Tata Group: How N Chandrasekaran doubled its size and tripled its value in 9 years

The group has more than doubled in size, its profit pool has expanded four-fold and its market value rose 3.2 times between February 28, 2017, and August 11, 2026. Against the Nifty’s compounded annual return of roughly 12%, Tata group companies delivered nearly 14%. Trent and Titan top the group’s shareholder-return charts, demonstrating that the house of steel and software could also master the Indian consumer.

But the numbers tell only part of the story. Chandrasekaran’s defining contribution has been as a strategist who reimagined existing businesses while betting on those the group needed for the future. Over nine-and-a-half years, he strengthened and modernised the core while pushing into high-technology and digital businesses.

Tata Motors became a formidable electric-vehicle player, Titan and Trent were transformed into consumer powerhouses, and the group made an ambitious entry into semiconductors and electronic components. The shift from a predominantly industrial conglomerate to one increasingly shaped by technology and digital ambition is now clearly visible.

The scale of that ambition is considerable. In early 2023, Chandrasekaran committed the group to investing Rs 8.5 lakh crore over the five years to 2027. The share of capital allocated to new high-technology businesses was set to double from 25% to 50%, with about Rs 17 lakh crore earmarked for semiconductors and electronics alone.

Initial commitments to factories, including the semiconductor fabrication plant at Dholera, are close to Rs 1.14 lakh crore, while partnerships have been forged with global leaders across chips, electronics and artificial intelligence.

Yet every wager brings losses, and Chandrasekaran’s ledger has its share of red ink. The digital-services foray arguably came too late and lacked the leadership talent needed to execute it.

Tata Digital, built substantially around the acquisition of BigBasket, posted a loss of Rs 4,974 crore in FY26, following a loss of Rs 4,610 crore the previous year. Having missed the early quick-commerce opportunity, it must now compete in a market crowded with eight players—a difficult challenge even for Sajith Sivanandan, who was brought in as CEO a year ago.

Tata CLiQ, super-app Tata Neu and omnichannel electronics retailer Croma continue to struggle despite substantial investments. Tata Electronics reported a loss of Rs 1,611 crore even on revenue exceeding Rs 1.31 lakh crore as it invested heavily in its chips-and-electronics build-out. Agratas, Tata Projects, Tata Play and Tata Realty & Infrastructure also remained in the red.

Air India, an acquisition that may have owed more to Ratan Tata’s heart than Chandrasekaran’s spreadsheet, presents an even bigger challenge. Its losses more than doubled to Rs 22,238 crore in FY26. Chandrasekaran himself acknowledged in the Tata Sons annual report that the airline’s transformation could take between five and 10 years.

The largest question mark, however, hangs over the jewel in the crown. TCS—long the group’s cash machine and its biggest contributor to revenue, profit and market capitalisation—has underperformed in recent years as artificial intelligence disrupts the technology-services model it helped define.

The company has brought in talent and strengthened partnerships with global AI majors, but the transition remains unfinished. It is an irony that the group must now navigate this shift without the chairman who knew TCS from within—the man who ran it before leading the group and whose feel for technology might have made a difference.

That, ultimately, frames the succession challenge. Repeating the 3.2-fold increase in market value will be difficult unless TCS rediscovers its edge and the group’s new-age investments begin delivering returns. Chandrasekaran leaves his successor a group that is bigger, bolder and busier than the one he inherited—and a to-do list to match.