During the investor day event, JLR project its revenue to grow by 13 per cent to £26 billion for FY27 from £23 billion reported in FY26.
It projected its EBIT margins to come in at 4 per cent, compared with just over 0 per cent in the previous financial year. While the guidance points to an improvement in profitability, analysts had been expecting margins above the 4 per cent mark.
JLR sets out path to double digit revenue growth through greater propulsion flexibility, increased focus on North America
JLR today announced its plans to unlock double-digit revenue growth by giving markets and customers more choice through greater propulsion flexibility on its Range Rover and Defender models and refocusing its strategic intent on the North America market
JLR further said it is “targeting medium-term double-digit revenue growth by leveraging its House of Brands strategy to cater to different customer segments and diversify its sources of growth.”
“The company also reconfirms its existing five-year commitment to invest £18bn in future technologies, vehicle platforms and transformation by FY29 (starting FY24), as it drives growth in a flexible propulsion, software and AI defined era,” the company said in a press release.
JLR said it is focusing on North America as a growth engine
Alongside its key markets in the UK, Europe, and China, JLR said it will focus on the US as a priority growth region to cater to the extensive and increasing luxury opportunity there by designing exclusive offerings for that market and also strengthen its supply chain resilience.
PB Balaji, JLR CEO, said, “As we enter a critical business delivery phase of our Reimagine strategy, launching five new products over the next two years across our incredible House of Brands, now is also the time to evolve our plan to offer global markets greater propulsion choice to unlock growth and build resilience.”
“To truly manifest the power of our brands, we will increase our focus on North America, our biggest market. The rising demand for luxury products coupled with the strong preference we see for our brands signals significant growth potential,” Balaji said.
“Apart from accelerating our existing offerings, we are also exploring new high potential segments for our Defender brand, which will allow us to offer tailored luxury products and experiences for even more of our US clients. Our aspiration, in the coming years, is to grow our US business to the size of the entire JLR business as it exists today,” he added.
