Tata Sons FY25 Results: Profit Falls 24%, Revenue Declines 12%
Tata Sons, the holding company for the Tata group companies earns most of its revenue from dividends received from its group companies.
India's largest conglomerate, Tata Sons, saw its total revenue dip by 12% to Rs 38,834.58 crore in the financial year 2024-25. The group had revenue of Rs 43,893 crore in the previous year on the back of other income of Rs 20,036 crore. The other income in the previous year was on account of proceeds from the buyback of shares of TCS.
Profit for the year also dipped by 24% to Rs 26,231.74 crore from 34,653.98 crore. The holding company for the Tata group companies earns most of its revenue from dividends received from its group companies.
Dividend income for the year rose to Rs 36,149.05 crore from Rs 21,528.94 crore in the previous year. Its flagship arm, Tata Consultancy Services Ltd., accounted for Rs 32,184.19 crore of the dividend income earned during the year.
At the end of FY25, the group had fully paid all liabilities and borrowings and had zero liabilities from financing activities. Tata Sons has applied to the Reserve Bank of India to be removed from the category of Upper Layer NBFC. This move would allow the company to avoid a listing on the stock exchanges, as RBI mandates require all Upper Layer NBFCs to be listed by September 2025.
During the year ended March 31, 2024, the Company had applied to RBI for voluntary surrender of the Certificate of Registration as a CIC and to continue as an ‘Unregistered CIC’, in accordance with the prescribed procedure. The application is under examination by RBI.Tata Sons Annual Report 2025
Investments & New Business Performance
During the year Tata Sons invested Rs 29,478 crore in various group ventures largely led by the conversion of the preference shares held of Air India into 1,444.75 crore equity shares of Air India Ltd.
The Tata Group increased its investments in Tata Digital, where it has so far invested Rs 22,902 crore. Tata Digital vertical ended the year with a revenue of Rs 32,188 crore, led by Infinity Retail, which had a total revenue of Rs 19,063.87 crore and a loss of Rs 1,090.8 crore. Tata Digital on a standalone basis had a revenue of Rs 564.90 crore and a loss of Rs 827.4 crore.
The group forayed into electronic manufacturing with the acquisition of Wistron Infocomm in March 2024 and Pegatron Technology in Jan. 2025. Total revenue from the Tata Electronics vertical stood at Rs 66,000 crore. Wistron was renamed as Tata Electronics Systems Solutions Pvt. Ltd. This arm had revenue of Rs 55,235.8 crore in FY25 and profit after tax of Rs 1,364 crore. Pegatron (Tata Electronics Products and Solutions) posted a revenue of Rs 10870.39 crore and a profit after tax of Rs 794 crore.
Its airline arm, Air India, posted a revenue of Rs 61,079.74 crore and a loss of Rs 3,975.75 crore in FY25, while Air India Express posted a revenue of Rs 16,033 crore and a loss of Rs 5,678.17 crore during the year.
