TATA MOTORS Nifty: 2784 Date: 08.12.

08
Automobiles ie Commercial and Passenger Vehicles. Price: 152.10
BSE NSE % fall 80.75
Avg. volume 600015 1908142 High/ Low 790.24 124.80

PARTICULARS FV No. of Sh. Sh.Hold. 30.09.08 %

Rs.(In crores) (In crores) Promoters 33.34
Equity- Latest 514.29 10.00 51.43 FII 14.91
Reserves (excluding Rev. Reserve)- Latest 12304.88 Ind.Inst.& MF 17.4
Shareholders Funds 12819.17 ADR/GDR 14.91
Book Value (Rs.Per share) 249.26 Others 19.44
Dividend % 112.5 PROJECTED
Market Price (Rs. Per share) 152.10 150 135 125 120
Dividend Yield (%) 7.40 7.50 8.33 9.00 9.38
Market Price/ B V 0.61 0.60 0.54 0.50 0.48
Loans- 31.03.08 11584.87
Market Cap 7822.35 7714.35 6942.92 6428.63 6171.48
EV 19407 19299 18528 18013 17756
EBITDA Year end 31.03.2008 4572.78
EV/ EBITDA 4.24 4.22 4.05 3.94 3.88

To finance the early repayment of short term funding for JLR deal, Co. has issued 64294118 ordinary shares at a premium of Rs.330 per share through
rights issue in the ratio of 1:6.Also 64295082 'A' Ordinary shares with differential voting rights at a premium of Rs.295 per share in the ratio of 1:6.
Therefore, share capital has increased by Rs.128.59cr and I have incresed Reserves (Premium) by Rs.4018.41.DVR shares will carry 5% more
dividend and will have one- tenth of voting rights for ordinary shares.

Note: Dividend paid 150% pre Right issue of 1:3 ratio hence Div % adjusted accordingly.

Running Year 31/03/2008 30/06/2008 30/09/2008 30/06/2008 31/03/2009

12 Months Q1 Q2 Q1 Q4E

Cons. Standalone Standalone Cons. Exc JLR

Net Sales 35413.19 6928.44 7029.33 8680.01
Other Income 617.93 315.61 119.99 250.47
EBITDA 4572.78 838.14 635.37 1060.15
PAT - Excl Ext.Ord.Exp/Inc./Frx Loss 2283.13 515.00 275.47 463.62
EPS - (Annualised) 44.39 40.06 21.43 36.06
PE 3.43 3.80 7.10 4.22
Extra Ord. Gain/ (Loss) (net of tax) 114.31 0.00 356.54 0.00
Forex Gain/ (Loss) 137.61 (199.88) (285.02) (199.88)
*PAT is excluding Deferred Tax
EBITDA excludes forex fluc
Exceptional Gain in Qtr ended Sep, 08 is Profit on Sale of Investments in Tata Steel
Profits have reduced due to high interest costs, high input costs and constraints in availability of finance
But with the loweing interest rates, fall in steel prices , condition can improve.

Remarks
Tata Motors had to shift their Nano Plant from Singur (W.B.) (invested Rs. 1500cr ) to Sanand, Gujarat. This will delay the production and thus earnings.
Higher burden due to relocation costs. Merill Lynch estimated Rs.200cr as relocation exp.

Reports recommended - (Last 6 months coverage)

Report by Date Buy/ Recom. TARGET
Sell Price Price Period

Recommendation

(SAJAN DIDWANIA)

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