Tata Motors targets top-4 global CV rank as Iveco deal nears closure: N. Chandrasekharan; FY26 revenue hits record ₹83,855 crore
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Tata Motors is on track to complete its €3.8-billion acquisition of Italian commercial vehicle maker Iveco by the second quarter of FY27 after securing the majority of regulatory approvals, Chairman N. Chandrasekaran said on Monday, outlining the company's ambition to emerge among the world's four largest commercial vehicle manufacturers.
The acquisition, announced in July 2025, comes as Tata Motors builds on a record financial performance in FY26. The company reported its highest-ever revenue of ₹83,855 crore during the year, while vehicle sales rose 13% year-on-year to over 4.35 lakh units, underscoring strong momentum in both domestic and overseas markets.
Iveco acquisition to strengthen global ambitions
"A transaction of this scale, spanning multiple geographies, requires a series of mandatory regulatory approvals. We have secured the majority of these and are progressing well on the remaining few. We look forward to completing the transaction by Q2 FY27," Chandrasekaran told shareholders at the company's annual general meeting.
He said the proposed acquisition would significantly strengthen Tata Motors' long-term competitive position by providing access to advanced powertrain and next-generation technologies while expanding its global footprint. "IVECO will enable us to access advanced powertrain and next-generation technologies, strengthening our long-term innovation pipeline. It will also enhance our product capabilities across geographies, enabling us to serve diverse markets with greater competitiveness and agility in line with evolving mobility needs," he said.
"Together, we will optimise, scale and grow to be ranked amongst the top four commercial vehicle entities globally," Chandrasekaran added.
Record FY26 performance
The company retained its leadership in the Indian commercial vehicle market in FY26, supported by broad-based growth across segments. Revenue rose 9.8% year-on-year to a record ₹83,855 crore, EBITDA margin improved to 12.3%, while return on capital employed stood at 72.3%, placing Tata Motors among the best-performing commercial vehicle manufacturers globally. The board has also recommended a final dividend of ₹4 per share.
Chandrasekaran said the company's growth strategy is centred on diversification and profitability. "Our approach has been that every business should define its strategy for the 'right to win' and execute with discipline," he said, adding that emerging and non-cyclical businesses are helping the company deliver more consistent performance across market cycles.
Overseas business surges 53.9%
The chairman highlighted growing contributions from businesses beyond the core truck and bus portfolio. Non-cyclical businesses expanded 18.2% during FY26, while TML Smart City Mobility Solutions deployed over 3,800 electric buses across 10 cities, collectively covering more than 50 crore kilometres with over 95% uptime. Fleet Edge crossed one million connected vehicles, and the international business recorded a robust 53.9% growth, driven by deeper market penetration and key order wins.