Kolkata: Tata Electronics, a key domestic contract manufacturer of iPhones, reported combined exports of ₹99,128 crore in FY26, marking an increase of more than 29% from ₹76,953 crore in the previous financial year. The United States, Taiwan and Ireland emerged as the company’s major export destinations. The growth underscores India’s expanding role in Apple’s global manufacturing network as the technology giant continues to diversify production beyond China. However, despite the strong growth in exports and operating revenue, Tata Electronics’ consolidated net loss widened significantly to ₹1,611 crore in FY26 from ₹69 crore in FY25.
According to the latest financial filings of its three entities, Tata Electronics is strengthening its position in India’s expanding iPhone manufacturing ecosystem. Apple has been working to reduce its dependence on China for manufacturing and increase production in other countries. India has become an increasingly important part of this strategy, with Tata Electronics emerging as one of the country’s major domestic contract manufacturers of iPhones.
Exports to the US Reach ₹38,508 Crore
In FY26, the three Tata Electronics entities together exported goods worth ₹38,508 crore to the United States, ₹47,930 crore to Taiwan and ₹11,980 crore to Ireland. Ireland hosts Apple’s European headquarters, while Taiwan remains an important part of the company’s global manufacturing and supply chain network. Combined exports accounted for approximately 76% of the reported production revenue of the three entities.
Financial figures also indicate that Tata Electronics’ combined revenue from the US increased by nearly 40%. This suggests that India is becoming a more significant manufacturing base for supplying products to the American market. The depreciation of the rupee may also have contributed to the increase in the reported value of exports. During FY26, the Indian currency weakened by nearly 10% against the US dollar, declining from around ₹85.60 to approximately ₹94.80 per dollar.
Revenue Surges, but Losses Widen
Tata Electronics’ consolidated operating revenue increased by 96% to ₹1,29,902 crore in FY26. Despite this substantial growth, its consolidated net loss rose sharply from ₹69 crore in FY25 to ₹1,611 crore in FY26. The contrasting performance highlights the challenges the company faces in managing costs and improving profitability while expanding manufacturing operations and exports.
Domestic sales also recorded significant growth. Tata Electronics’ domestic sales increased by 46% to ₹30,182 crore in FY26. According to an industry executive, this figure includes products supplied to Apple India, the technology company’s local sales and service arm. Apple India reported sales of ₹1,03,853 crore and a net profit of ₹5,311 crore during the same financial year.
The three entities included in the combined export figures are Tata Electronics, Tata Electronics System Solutions and Tata Electronics Products and Solutions. Tata Electronics System Solutions was previously the Wistron business acquired by the Tata Group. Tata Electronics Products and Solutions, formerly known as Pegatron Technology India, operates as a joint venture in which Tata Electronics holds a 60% stake and Taiwan-based Pegatron owns the remaining 40%.
Comparisons with the previous financial year require some caution. Tata Electronics System Solutions reported financial results for a 15-month period in FY25, rather than the standard 12 months. Consequently, the combined export figures for FY25 and FY26 are not strictly comparable. Analysts have indicated that export growth on a comparable 12-month basis could be even higher.
Dependence on Imported Components Remains a Challenge
Despite the substantial increase in exports, foreign exchange expenditure remains an important concern. The three Tata Electronics entities together reported foreign exchange outgo of ₹1,29,641 crore in FY26, significantly exceeding their foreign exchange earnings. This indicates that iPhone manufacturing in India continues to depend heavily on imported components and other overseas payments.
However, foreign exchange expenditure does not necessarily represent component imports alone. It may also include licensing fees and other payments made in foreign currencies. The available financial filings do not provide a separate breakdown of these expenses, making it difficult to determine the precise contribution of each category.
The figures underline both the opportunities and challenges associated with India’s expanding electronics manufacturing sector. Tata Electronics’ exports approaching ₹1 lakh crore represent a significant milestone for domestic manufacturing and reinforce India’s growing importance in Apple’s global supply chain.
At the same time, the widening net loss and substantial foreign exchange outgo highlight the need to improve profitability, increase domestic value addition and reduce dependence on imported components. Sustaining export growth while strengthening local supply chains and controlling costs will be crucial for Tata Electronics as it expands its role in global electronics manufacturing.
