Tata Motors Passenger Vehicles Ltd., the parent of Jaguar Land Rover, reported a quarterly profit that fell short of expectations. Net income dropped 80% to 7.75 billion rupees ($81.2 million) for the three months ended June 30, missing the average estimate of 11.8 billion rupees compiled from a Bloomberg survey of brokerages.

The shortfall was driven by a sluggish performance in the company’s UK luxury unit, which counterbalanced robust sales in India. While the Indian market continued to deliver strong demand for JLR models, the overall impact of the UK unit’s weakness pushed total earnings below analysts’ forecasts.

The announcement was made in a filing released Thursday, highlighting the challenges faced by JLR as it navigates a competitive global market. Despite the dip, Tata Motors remains committed to expanding its presence in both luxury and mainstream segments.

Investors and industry observers will watch closely to see how the company adjusts its strategy to regain profitability in the coming quarters.