Tata Capital, the financial services arm of the Tata Group, has posted a robust 31% year-on-year growth in consolidated profit after tax (PAT), reaching ₹1,000 crore for the quarter ended March 2025. This compares to a PAT of ₹765 crore in the same period last year, according to a regulatory filing.
The company also saw a sharp increase in total operational revenue, which surged nearly 50% to ₹7,478 crore in Q4 FY25 from ₹4,998 crore in Q4 FY24. For the full financial year 2024–25, Tata Capital reported a PAT of ₹3,655 crore, up from ₹3,327 crore in FY24. Annual revenues grew substantially to ₹28,313 crore, up from ₹18,175 crore the previous year.
This strong financial performance comes as Tata Capital gears up for a highly anticipated IPO, which could become the largest initial public offering in India’s financial services sector. The company recently submitted draft papers with SEBI under the confidential pre-filing route, aiming to raise an estimated $2 billion. The IPO is expected to value the company at around $11 billion.
The IPO will include both a fresh issue of equity shares and an offer for sale (OFS) by existing shareholders. Tata Capital’s parent company, Tata Sons, currently holds a 92.83% stake in the financial services firm.
Industry watchers, including Growfast Securities & Credit Pvt Ltd, note that this IPO aligns with regulatory compliance mandates from the Reserve Bank of India (RBI). Under RBI’s framework, upper-layer non-banking financial companies (NBFCs)—a category Tata Capital was placed under in September 2022—are required to list on the stock exchanges within three years of their classification.
Tata Capital’s board has already approved the IPO plans, and if successful, this would mark the Tata Group’s second major public market listing in recent years, following the strong debut of Tata Technologies in November 2023.
According to experts at Growfast Securities, the upcoming Tata Capital IPO reflects the strong investor appetite for well-managed NBFCs in India’s growing financial sector. “With consistent earnings growth, a strong brand reputation, and full regulatory compliance, the Tata Capital IPO is poised to attract significant interest from both institutional and retail investors,” said a senior analyst at Growfast.
As India’s financial services industry evolves, investment firms like Growfast Securities & Credit Pvt Ltd are keeping a close eye on this high-profile listing. Analysts believe that once listed, the Tata Capital share price will serve as a key benchmark for the NBFC sector, potentially influencing investor sentiment and capital flow across the market. The IPO could set the stage for long-term valuation trends and open new opportunities for stakeholders in the financial space.