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Tata Group stock jumps 5% after securing largest-ever order from Indonesian Govt

Alex Smith

Alex Smith

2 hours ago

3 min read 👁 1 views
Tata Group stock jumps 5% after securing largest-ever order from Indonesian Govt

SYNOPSIS: A subsidiary of this Tata Group company secured an order to supply 70,000 vehicles in Indonesia to support agricultural logistics and rural connectivity, with phased deployment aimed at strengthening supply chains and improving transport efficiency nationwide.

Shares of a part of the $180 billion Tata Group and India’s largest and a globally renowned manufacturer of utility vehicles, pick-ups, trucks, and buses, surged over 5 percent to hit a fresh 52-week high at Rs. 497.8 on the BSE, after the company’s arm secured the largest-ever order in Indonesia.

With a market cap of Rs. 1.8 lakh crores, shares of Tata Motors Limited (Commercial Vehicle) were trading in the green at Rs. 490.7 on BSE, up by around 4 percent, compared to its previous closing price of Rs. 472.45. So far in 2026, the stock has delivered positive returns of nearly 15 percent.

What’s the News:

As per its latest regulatory filing, a wholly-owned indirect subsidiary of Tata Motors Limited, PT Tata Motors Distribusi Indonesia, has entered into an agreement to supply 70,000 vehicles for deployment in Indonesia. The vehicles will primarily support agricultural activities and rural logistics, including farm-to-market transportation and regional goods movement across regional supply networks.

Under the arrangement, Tata Motors will supply 35,000 units each of the Yodha (pick-up) and the Ultra T.7 (truck) to its Indonesian subsidiary. These vehicles will subsequently be delivered to PT Agrinas Pangan Nusantara, an Indonesian state-owned enterprise focused on modernising agricultural supply chains.

Designed to operate in varied and challenging terrains, these trucks and pick-ups are expected to improve logistics efficiency and help reduce transportation costs. The rollout will take place in phases through agricultural cooperatives, ensuring structured integration and long-term operational impact.

The Yodha is positioned as a durable last-mile transport solution built for demanding rural conditions, while the Ultra T.7 is engineered as a high-efficiency truck offering reliability, uptime, and driver comfort for cargo movement across both urban and rural networks.

Tata Motors reported a significant growth in its revenue from operations, showing a year-on-year increase of around 16 percent from Rs. 18,819 crores in Q3 FY25 to Rs. 21,847 crores in Q3 FY26. In contrast, its net profit decreased during the same period from Rs. 1,355 crores to Rs. 705 crores, representing a fall of about 48 percent YoY.

Tata Motors Limited, previously known as TML Commercial Vehicles Limited, is India’s largest and a globally renowned manufacturer of utility vehicles, pick-ups, trucks, and buses, with a global presence across South Korea, Africa, the Middle East, Latin America, Southeast Asia, and SAARC countries.

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