Air India Losses Double to Rs 22,238 Crore Even as Tata Sons Profit Surges Past Rs 31,900 Crore
3 min readMumbaiUpdated: Jul 27, 2026 10:48 PM IST
Tata Sons, the principal holding company of the Tata group, reported a 21.8% rise in profit after tax to Rs 31,961.11 crore in FY26 as against Rs 26,231.74 crore in FY25, even as the group’s flagship aviation business Air India saw its losses more than double during the year.
Revenue of Tata Sons rose 9.1% to Rs 42,366.55 crore in FY26, according to the company’s annual report. The company has also recommended a final dividend of Rs 1.11 lakh per share. This means Noel Tata, Chairman of Tata Trusts, will get Rs 45 crore as dividend incomes as he holds 4,060 shares in Tata Sons.
Tata Sons Chairman N Chandrasekaran received a total remuneration of Rs 158.6 crore in FY26. Of this, Rs 140.69 crore was commission, while salary and other compensation amounted to Rs 17.97 crore, according to the annual report.
Air India’s losses more than doubled to Rs 22,238 crore in FY26 from Rs 10,859 crore in FY25. At the same time, its revenue declined to Rs 71,870 crore from Rs 78,636 crore during the year. Tata Digital made a loss of Rs 4,974 crore during the year. The worsening Air India’s financial performance comes as the Tata group continues to integrate and restructure its airline businesses. The group has been investing in fleet expansion, technology, infrastructure and improving the customer experience as it seeks to turn Air India into a globally competitive full-service carrier.
Key agenda in upcoming AGM
Tata Sons’ Annual General Meeting (AGM) is scheduled for August 18, 2026, with the reappointment of Chairman N Chandrasekaran, whose term on the board is up for renewal, expected to be a key agenda item.
According to observers, the meeting could face procedural challenges due to a quorum requirement under the company’s articles of association. If the required attendance is not met, the AGM’s proceedings could be affected. The Maharashtra Charity Commissioner has prohibited the trust from convening trustee meetings while certain legal proceedings remain pending. As a result, the trust is unable to hold a trustee meeting to jointly nominate the representative required to satisfy the quorum requirements for the AGM.
At the group level, aggregate revenue increased 7.8% to Rs 16.24 lakh crore, underlining the scale of operations across the conglomerate’s diverse businesses. A key development in the group’s portfolio was the rapid expansion of Tata Electronics, which emerged as the fourth-largest Tata group company by revenue, with turnover reaching Rs 1.31 lakh crore. The growth reflects the Tata group’s increasing presence in electronics manufacturing and its broader push to build new businesses in strategically important sectors.
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Tata Trusts and Pallonji Mistry group hold 66% and 18.3% stakes, respectively, in Tata Sons.
Source: indianexpress.com