Business Performance Of Tata Technologies In the Last 5 Years: A Detailed Analysis

Tata Group has been among the reputed business groups and has been serving India for over 150 years. Tata Technologies, a subsidiary of Tata Motors, has been a global leader in design engineering and outsourcing IT services. Headquartered in Pune, Tata Technologies is one of the best-performing companies, growing at a very fast pace. 

Over the last five years, the business performance of Tata Technologies has been positive, allowing it to record growth in operating revenue and profit. However, Tata Technologies unlisted shares are actively traded in the grey market, which is regulated by the Securities & Exchange Board Of India (SEBI). In this blog, we will analyse the business performance of Tata Technologies in detail.

Different Business Segments Of Tata Technologies

Tata Technologies is the industry leader in providing engineering services that enable different companies to design and build futuristic products. It is a subsidiary of Tata Motors and is considered one of the innovative companies serving various industries globally. The company is headquartered in Pune, Maharashtra, while its regional headquarters are in Singapore, the USA, and the UK. The business of the company is divided into core segments that serve the needs of its global manufacturing clients.

Automotive Solutions

Tata Technologies is the most significant player in providing efficient automotive solutions to businesses across the globe. Using the engineer expert’s strategic alignment, it offers futuristic solutions for automobile manufacturers. Being a subsidiary of Tata Motors, they deeply understand this domain and have detailed strategies to provide sustainable automotive solutions.

Industrial Heavy Machinery

Having expertise in product lifecycle management, Tata Technologies also offers industrial heavy machinery solutions. It has a wide range of end-to-end solutions, including engineering, customer experience, and manufacturing, that help global heavy machinery manufacturers to develop the right products. Whether it’s minimising product cost or accelerating the time to market the products, Tata Technologies is a prominent player in providing innovative industrial heavy machinery solutions globally.

Aerospace Engineering Service

Aerospace is another segment in which Tata Technologies offers its expert-based service, which includes engineering, manufacturing, and customer support. It has an International network of program managers and qualified engineers that come up with durable aircraft designs. They have advanced automation tools for predictive maintenance that reduces the various risks associated with aerospace.

Digital Education Offering

Global companies have recognised the rising demands of digital education for employees over the years. It has an Education Competency Centre offering students tools, techniques, and courses, bridging the gap between academics and industrial knowledge.

Over the years, Tata Technologies has provided cutting-edge solutions and recognised global consulting organisations with expertise in aerospace, heavy industrial machinery, digital education and the automobile domain.

Business Performance Of Tata Technologies

The business performance of Tata Technologies over the past five years (2018-2022) has remained up and down. The company’s financial data showed the various metrics in which it recorded growth. However, Tata Technologies unlisted shares give a basic idea about its current business performance. Here are the details of the business metrics of Tata Technologies:

Particulars (Rs Cr)FY 2018FY 2019FY 2020FY 2021FY 2022
Total Income27922986289624323585
Growth Of Company-2.1%7.4%-3.0%-16.0%47.4%
Operating Profit420547515430694
Operating Profit Margin15%18%17.6%17.8%19.5%
Net Profit245325251239436
Net Profit Margin8.8%11.9%8.6%9.9%12%
Total Debt6370000

Let’s analyse the business performance of Tata Technologies in the past five by comparing each of the metrics. Tata Technologies Pre-IPO shares price in the grey market also fluctuated; the company’s financials largely impacted that.

Total Income

The first business metric that gives a clear picture of Tata Technologies over the past five years is its total income through its various services. As we can see from the table, the company’s total income was Rs 2792 crore in FY2018, which increased to Rs 2986 crore in FY2019. After that, the company’s total income decreased in FY2020, which was Rs 2896 crore. In the financial year 2021 company’s income again declined to Rs 2432 crore, which is the lowest compared to previous financial years. In the last year, Tata Technologies total income touched the figure of Rs 3585, the highest in the last five years.

Growth Rate

Another important metric that will help you understand the business performance of Tata Technologies is the growth rate. In FY2018, the company’s growth rate was (-2.1%) which turned out to be positive in the next fiscal year. In the next fiscal years, the growth rate of Tata Technologies was 7.4% (2019), -3.0% (2020), -16% (2021), and 47.4% (2022). As we can see, in FY 20-21, the company’s growth rate was negative due to the pandemic. However, it managed a positive growth rate of 47.4% in FY2022.

Operating Profit

In the last five years, the company’s operating profit remained positive but showed a variation. As we can see from the above table, the operating profit of Tata Technologies was Rs 420 crore in FY2018, which increased to Rs 547 crore in FY2019. However, its operating profit decreased to Rs 515 crore in FY 2020, and Tata Technologies recorded a lower profit of Rs 430 crore in the next fiscal year. The FY22 proved beneficial for the company as its operating revenue increased from Rs 430 crore to Rs 694 crore.

Operating Profit Margin

Talking about the profit margin of Tata Technologies, it consistently showed growth in different financial years except FY 2020-21. The company’s operating profit margin was 15% in FY2018, 18% in FY19, 17.6% in FY20, 17.8% in FY21, and 19.5% in FY22. As we can see, the operating profit margin showed maximum growth in FY22 while declining during FY20-21.

Net Profit

Net profit is one of the critical business metrics that gives a better idea of Tata Technologies’ overall business. The company’s net profit increased from Rs 245 crore to Rs 325 crore from FY 2018 to FY 2019. However, it decreased during the FY 2020-2021, which was Rs 251 crore in FY20 and Rs 239 crore in FY21. In the fiscal year 2022, Tata Technologies’ net profit increased to Rs 436 crore, which was a positive sign. 

Net Profit Margin

The company’s net profit margin grew during FY 2018-19. During these years, the net profit margin of Tata Technologies was 8.8% and 11.9%. However, it declined to 8.6% in FY20 and then increased again to 9.9% in FY21. In FY22, the company’s net profit margin was 12% (the highest one) in the last five years.

Total Debt

The total debt of the company in FY2018 was Rs 637 crore. The company remained debt-free in the next fiscal year, even during the pandemic. It is a positive sign for investors who want to buy Tata Technologies Pre-IPO shares.

The overall business performance of Tata Technologies has been positive except for FY 2020-21. One of the major reasons behind the declining business performance is the economic slowdown and COVID-19. Apart from this, Tata Technologies unlisted shares were also in demand in the last few years. With a positive business performance, unlisted shares allowed investors to make a good return.

Invest In Tata Technologies Pre-IPO Stocks With Stockify

The rapid growth of Tata Technologies signifies the company’s potential to show positive performance in the Pre-IPO market. If you are looking for a less risky investment option, Tata Technologies Pre-IPO stocks might be your best option. At Stockify, you can easily buy unlisted shares online by following the simple process. Here, we update the company’s financial figure and Tata Technologies unlisted share price. We provide access to blue-chip stocks of top-performing companies, including Capgemini, Care Health Insurance, OYO, and more. To start investing in Pre-IPO stocks, contact us today!

FAQs

1- What Is Tata Technologies Unlisted Share Price Today?

The price of Tata Technologies unlisted shares depends on the company’s performance and market conditions. The current price of its unlisted share price is Rs 880. To check the updated Tata Technologies share price, connect with us.

2- How To Check Tata Technologies Past Business Performance?

You can check the business performance of Tata Technologies by using Stockify. Here you will get updated financials and unlisted share prices.

3- Can I Invest In Tata Technologies Unlisted Shares Online?

You can buy Tata Technologies unlisted shares online using the brokerage unlisted shares platform. To start investing, connect with us now!

4- How Was The Business Performance Of Tata Technologies In The Last Five Years?

The overall business performance of Tata Technologies was positive. However, there was a decline in its revenue and profit during FY 2020-21.

5- Is It Profitable To Invest In Unlisted Shares?

Unlisted shares of the companies involve less risk and are considered an excellent option for diversifying an investment portfolio. It is profitable in the long run.

Table of Contents

The business performance of Tata Technologies has been positive and gives investors a better idea of the company’s future.

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Piyush Jhunjhunwala
Piyush Jhunjhunwala
CA, CPA, Ex. PepsiCo, Reckitt, Coty
CEO & Founder
Dubai, UAE.
Rahul Khatuwala
Rahul Khatuwala
Ex. Wipro & Finaco Founder
Co-Founder
Bangalore, India.