Jaguar, Land Rover sales boost India's Tata Motors

India's Tata Motors, owner of Jaguar and Land Rover, said Friday the British luxury brands had returned to profit as demand for high-end cars returned following the global financial crisis.

Tata Motors, the country's top vehicle maker, reported that it had swung to a consolidated net profit in the third quarter from a loss a year earlier, helped by higher sales from the two marques.

The company said its global operations, including Jaguar and Land Rover, showed a net profit of 6.5 billion rupees (141 million dollars) for the three months ended December.

The company had shown a consolidated net loss of 26 billion rupees a year earlier.

"The Jaguar-Land Rover business turned profitable. Supported by a better market environment and cost-cutting, it posted a profit of 4.1 billion rupees," Tata Motors said in a statement.

For the December quarter, sales from Jaguar Land Rover rose 28 percent from the preceding quarter on improved demand in North America, Europe and China, the statement added.

Tata Motors bought the iconic Jaguar and Land Rover from US giant Ford Motor in 2008 for 2.3 billion dollars -- a purchase that coincided with the global financial crisis that hit sales of luxury cars.

Tata Motors shares rose 6.33 percent or 42.35 rupees to 711.05 on the stock exchange in Mumbai following the results

"This is the first turnaround for Jaguar Land Rover since the Tatas took it over," said Vaishali Jajoo, auto analyst at Mumbai-based Angel Broking.

"We expect volumes to pick up from here on in," she told AFP.

Tata Motors' vice chairman Ravi Kant said "The big turnaround has happened."

"We saw demand picking up in the US and Europe and hope to continue on this path for the future," he told reporters later Friday.

Last month, Tata Motors said its domestic operations swung to a quarterly profit from a loss a year earlier as demand for cars increased, aided by new launches.

Tata Motor's new chief executive Carl-Peter Forster, who took charge earlier this month, told reporters he would need about 100 days time before speaking about the company's operations.

The 55-year-old former head of General Motors' European operations will have overall responsibility for Tata Motors' global activities as group chief executive, a new position in the company's 65-year history.