Jaguar Land Rover plans annual investment of 3 billion pounds by FY26

New Delhi: Tata Motors' owned Jaguar Land Rover plans an annual investment of 3 billion pounds while targetting revenue of over 30 billion pounds by FY26, according to an investor presentation by the company.

Jaguar Land Rover (JLR), which makes SUVs such as Range Rover, Defender and Discovery under the Land Rover brand and Jaguar luxury cars, expects to have revenue of over 28 billion pounds in FY24. Tata Motors shared the presentation to be made by JLR on stock exchanges.

Under its 'Reimagine' strategy, which was designed to address the key challenges facing its business, JLR had aimed to become a more agile business, with a simplified manufacturing operation and an ambition to achieve positive cash net-of-debt by 2025. In its 'Investor Day 2023' presentation, JLR said, "Reimagine will deliver" and its investment target is 3 billion pounds per annum.

Further, the company is looking at free cash flow of 2 billion pounds by FY24 and "continuing to be significantly positive thereafter". In terms of revenue, the company said its target is over 28 billion pounds in FY24 and over 30 billion pounds in FY26. In the fiscal ended March 31, 2023, JLR had clocked revenue of 22.81 billion pounds.

The EBIT margin will also improve from over 6 per cent in FY24 to more than 10 per cent by FY26. On its electrification programme, JLR said its Range Rover is "the vanguard of our EV transformation and profit generation" while the Jaguar brand will transform into a "radical, modern luxury EV brand in 2025". Earlier last month, the company had stated it would invest 15 billion pounds over five years in its electrification and digital transformation. The company's Halewood plant in the UK would become an all-electric manufacturing facility and over 11,300 employees and partners have been reskilled for electrification with a further 11,625 in training.