Jaguar Land Rover (JLR) has confirmed it lost £3.6 billion ($6.7 billion) in the financial year ending 31 March 2019.
Around £3.3 billion ($6.2 billion) of that figure comes from the company writing down the value of its goodwill, real estate and facilities, as well as some of the costs related to slashing its worldwide workforce by 4500 people or around 10%.
Taking extraordinary items out, the company had an operating loss of £358 million ($667 million) during the last financial year.
Revenue was down £1.6 billion ($3 billion) to £24.2 billion ($45.1 billion), while global sales dipped 5.8% to 578,915 vehicles on the back of dramatically reduced demand in China. On the upside, sales in the UK and North America were up 8.4% and 8.1%, respectively.
In other good news, the company made a £120 million ($223 million) pre-tax profit in the last quarter, even after spending on £149 million ($278 million) on redundancies.
Tata Motors says it believes Jaguar Land Rover will return to profitability this financial year, helped by an improving situation in China and an efficiency drive, which has already saved £1.25 billion ($2.3 billion) so far.
P.B. Balaji, chief financial officer (CFO) for Tata Motors, told news outlets including Automotive News Europe the automaker has "managed to stabilise" the situation in China.
He also reiterated Tata was not looking to sell Jaguar Land Rover. A recent report suggested the luxury automaker was close to being sold to the PSA Group, which would add the British firm to its roster of marques including Peugeot, Citroen, DS, Opel and Vauxhall.
Jaguar Land Rover also announced today Ken Gregor, its CFO for the last 11 years, will be stepping down to be replaced by Adrian Mardell, automaker's chief transformation officer.