Tata Technologies Expects to Grow 69% by 2025

Tata Technologies (Tata Tech) is expected to grow 69% to about $800 million by 2025, up from $473 million in 2021-22, due to rising demand in the electric vehicle and aerospace sectors. The company also aims to grow through mergers and acquisitions.

For the fiscal year ended March 2022, Tata Technologies had revenues of $473.5 million,  operating profit of $86.5 million, and profit after tax of $58 million. Revenues increased 47%, operating profit increased 65%, and profit after tax increased by 74%.

The company partnered with GKN Automotive, a global leader in driveline systems and advanced ePowertrain technology, to open a global electrical mobility software development center in Bengaluru in October 2020.

Warren Harris, managing director, and chief executive officer of Tata Tech said, “The tie-up with GKN is like an endorsement from the entire market as 50% of EVs sold globally have some parts consisting of GKN. We are developing software and embedded electronics (as part of the tie-up).”

Almost 80% of Tata Tech's business comes from the automotive segment, followed by aerospace and heavy industry machinery. He added that the company now has a diverse basket of customers. "Six years ago, more than the company's business came from the Tata Group, which accounts for only 31%," he said.