Carmaker optimistic despite slump in profits
Carmaker optimistic despite slump in profits
Alec Blackman Thu, August 13, 2026 at 4:08 PM UTC
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Carmaker Jaguar Land Rover (JLR) is blaming the war in the Middle East and a slump in vehicle sales for a big drop in profits.
The Coventry-based carmaker, which has factories across the West Midlands and around the UK, also said a fire at a major components supplier in Norway had meant profits fell to £66m in the first three months of the financial year, compared to £248m for the same period in 2025.
Revenues fell to £6bn in the three months to June, with sales down 9.2%.
P.B. Balaji, the chief executive officer at JLR, said "Despite the near-term industry challenges, we continue to see strong demand for our brands and look forward to the launch of new products in the coming months."
The drop in profits comes two weeks after the company announced around 300 redundancies
The accounts cover the first three months of the financial year, to the end of June.
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The latest figures come two weeks after the company confirmed that it was planning to make up to 300 job losses, less than a year after a cyber-attack took production offline for five weeks, costing JLR almost £2bn.
In a statement, Jaguar Land Rover Automotive PLC said "Despite the supply constraints and market disruption faced by the business, the first quarter has been profitable.
"A combination of the recently announced growth objectives and the exciting product launches due in the coming months leaves JLR in good shape whilst acknowledging the continuing geopolitical, inflationary and regulatory challenges the industry faces."
JLR said the latest profits had also been affected by the planned wind down of current Jaguar cars, ahead of the launch of the all-electric Jaguar Type 01.
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Source: “AOL Money”
