Tata Technologies, a subsidiary of Tata Motors, is set to declare its Q2 results today. The company enjoyed a remarkable debut on November 30, 2023, starting with a 140% premium over its IPO price of ₹500. This marked the first Tata Group IPO in nearly two decades since Tata Consultancy Services went public in 2004.
Tata Technologies specialises in engineering and product development digital services, reaching a record high stock price of ₹1,400 shortly after listing. The initial public offering was priced between ₹475 and ₹500 per share and was entirely an offer for sale of 6.08 crore equity shares.
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In the first quarter of FY25, the company reported a 15.4% decrease in consolidated profit after tax, which stood at ₹162.03 crore, affected by rising expenses. However, the consolidated revenue slightly increased to ₹1,268.97 crore from ₹1,257.53 crore in the same quarter the previous year.
The company operates within the engineering research & development (ER&D) sector. According to Nasscom, India is projected to contribute 22% to the global ER&D sourcing market by FY30, with significant contributions from the software, automotive, and semiconductor sectors.
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Tata Technologies’ CEO, Warren Harris, noted the positive market conditions and ongoing investments in alternative propulsion systems, software-defined products, and smart manufacturing. He also expressed optimism for accelerated revenue growth in the services sector starting this quarter.
Among its prominent clients are Tata Motors and JLR, as well as VinFast, a Southeast Asian electric vehicle OEM, placing the company at the forefront of innovation and market adaptation in its field.