Latest news with #Chandrasekaran
Mint
2 days ago
- Business
- Mint
TCS revenue from Tata Group companies nears $1 billion
Tata Consultancy Services Ltd is nearing a billion dollars in annual revenue from its sister companies, a more than three-fold surge since Natarajan Chandrasekaran rose to the helm of the Tata Group's holding company eight years ago. The growing internal business, now representing 3.1% of TCS's total revenue, underscores Chandrasekaran's strategic push to modernize the sprawling conglomerate's digital infrastructure and leverage the IT giant's capabilities across the group. Out of TCS's FY25 revenue of more than ₹2.5 trillion, ₹7,835 crore came from group companies, the company's annual report showed. Eight years back, the figure was ₹2,412 crore. An email sent to TCS on Thursday remained unanswered. Rising revenue from group companies comes amid a broader initiative to foster tighter collaboration among Tata entities, exemplified by mega-deals with Jaguar Land Rover and state-run Bharat Sanchar Nigam Ltd. In 2023, TCS won an 800-million-pound order from Tata Motors' UK subsidiary Jaguar Land Rover to revamp its IT systems. Also read | Tata Sons feels the heat as TCS shrinks dividend for the first time in 20 years 'The JLR contract was a mega deal for TCS and its ramp-up would have caused the group company revenues to increase significantly," said a Mumbai-based analyst on condition of anonymity. A mega deal is a contract that brings more than ₹8,500 crore, or $1 billion in revenue. TCS winning a ₹15,000 crore contract from state-run Bharat Sanchar Nigam Ltd was another example. In August 2023, TCS announced that along with group company Tejas Networks Ltd, which makes wireless networking products for telecom companies, it had won a large contract from BSNL. TCS has also bagged multi-year contracts worth over ₹5,000 crore from its non-bank lender Tata Capital Ltd. The increase in earnings from group companies is primarily due to Chandrasekaran's efforts to make TCS future-ready for many of the group companies. Chandrasekaran, who began his career with TCS, rose through the ranks to become chief executive officer in 2009, before he was elevated as Tata Sons chairman in February 2017. Since then, Chandrasekaran has been nudging senior executives within TCS to collaborate with group companies such as Tata Communications Ltd, and also help modernize their IT infrastructure, an executive familiar with the developments said. He envisioned the 'One Tata' plan in 2017, a strategy to "simplify, synergise, and scale" the group's operations. Read this | The quiet philanthropists: Premji Foundation, Tata Trusts match social spending of top Nifty companies 'I see ample evidence that we are moving ahead on the course we set under the 'One Tata' strategy. We are embarking on a process of simplifying, synergizing and scaling (3S) to create an agile, powerful platform," Chandrasekaran wrote in a New Year message to Tata Group employees in 2019. For now, TCS executives believe business from group companies will only increase. 'Tata Group getting into new businesses like semiconductors and digital business is an opportunity for us (TCS) to work with other group companies," the executive cited above said on the condition of anonymity. Chandrasekaran's letter to shareholders in the TCS annual report also underscored the importance of technology. 'We are witnessing the rise of new paradigms, demanding a thorough reimagination of systems, processes, and technologies to improve visibility, reduce costs, and enhance operational throughput," Chandrasekaran, who is also chair of TCS, wrote in the annual report. 'This reimagination includes designing end-to-end traceability across supply chains; diversification of sourcing strategies to build resilience, and region-specific ecosystems to serve decentralized markets." And read | Tata Sons concludes probe into a top executive. Here's the verdict More money from Tata-owned businesses also comes at a time when the company is looking to boost revenue from its home turf. For two years, India has been the fastest-growing market for TCS, accounting for 8.6% or $2.6 billion in revenue last year. Despite the boost from group companies and homegrown businesses, TCS's growth has slowed: TCS ended the year with $30.18 billion in revenue, representing a 3.78% dollar revenue growth. This was its slowest growth in four years.
Time of India
3 days ago
- Automotive
- Time of India
Tata Chemicals rejig: Chandra steps down as chairman
Photo/Agencies MUMBAI: Tata Chemicals' board is undergoing a rejig, with N Chandrasekaran stepping down as chairman. The position will be assumed by company director S Padmanabhan. In his letter to the board, Chandrasekaran, who is also the chairman of Tata Chemicals' parent Tata Sons , cited his current and future commitments as the reason for his decision to step down. Chandrasekaran, who owns Tata Chemicals shares worth nearly Rs 9 crore, joined the company's board in Nov 2020. Rules allow an individual to be a director of up to 20 companies, encompassing public, private, listed, and unlisted entities. With Tata Motors splitting into two separate entities, Chandrasekaran will have additional directorship responsibilities at the automotive giant. Also, he was recently appointed as the chairman of the Ratan Tata Endowment Foundation, which is a beneficiary of the late industrialist Ratan Tata's shares in Tata companies, valued at Rs 2,750 crore. Within the 20 companies, an individual can serve on the boards of 10 public companies, and within those 10, he can be a director of up to seven listed companies. Tata Chemicals has also appointed Modan Saha, strategy head at Tata Sons, as an additional director of the company. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
3 days ago
- Business
- Time of India
GenAI is a civilisational shift: N Chandrasekaran
Bengaluru: TCS chairman N Chandrasekaran said GenAI was the single most transformative force in 2024. He described it as a significant advancement that goes beyond typical technological progression, stating that "GenAI is not just another tech cycle—it is a civilisational shift. " He expressed confidence that in 2025, TCS will have the largest AI-trained workforce in the industry with a four-pronged approach. Initially, TCS said it plans to create a large pool of AI agents collaborating with its human employees. Subsequently, TCS is implementing solutions through an integrated approach combining human expertise and AI capabilities. Furthermore, it's making strategic investments in AI data centres and cloud infrastructure. It's also forging industry-best partnerships with hardware companies, solution innovators, and startups. "Achieving near-human reasoning capabilities, GenAI is not just another tech cycle, it is a civilisational shift. Its widespread adoption is accelerating, powered by parallel advances in semiconductors, cloud computing, quantum technologies, robotics, and energy innovation. GenAI is already redefining analytics, customer experience, and marketing. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Artificial Intelligence and Machine Learning For Working Professionals. BITS Pilani WILP Apply Now The rise of autonomous robots and AI agents promises a future of 'dark factories' and AI-assisted enterprise functions," he said in a letter to shareholders published in the company's annual report. Chandrasekaran said every industry stands to benefit from GenAI—and the IT industry is no exception. "TCS is uniquely positioned to lead this transition. With our domain expertise, deep client relationships, and contextual knowledge, we are the ideal partner for enterprises seeking to build AI-first cultures, transform supply chains, navigate energy transitions, and build resilient and adaptive operations." He also said the evolving geopolitical landscape and the emergence of a multipolar world are now reshaping how global businesses operate. "We are witnessing the rise of new paradigms, demanding a thorough reimagination of systems, processes, and technologies to improve visibility, reduce costs, and enhance operational throughput." This reimagination, he said, includes designing end-to-end traceability across supply chains; diversification of sourcing strategies to build resilience, and region-specific ecosystems to serve decentralized markets. The annual report showed that TCS CEO K Krithivasan took home a salary of Rs 26.5 crore in the 2024-25 financial year, a 4.6% increase from Rs 25.3 crore in the year-ago period. His compensation includes a basic pay of Rs 1.3 crore, Rs 2.1 crore in benefits and perquisites, and Rs 23 crore as commissions. The company said the average annual increase was in the range of 4.5% to 7%, with top performers receiving double digit increments in India. In the last financial year, the overall rise fell within the 5.5% to 7.5% bracket, inclusive of promotions and additional compensation adjustments linked to specific events. Employees outside India received salary hikes varying from 1.5% to 6%.
Time of India
3 days ago
- Business
- Time of India
N Chandrasekaran steps down and S Padmanabhan assumes chairman role at Tata Chemicals
N Chandrasekaran steps down and S Padmanabhan assumes chairman role at Tata Chemicals MUMBAI: The board of Tata Chemicals is undergoing a restructuring, with N Chandrasekaran stepping down as chairman. This position will be assumed by existing company director, S Padmanabhan. In his letter to the board, Chandrasekaran, who is also the chairman of Tata Chemicals' parent, Tata Sons, cited his current and future commitments as the reason for his decision to step down. Chandrasekaran, who owns Tata Chemicals shares worth nearly Rs 9 crore, joined the company's board in November 2020. Rules allow an individual to be a director of up to 20 companies, encompassing public, private, listed, and unlisted entities. With Tata Motors splitting into two separate entities, Chandrasekaran will have additional directorship responsibilities at the automotive giant. Additionally, he was recently appointed as the chairman of the Ratan Tata Endowment Foundation, which is a beneficiary of the late industrialist Ratan Tata's shares in Tata companies, valued at Rs 2,750 crore. Within the 20 companies, an individual can serve on the boards of 10 public companies, and within those 10, he can be a director of up to seven listed companies. Tata Chemicals has also appointed Modan Saha, strategy head at Tata Sons, as an additional director of the company. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
The Hindu
4 days ago
- Business
- The Hindu
Rise of automation promises a future of ‘dark factories', says TCS' Chandrasekaran
IT and business services were rapidly moving toward autonomous operations, and the rise of autonomous robots and AI agents promised a future of 'dark factories' and AI-assisted enterprise functions, said N. Chandrasekaran, chairman, Tata Consultancy Services on Tuesday (May 27, 2025). He said, 'The path is clear: IT and business services are moving toward autonomous operations. The rise of autonomous robots and AI agents promises a future of 'dark factories' and AI-assisted enterprise functions,'' he said in TCS Annual Report FY2025 released on Tuesday. The single most transformative force in 2024 was Generative AI, which achieved near-human reasoning capabilities, he said in his letter to shareholders. ''GenAI is not just another tech cycle—it is a civilisational shift. TCS is uniquely positioned to lead this transition, with its domain expertise, deep client relationships, and contextual knowledge,'' he assured them. He further said, software development was being redefined by AI-led modernisation, as legacy code was being transformed rapidly. Agentic AI was being embedded deeply into enterprise systems. Looking ahead, TCS has charted out four distinct progressions: 1. Establish a large pool of AI agents working alongside our human workforce, 2. Deliver solutions through a human+AI model, 3. Consciously invest in AI data centers and cloud infrastructure and 4. Forge industry-best partnerships with hardware providers, solution innovators, and startups. On geopolitical landscape According to Mr. Chandrasekaran, who is also the chairman of Tata Sons and Tata Group, the evolving geopolitical landscape and the emergence of a multipolar world are now reshaping how global businesses operate. ''We are in the midst of an irreversible transition towards green energy; businesses must adapt by developing market-appropriate solutions,'' he said adding TCS has developed an AI-powered clever energy platform that has been helping clients optimise energy consumption, reducing emissions and energy costs. He further said, the financial year 2025 was a year of profound global disruption. 'In the face of this turbulence, TCS demonstrated exceptional resilience.'' TCS's financial performance was robust, Mr. Chandrasekaran said, with FY 2025 revenue of over $30 billion and an industry-leading operating margin of 24.3%. On Gen AI and AI Significant innovation was happening in the AI ecosystem across infrastructure, data platforms, models, and AI native business applications, said TCS, CEO and MD, K. Krithivasan in the report. ''These innovations are forcing companies to invest in technology modernisation and rapidly adopt AI to meet evolving customer expectations. Across industries, clients are increasingly shifting their focus from use case based approach to ROI led scaling of AI,'' he said. Mr. Krithivasan's salary saw a 4.6% increase in FY25 to ₹26.52 crore, as per the report.
