Indian engineering firm Tata Technologies (TATE.NS) reported a 5% rise in quarterly profit on Friday, as gains from its non-automotive business helped offset sluggish demand in its key automotive division.
The company, which provides engineering, product design, and manufacturing digitalisation services, said its net profit rose to 1.66 billion rupees in the second quarter, compared with 1.57 billion rupees a year earlier.
Overall revenue grew 2% to 13.23 billion rupees ($150.3 million). The technology solutions segment — which includes digital engineering and enterprise IT services — expanded 6.6%, while the core services segment remained flat, reflecting cautious spending from major carmakers.
Tata Technologies, a key supplier to Jaguar Land Rover and Tata Motors, is among Indian engineering firms feeling pressure from reduced R&D spending and outsourcing due to U.S. tariffs affecting global automakers.
CEO Warren Harris said the company expects “tactical challenges” in the third quarter but remains confident of a recovery in Q4, supported by a robust project pipeline and improving market conditions.
Analysts said that diversification into aerospace and industrial machinery continues to strengthen Tata Technologies’ earnings stability amid volatile automotive demand.
