(Reuters) -Indian carmaker Tata Motors' shares plummeted about 9% to a 14-month low on Thursday, after its third-quarter results set off growth and margin concerns for its luxury Jaguar Land Rover (JLR) segment.

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Tata Motors share price declined 8% in the morning trade on Thursday following the automaker’s Q3 results wherein it reported a double-digit fall in profit.

Indian carmaker Tata Motors fell more than 7% in early trade on Thursday after reporting a bigger-than-expected drop in quarterly profit, which pushed a slew of brokerages to slash price targets on the stock.

Consolidated net profit of India’s largest automaker by revenue fell 22% year-on-year to Rs 5,451 crore even as revenue rose 2.7% to Rs 1,13,575 crore.

Tata Motors reported earnings for the December 2024 quarter, which missed estimates. This prompted global brokerage firm Jefferies to downgraded Tata Motors stock to "underperform" from its earlier rating of "buy".

India's Tata Motors reported a 22 per cent drop in third-quarter profit on Wednesday, significantly missing analyst estimates, hurt by weak performance at its Jaguar Land Rover (JLR) and domestic car businesses. The company's profit fell to Rs 5,451 crore ($630 million) in the quarter from Rs 7,025 crore a year before.

Tata Motors reported a 22.5% decline in consolidated net profit for Q3 FY25, totaling ₹5,578 crore. Despite strong performance in the JLR segment, overall margins decreased. Revenue from operations rose by 2.

The homegrown auto player is set to announce its results for the period ended on December 31, 2024 later today.

Results: Tata Motors' third-quarter profit declined 22% year-over-year to INR 5,451 crore. Revenue, however, saw a 3% year-over-year increase, reaching INR 1.13 lakh crore.