Shares of Tata Motors jumped more than 5 percent to an over five-month high of Rs 472.70 on BSE as the Tata Group auto firm reported a sharp 51 percent jump in its July 2022 sales year-on-year (YoY). The bullish sentiment in the stock was also fuelled amid reports that China may extend the exemption of purchase tax on new energy vehicles.

Tata Motors sales for July 2022 came in at 81,790 units, registering a 51 percent jump YoY against the 54,119 it had clocked in July 2021. The domestic passenger vehicle sales rose 57 percent YoY to 47,505 in July 2022 from 30,185 in July 2021.

Tata Motors reported an 87 percent on-year growth in wholesale sales in June.

On the electric vehicles (EVs) front, Tata Motors sold 4,022 units in July 2022 against 604 units it sold in July 2021.

Tata Motors had reported a consolidated net loss of Rs 4,951 crore in the June quarter as chip shortage and COVID-19 lockdown in China impacted Jaguar Land Rover sales. The company had posted a consolidated net loss of Rs 4,450 crore in the same quarter last fiscal.

Tata Motors noted that it expects demand to remain strong despite worries on inflation and geopolitical risks, while the supply situation is expected to improve further. Cooling commodity prices are expected to aid improvement in underlying margins, it added.

At 3.23 pm, Tata Motors shares were trading at Rs 479 apiece, jumping 6.55 percent, slightly below the day's high price of Rs 480.90.

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First Published:Aug 1, 2022 3:25 PM IST