Throughout FY12, JLR has surprised investors with good numbers every month, making the full-year sales estimates more plausible. The report stated that going by geographies, China’s share in JLR sales for the September quarter shot up to 16 per cent from about 9.7 per cent a year ago.
With JLR revenue comprising two-thirds of Tata Motors’ revenue and three-fourths of its net profit, optimism about its consolidated performance for the present year is understandable. All the more so when Tata Motors' domestic passenger segment is expected to register a contraction in sales volume during fiscal 2012. Strong JLR sales, however, would cushion the Tata Motors stock from downward risks. But upward momentum is likely only when the slowdown in the domestic automotive market abates.