key financial indicators - IFRS
(£ millions, unless stated) September 2014 September 2013 Change
Cash and cash equivalents 2,263 2,029 234
Financial deposits 1,490 670 820
Cash and financial deposits 3,753 2,699 1,054
Long term undrawn credit facilities 1,325 1,250 75
Other undrawn committed facilities 51 83 (32)
Total liquidity 5,129 4,032 1,097
Total equity 6,246 4,555 1,691
Total debt (2,032) (2,117) 85
Net cash 1,721 582 1,139
Total debt/EBITDA(1) 0.5x 0.8x 0.3x
Total debt/equity 0.3x 0.5x 0.2x
1) EBITDA stated on a rolling 12 month basis
12

LOGO

JAGUAR LAND ROVER
Agenda
Key topics
Financial performance
Other developments
Closing Q&A
Page
5
14
18
13

LOGO

JAGUAR LAND ROVER
Exciting new products
Jaguar XE
Jaguar’s all-new mid-sized premium sports saloon, the Jaguar XE, made its debut at the Paris Motor Show in early October and will go on sale in 2015.
The XE will be built in a second assembly hall in Solihull.
Discovery Sport
Showcased at the Paris Motor Show in early October the Discovery Sport goes on sale in 2015.
The first Discovery Sport has now rolled off the production line at Halewood and replaces the Freelander in Land Rover’s product portfolio.
Special Vehicle Operations
High specification vehicles and bespoke commissions, heritage products and branded goods.
6 lightweight E-Type recreations produced and delivery of 250 Project 7 Jaguar F-Type will begin from mid-2015.
SVR
14

LOGO

JAGUAR LAND ROVER
Other developments
China JV Production facility
JV plant in Changshu opened 21 October, will initially produce Range Rover Evoque for sale commencing early 2015. Production capacity of 130,000 units expected by 2016.
Engine Manufacturing Centre (EMC)
Production of the new “Ingenium” 2.0 Litre 4 cylinder engines commencing in 2015, with the first installations into the all new Jaguar XE
Credit rating outlook
S&P and Moody’s changed their credit rating outlooks to positive for JLR JAGUAR LAND ROVER
15

LOGO

JAGUAR LAND ROVER
Summary
Strong performance in Q2 FY15
For the remainder of 2014/15 fiscal year,
continue to build on the sales momentum of the two brands
successfully launch the new Discovery Sport and the new Jaguar XE as well as the new Ingenium family of 2.0 Litre engines.
successfully launch the China JV manufacturing plant
invest in more new products and new technologies to meet consumer and regulatory requirements and build manufacturing capacity in the UK and internationally
monitor economic and sales trends closely to balance sales and production
generate robust operating cash flows to support investment in the region of £3.5-3.7bn in FY15
16

LOGO

JAGUAR LAND ROVER
Agenda
Key topics
Financial performance
Other developments
Closing Q&A
Page
5
14
18
17

LOGO

Q&A

LOGO

Additional slides

LOGO

Quarterly wholesale volumes by carline Wholesales of 104.0k up 2% overall JAGUAR LAND ROVER
Jaguar - Q2 FY15 vs Q2 FY14
0.7
18.8
3.3
4.1
10.7
Q2FY14
Down (6)%
17.8
0.6
2.7
3.9
10.6
Q2FY15
F-TYPE
XK
XJ
XF
Land Rover - Q2 FY15 vs Q2 FY14
83.1
9.5
13.8
29.7
12.4
13.3
4.3
Q2FY14
Up 13%
86.2
13.1
18.0
27.7
10.4
12.8
4.2
Q2FY15
Range Rover
Range Rover Sport
Range Rover
Evoque
Discovery
Freelander
Defender
Units in ‘000
20

LOGO

JAGUAR LAND ROVER
Quarterly wholesale volumes by geography Wholesales of 104.0k up 2% overall
UK
Up 14%
21.2 18.6
16.8 13.9
4.6 4.4
Q2FY14 Q2FY15
North America
Down (5)%
16.3 15.4
12.4 12.7
3.9 2.7
Q2FY14 Q2FY15
China
Up 6%
28.0 26.5
22.5 21.9
4.7 5.5
Q2FY14 Q2FY15
Q2 FY15
All Other Markets (ROW) 15.7%
Asia Pacific
6.1%
Europe North America (ex. Russia) 14.8%
16.0%
China Region 27.0%
UK 20.4%
104.0k units
Europe Asia Pacific All other markets
Down (5)% Up 30% Down (10)%
17.5 16.7 18.1 16.3
15.1 14.5 4.9 6.4 16.2 14.5
3.7 5.2
2.4 2.2 1.2 1.2 2.0 1.8
Q2FY14 Q2FY15 Q2FY14 Q2FY15 Q2FY14 Q2FY15
Land Rover Jaguar Units in ‘000
Q2 FY14
All
Other
Markets
(ROW)
Asia 17.8%
Pacific
4.8%
Europe
(ex.
Russia)
17.2% China
Region
26.0%
101.9k units
UK
18.2%
North
America
16.0%
21

LOGO

JAGUAR LAND ROVER
6 month retail volumes by carline
Total retail sales of 226.4k up 15% overall
Jaguar - 6 months FY15 vs 6 months FY14
37.5
1.6
4.5
9.6
21.8
YTD FY14
Up 5 %
39.2
1.8
6.5
8.8
22.1
YTD FY15
F-TYPE
XK
XJ
XF
Units in ‘000
Land Rover - 6 months FY15 vs 6 months FY14
159.9
20.8
23.1
57.8
23.4
27.3
7.6
YTD FY14
Up 17%
187.2
26.2
40.0
61.4
21.0
30.5
8.0
YTD FY15
Range Rover
Range Rover Sport
Range Rover
Evoque
Discovery
Freelander
Defender

LOGO

JAGUAR LAND ROVER
6 month retail volumes by geography Total retail sales of 226.4k up 15% overall
UK
Up 12%
41.0 36.6
31.9
28.3
8.3 9.1
YTD FY14 YTD FY15
226.4k units
North America
Up 4%
36.2 34.8
25.2 28.3
9.6 7.9
YTD FY14 YTD FY15
China
Up 40%
62.7 44.8
51.1 36.4
8.4 11.6
YTD FY14 YTD FY15
6 month FY15
All Other Markets (ROW) 14.8%
Asia Pacific 5.8%
Europe (ex. Russia) 17.6%
China Region 27.7%
North America 16.0%
UK 18.1%
Europe Asia Pacific All other markets
Up 10% Up 20% Down (1)%
39.8
36.4 33.9 33.5
31.1 35.2 13.1 30.2
10.9 30.1
8.6 10.7
5.3 4.7 2.3 2.5 3.7 3.4
YTD FY14 YTD FY15 YTD FY14 YTD FY15 YTD FY14 YTD FY15
6 month FY14
All Other Markets (ROW) 17.2%
UK 18.5%
North America 17.6%
China Region 22.7%
Asia Pacific 5.5%
Europe (ex. Russia) 18.4%
197.4k units
Land Rover Jaguar
Units in ‘000

LOGO

6 month wholesale volumes by carline Total wholesales of 219.2k up 14% overall JAGUAR LAND ROVER
Jaguar - 6 months FY15 vs 6 months FY14
37.4
1.3
6.5
8.9
20.7
YTD FY14
Flat - %
37.4
1.8
6.5
8.3
20.8
YTD FY15
F-TYPE
XK
XJ
XF
Units in ‘000
Land Rover - 6 months FY15 vs 6 months FY14
155.1
19.8
20.5
56.7
23.7
26.7
7.7
YTD FY14
Up 17%
181.8
26.9
37.6
59.4
29.1
8.3
YTD FY15
Range Rover
Range Rover Sport
Range Rover
Evoque
Discovery
Freelander
Defender

LOGO

6 month wholesale volumes by geography Total wholesales of 219.2k up 14% overall JAGUAR LAND ROVER
UK
Up 13%
39.5
34.8
31.0
26.1
8.7 8.5
YTD FY14 YTD FY15
North America
Up 8%
33.5
31.0
22.3 27.3
8.7 6.2
YTD FY14 YTD FY15
China
Up 36%
62.1
45.8
49.8
37.3
8.5 12.3
YTD FY14 YTD FY15
6 month FY15
Asia Pacific 6.0%
Europe (ex. Russia) 17.1%
All Other Markets (ROW) 15.2%
China Region 28.3%
UK 18.0%
North America 15.3%
219.2k units
Europe Asia Pacific All other markets
Up 6% Up 23% Down (4)%
37.6
35.5 34.7 33.3
30.2 33.1 10.8 13.2 30.8 29.7
8.5 10.9
5.3 4.5 2.3 2.3 3.9 3.5
YTD FY14 YTD FY15 YTD FY14 YTD FY15 YTD FY14 YTD FY15
Land Rover Jaguar Units in ‘000 6 month FY14
Asia Pacific 5.6%
Europe (ex. Russia) 18.4%
All Other Markets (ROW) 18.0%
China Region 23.8%
UK 18.1%
North America 16.1%
192.6k units

LOGO

Product and other investment JAGUAR LAND ROVER
Key financial indicators - IFRS
Quarter ended 30 September 6 months ended 30 September
(£ millions, unless stated) 2014 2013 Change 2014 2013 Change
R&D expense
Capitalised 274 259 15 547 501 46
Expensed 62 62 - 115 112 3
Total R&D expense 336 321 15 662 613 49
Investment in tangible and other
427 336 91 783 602 181
intangible assets
Total product and other investment 763 657 106 1,445 1,215 230
Of which capitalised 701 595 106 1,330 1,103 227
26