N. Chandrasekaran takes charge as Tata Sons chairman
- Mexico jittery after new earthquake of 6.1 magnitude
- Sushma Swaraj calls for early start of negotiations for UNSC reforms
- SBI merger will start showing results in 3-4 quarters: Arundhati Bhattacharya
- Amazon buys 5% equity in Shoppers Stop for Rs179.25 crore
- BJP’s two-day national executive to start from tomorrow
Mumbai: Natarajan Chandrasekaran formally took charge as the chairman of Tata Sons Ltd on Tuesday. In his brief address to the media and Tata group employees while entering the group’s headquarters, Bombay House, Chandra said, “It’s a great honour and privilege for me to assume this responsibility as the Tata group reaches its 150th anniversary.”
Even as he has spent his entire working life at one Tata company, Tata Consultancy Services Ltd (TCS), the 53-year-old Chandrasekaran will be the first chairman of the $103 billion Tata group with no family links to the Tatas.
Chandra, as he is known, said he looks forward to working together with all the entities and make an impact on business and society at large. He said he will work together to ensure that all Tata companies are leaders in their respective segments and not followers.
“We will work together with all the business leaders of the group to drive lot of discipline on capital allocation and shareholder returns,” he said.
Chandra’s remarks on discipline on capital allocation come in the wake of the group’s heavy dependence on dividends from TCS. In 2015-16, Tata Motors Ltd and TCS accounted for more than half of the group’s combined revenue, 69% of operating profit, 100.5% of net profit and 80% of all equity dividends paid. Excluding TCS and the Jaguar and Land Rover operations of Tata Motors (the two bright spots for the group over the past few years), the group reported a net loss of Rs160.7 crore.
He called upon everyone to work together for the advancement and betterment of the group.