Innovative Retail Concepts, which operates BigBasket’s consumer-facing business, reported a 66 per cent year-on-year increase in losses to ₹3,073 crore in FY26, from ₹1,850 crore in FY25
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With N Chandrasekaran set to exit Tata Sons, the spotlight is shifting to Tata Digital’s portfolio of new-age businesses, with BigBasket emerging as one of the group’s most expensive and challenging bets.BigBasket’s mounting losses have become a key concern for Tata Digital, even as the online grocery company tries to catch up with quick-commerce rivals that have built a significant lead in the market.Innovative Retail Concepts, which operates BigBasket’s consumer-facing business, reported a 66 per cent year-on-year increase in losses to ₹3,073 crore in FY26, from ₹1,850 crore in FY25. Revenue grew just 7.7 per cent to ₹8,223 crore from ₹7,634 crore, according to Tata Sons’ FY26 annual report.Transition timeThe numbers highlight the difficult economics of BigBasket’s transition from a scheduled online grocery business to a quick-commerce player. The company began shifting towards quick commerce in FY25 and accelerated investments in its BBNow business, dark stores and fulfilment infrastructure in FY26.However, the investments have so far not translated into comparable revenue growth. BigBasket’s losses in FY26 alone accounted for nearly a third of the ₹8,527 crore it has accumulated since Tata Digital acquired the company in May 2021.Market shareThe challenge is particularly stark given the market BigBasket is trying to compete in. Industry estimates peg Blinkit’s market share at around 45 per cent, followed by Zepto at 25 per cent and Swiggy Instamart at 23 per cent. BigBasket is estimated to have about 5 per cent.This leaves BigBasket playing catch-up in a market where scale, dark-store density and delivery speed have become critical competitive advantages.The company has now brought in Amit Nanda, a former Amazon executive, as its Chief Executive Officer. Nanda’s appointment comes at a critical juncture, with the company needing to improve its unit economics while narrowing the gap with its better-scaled rivals.For Tata Digital, the issue is not simply BigBasket’s current losses but whether continued capital deployment can materially change its competitive position.Tata Digital reported a consolidated loss of ₹4,974 crore in FY26, widening from ₹4,610 crore a year earlier. Revenue increased nearly 12 per cent to ₹35,990 crore. Tata Sons’ direct investment in Tata Digital stood at ₹22,903 crore as of March 2026.“The Tata Group’s newer businesses are the ones that will be in the limelight. Within Tata Digital, the loss-making status of newer businesses such as BigBasket is not necessarily a major concern because businesses in new spaces have long gestation periods and are backed by patient capital,” said Harish Bijoor, brand strategy specialist.But BigBasket’s position in quick commerce makes the question of capital deployment more pertinent, he said.“What is important is whether there is a clear go-to-market strategy for Tata Digital, and whether the old plan of a super-app still exists and has enough meat in it to make it to the market,” Bijoor said.Pressure on Digital biz“Chandra’s exit will put greater pressure on Tata Digital’s businesses to actually show a path to profitability. This happens whenever there is a change in leadership,” Bijoor said.For BigBasket, that pressure is likely to be more immediate. The company has already spent heavily to reposition itself for quick commerce, but its revenue growth remains modest and its market share significantly trails the category leaders.“With every change comes a new approach,” Bijoor said.The incoming Tata Sons chairman will, therefore, inherit a digital portfolio where BigBasket presents one of the clearest tests of whether patient capital can eventually translate into a competitive and profitable business.Published on August 12, 2026
