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

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 more than £28 billion in FY24. File
| Photo Credit: AP

Tata Motors’ owned Jaguar Land Rover plans an annual investment of £3 billion while targeting a revenue of more than £30 billion 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 more than £28 billion 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 per annum.

Further, the company is looking at free cash flow of £2 billion by FY24 and “continuing to be significantly positive thereafter”.

In terms of revenue, the company said its target is over£ 28 billion in FY24 and over £30 billion in FY26.

In the fiscal ended March 31, 2023, JLR had clocked revenue of £22.81 billion. The EBIT margin will also improve from over 6% in FY24 to more than 10% 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 over five years in its electrification and digital transformation.

The company’s Halewood plant in the U.K. 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.