Jaguar Land Rover expects free cash flow of around 500 million pounds ($622 million) for the full financial year.

While that’s half the forecast of more than 1 billion pounds it gave back in 2022, it significantly exceeds a more recent estimate as supply chain snarls that dented business in the second quarter eased.

JLR, which is owned by Tata Motors of India, missed expectations in the second quarter but has beaten its second-half guidance for both volume and cash flow versus what was forecast in November of 2022 as the supply of chips gradually improved, a spokesperson said via email. Earlier this week, JLR said cash flow in the final quarter of its fiscal year, which ended March 31, would be more than 800 million pounds.

The global semiconductor shortage has undermined the luxury carmaker’s turnaround as it struggles to work through a debt reduction plan. While JLR has ramped up production of its Range Rover and Range Rover Sport models, it’s still feeling the effects from a chip dearth that has beset the entire industry over the past two years.

In November, the loss-making manufacturer said it was cutting output of the Range Rover Velar and Jaguar F-Pace models made in the U.K. to focus on on higher-margin models.

Tata Motors also said Thursday, when it issued fourth-quarter sales guidance, that JLR’s preliminary estimated cash balance was more than 3.7 billion pounds as of March 31 while net debt was about 3 billion pounds

JLR’s retail sales rose 30 percent from a year earlier to 102,889 units in the fourth quarter while wholesales, excluding its joint venture in China, increased 24 percent year-on-year to 94,649 units. The automaker’s order book remains strong at 200,000 units, Tata Motors said.