Jaguar Land Rover has delved into how parent firm Tata Motors Limited (NYSE:TTM)’s new UK battery factory will fit with its electrification plans in the midst of strong first-quarter results.
Aiming to release a fully electric-powered car by next year, JLR explained that Tata’s new Somerset-based gigafactory would be key in supplying a new British-made range.
A solely battery-powered Range Rover will mark the firm’s latest move toward electrification, coming on sale later this year before its 2024 release date.
“[The factory] will help build a stable, secure battery cell supply with competitive costs,” chief executive Adrian Mardell said.
“[It will] let us deliver our strategic vision of a fully electric range of British electrified vehicles by 2030.”
These will be made up of “reimagined modern luxury” vehicles, Tuesday’s results statement added, with the lavish cars having aided the firm's strong quarterly performance.
JLR unveiled a 57% jump in revenue to £6.9bn during the first quarter in the results, alongside a pre-tax profit of £435mln, up on a £524mln loss last year.
“[This] reflects the strength of our luxury brands,” chief financial officer Richard Molyneux explained, with limited edition models of the Range Rover – worth up to £190,000 - having sold out during the period, for instance.
“Looking ahead, we aim to deliver continuing improvements in results by executing our reimagine strategy and generating the cash to invest in our electric future,” he added.
JLR also generated record free cash flow for the first quarter of £451mln, leaving the firm with £4bn in the bank and reduced debt of £2.5bn.