Homegrown conglomerate JSW Group’s first auto business, JSW MG Motor India, crossed the $1-billion revenue milestone in the financial year ended 31 March 2025, less than six years after launching its cars in the country.
Losses, however, nearly doubled in FY25 from a year earlier.
According to the company's latest filings with the ministry of corporate affairs (MCA) reviewed by Mint, the Gurugram-based company saw its revenue rise 10% to ₹8,790 crore in FY25. Based on an average exchange rate of ₹84.57 to a dollar during the period, the company recorded $1.04 billion revenue.
However, JSW MG Motor India’s losses nearly doubled to ₹1,096 crore in FY25 from ₹586 crore in FY24, filings show, as the company slipped back into operating losses after posting its first-ever operating profit in FY24.
JSW MG Motor, a joint venture finalised in 2024 between the JSW Group and China’s SAIC Motor, has emerged as one of the fastest carmakers to enter the $1-billion revenue club, achieving the milestone in nearly half the time its European peer Renault took to reach in India. MG Motor India, then a wholly-owned arm of SAIC, launched its first car in the country, the MG Hector SUV, in June 2019.
Sales growth, cost controls
Retail registration data from the government's Vahan portal showed that the company’s sales have risen in the past few years, with car sales jumping from 41,867 units in FY23 to 50,001 units in FY24. In FY 25, the company recorded a 12% growth in sales to 57,899 units.
In the board of directors report, the company said that it focused on optimising supply chain to reduce pressure on profitability margins.
"Company continued its focus during the year under review, on operational excellence, relentless cost reduction measures, lean manufacturing practices and improvised supply chain management with tight control on working capital. These measures supported in mitigating the impact on the margins and improving cash flows," the report said.
The revenue surge comes at a time when the company is reportedly in talks to raise up to $300 million, which could make the JSW Group its largest shareholder. Currently, 49% stake in JSW MG Motor India is held by SAIC, while JSW Ventures holds about 35% stake in the company. The rest is owned by Indian financial institutions, dealers and employees. Earlier in 2025, Parth Jindal, director of JSW MG Motor, said in an interview with Economic Times that the conglomerate is looking to become the largest shareholder in the joint venture.
EV push fuels growth
The company has also pivoted to focus on EVs with the launch of its flagship models such as Windsor, ZS, Comet and M9. The share of electric vehicle sales has grown from 11% in FY23 to 52% in FY25.
Its focus on EVs has made it India’s second-largest electric vehicle maker after Tata Motors, putting it ahead of rivals such as Mahindra & Mahindra and Hyundai Motor India. With EVs generally priced higher than internal combustion engine vehicles, experts suggest that the growing EV penetration is helping it boost its business in the country.
Subhabrata Sengupta, partner at Avalon Consulting, said that the shift to a focused EV strategy has helped the company over the past few years by giving it a distinct identity in a passenger vehicle market dominated by Maruti Suzuki India Ltd, Mahindra and Mahindra Ltd, Hyundai Motor India Ltd and Tata Motors Passenger Vehicles Ltd.
“Windsor being a success also helps. Now that the ownership issue is sorted, customers, especially in the cab segment, are more confident,” Sengupta said.
But the ramp-up in EV sales also seems to be weighing on the company’s balance sheet, as the cost of raw materials spiked during the year.
Queries sent to JSW MG Motor India remained unanswered till press time.
Long-term ambitions
Earlier in 2025, JSW MG Motor India also saw a leadership change after long-running managing director Rajeev Chaba stepped down to make way for former Ford India MD Anurag Mehrotra, who has been leading the company since February.
JSW Group and SAIC finalised the joint venture in 2024, when the holding of the Chinese partner was reduced to 49% while a consortium led by JSW picked up a 51% stake in the company. Originally a British brand founded in 1924, MG Motor was acquired by SAIC in 2007.
With the Indian government imposing restrictions on investments from China through the Press Note 3 route, SAIC was forced to look for an Indian partner, with the search ending with the JSW Group. Press Note 3 is an government rule that mandates prior approval for investments from countries sharing a land border with India, including China.
With the conglomerate joining the business, MG announced that it will increase production capacity to 300,000 vehicles annually.
While announcing the JV in 2024, JSW Group chairperson Sajjan Jindal said that the aim of the company was to take a 33% share in India's EV market by 2030. “JSW Group is known for being aggressive with its plans, the game of scale is not new for us."
This marked JSW Group’s first foray into automobiles. The group is now also building its own auto venture under JSW Motors, aiming to create a homegrown player in the sector.