Tata Sons reported a 21.8 percent year-on-year increase in profit after tax (PAT) for FY26, while revenue also registered healthy growth, reflecting strong performance across the Tata Group.
According to the company’s FY26 Annual Report, Tata Sons posted revenue of Rs 42,367 crore, up 9.1 percent from the previous financial year. Profit after tax rose to Rs 31,961 crore.
The Board of Directors has recommended a final dividend of Rs 1,10,717 per share, subject to shareholders’ approval.
Strong Financial Performance
In his letter to shareholders, Tata Sons Chairman N Chandrasekaran said the group delivered a solid financial performance during FY26.
“For the Tata Group, 2026 overall has been a good year in terms of financial metrics. Tata Sons’ revenue grew by 9.1% to INR 42,367 Cr in FY26, while profits (after tax) grew 21.8% to INR 31,961 Cr.”
Tata Group Revenue Crosses Rs 16 Lakh Crore
At the group level, aggregate revenue increased 7.8 percent to Rs 16.24 lakh crore during FY26.
Profit after tax surged 51.9 percent to Rs 1.71 lakh crore. Chandrasekaran noted that the Tata Group’s revenue has grown to 2.1 times its FY20 level, while profits have increased 5.4 times over the same period, reflecting what he described as sustained turnaround efforts across the group.
Tata Electronics Emerges as Major Growth Engine
The annual report highlighted the rapid growth of Tata Electronics, which became the fourth-largest Tata Group company by revenue during FY26.
The business reported revenue of Rs 1,31,082 crore. Chandrasekaran said the company achieved this milestone within four years of its formation and added that its operating profits have now reached breakeven.
Air India Faces Challenging Year
While several group businesses delivered strong performance, Air India continued to face significant headwinds. The airline reported a loss of Rs 22,238 crore in FY26, compared with a loss of Rs 10,859 crore in the previous year.
Chandrasekaran described FY26 as “the most challenging year for Air India,” citing multiple factors including airspace closures, higher aviation fuel costs resulting from the West Asia conflict, foreign exchange fluctuations and the AI171 crash as key reasons for the widening losses.
