Tata Group's revenue at the aggregate level grew by 7.8% to Rs 16,24,030 crore in FY26, while profit after tax grew 51.9% to Rs 1,70,525 crore, according to its chief N Chandrasekaran.
In his address to shareholders in the annual report 2025-26 of Tata Sons, the principal investment holding firm of the Tata Group companies, Chandrasekaran said, "2026 has been a year defined by geopolitical conflicts and the unprecedented global AI investment cycle".
For the Tata Group, (FY)2026 overall has been a good year in terms of financial metrics, he noted.
"Tata Sons' revenue grew by 9.1% to Rs 42,367 crore in FY26, while profits (after tax) grew 21.8% to Rs 31,961 crore," Chandrasekaran said, adding the board of Tata Sons has recommended a final dividend of Rs 1,10,717 per share, subject to shareholders' approval.
He further said, "At the aggregate level, the revenue of the Tata Group grew by 7.8% to Rs 16,24,030 crore in FY26, while profits (after tax) grew 51.9% to Rs 1,70,525 crore."
Chandrasekaran noted that the FY26 "revenue is 2.1x and profits are 5.4x their FY20 levels, reflecting sustained and significant turnaround efforts across the institution".
"All of our established businesses delivered strong performances this year, both in terms of revenue and profits," he said, while stating that the group's British luxury carmaker JLR suffered a cyberattack in Q2 FY26 which resulted in a production pause for five weeks, although it has recovered with Q4 closing at near-normal production levels.
In his letter, Chandrasekaran updated shareholders on the group's new ventures such as Tata Electronics, Tata Digital, Air India and Agratas, among others, which as per reports, have come under the scanner of Tata Trusts Chairman Noel Tata.
Reflecting how the founders of the Tata Group took bets that "looked audacious, even imprudent, at the time they were made" but "turned out to be exactly what the nation needed", he asserted that the "institutions we are seeding now (are) with long gestation periods".
He cited examples of the Indian Institute of Science, the group's forays into steel and aviation, the Tata Institute of Fundamental Research, software services and international expansion to underscore the long-term bets that the conglomerate took since the time of its founders.
Stating that the next industrial revolution is being designed and built right now, and its building blocks are silicon, connectivity, energy and security, Chandrasekaran said Tata Electronics is on track to become the first integrated player across the electronics value chain.
"In four years, it has become the fourth-largest Tata Group company by revenue -- Rs 1,31,082 crore -- and nearly two-thirds of its workforce of 86,466 consists of women. Operating profits have already achieved breakeven. The company manufactured 12% of the total volume of phones made by the global leader in 2025," Chandrasekaran said.
Stressing that chips are the new steel, he said every phone, car, aircraft, hospital, power grid, and AI system runs on them. A nation that cannot make its own semiconductors will always depend on others for the most fundamental input of the modern economy."
"These are among the most complex manufacturing endeavours humanity has attempted, and they demand patient capital, global partnerships, thousands of highly trained engineers, and years of disciplined execution. We are building not just plants, but an ecosystem: suppliers, talent pipelines, research linkages. When the first "Made in India" chips flow at scale, they will do exactly what is needed for India's technology sovereignty," he said.
On Tata Digital, he said it has navigated multiple complexities across its businesses.
"The Indian e-commerce market shifted rapidly towards quick commerce, which BigBasket is adapting to. In FY26, Tata Digital reported a loss of Rs 4,974 crore. But Tata Digital's ambitions are great and are beginning to show progress. It has scaled to a GMV of Rs 46,515 crore within four years of launch," he noted.
In aviation, Chandrasekaran said, "Rebuilding Air India is a long journey: fleet renewal, training, service transformation, network expansion. Every great airline in history was built over decades, not quarters. Significant progress has been made in the transformation journey."
Given where it began, he said, "Air India's transformation must be seen as a five- to ten-year journey, considering the years-long supply chain disruptions in key components, the need to overhaul legacy systems, culture and fleet, and the creation of a large cadre of technical and airline professionals."
Commenting on Agratas, the group's high-performance battery manufacturing venture, he said it is integral to the Group's broader energy transition strategy -- to design, develop and manufacture high-quality, high-performance, sustainable batteries for electric mobility and energy storage.
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Dispelling notions that software companies will be left behind by AI, Chandrasekaran said, "India's technology industry built its global position by doing something many thought it couldn't -- taking powerful new technologies and making them work, reliably and accountably, inside the world's most demanding institutions. That's why AI is the most significant opportunity yet for enterprise IT."
The opportunities offered by AI cannot be captured by simply giving organisations access to AI technology. Enterprises need to organise their data and integrate it into IT systems that have evolved over decades, he noted.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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