Tata Steel Q2 Profit Quadruples to Rs 3,183 crore on India Growth
Tata Steel Q2 Profit Quadruples to Rs 3,183 crore on India Growth
Tata Steel posts a fourfold Q2 profit jump to ₹3,183 crore, led by India volume gains, strong Netherlands performance, and narrowed UK losses.
Mumbai: Tata Steel's consolidated profit for the September quarter surged fourfold to ₹3,183 crore from ₹759 crore a year earlier, buoyed by a strong volume-led growth in its India operations and a sharp jump in operating profit in the Netherlands, while the UK unit saw losses narrow as it transitions to an electric arc furnace. The company reported consolidated sales of ₹58,689 crore during the quarter, up nearly 9% year-on-year. Earnings before interest, tax, depreciation and amortisation (EBITDA) leapt to ₹9,106 crore, up 46% from a year ago, with an EBITDA margin expansion contributing to a healthier quarterly performance. On a per-tonne basis, EBITDA stood at ₹11,343, higher than ₹7,345 a year earlier and ₹10,470 in the June quarter. Tata Steel sold 7.91 million tonnes of steel in the quarter, up from 7.52 million tonnes a year ago. Total tax expenses for the quarter eased to ₹1,039.4 crore from ₹1,405.5 crore last year, aiding net profitability. In the Netherlands, revenue from operations rose to ₹15,719 crore from ₹14,109 crore, while EBITDA jumped to ₹916 crore from ₹226 crore. In the UK, the loss narrowed to ₹765 crore as the group continues the transition to more electric arc furnace capacity. "We remain focused on volume growth in India, strengthening our raw material linkages and optimising capital allocation," said CFO Koushik Chatterjee, as the company keeps a close eye on global market dynamics.
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