Tata Steel Group is among the top global steel companies with an annual steel production capacity of ~34 million tonnes per annum (MTPA).
Tata Steel (TSL) is one of the world’s most geographically diversified steel producers, with operations and commercial presence across the world
TSL has been a part of the DJSI Emerging Markets Index since 2012 and has been consistently ranked among top 10 steel companies in the DJSI Corporate Sustainability Assessment since 2016
Q4FY22 Results
Tata Steel reported steady consolidated performance for Q4FY22.
Consolidated topline for the quarter was at ₹ 69324 crore (up 39% YoY, 14% QoQ), higher than our estimate of ₹ 677710 crore. Consolidated reported EBITDA for the quarter was at ₹ 15030 crore while adjusted EBITDA was at ₹ 15891 crore (our estimate of ₹ 16632 crore)
Ensuing consolidated PAT for the quarter was at ₹ 9835 crore, up 37% YoY and 2% QoQ, broadly in line with our estimate of ₹ 9808 crore
Tata Steel’s standalone operations reported adjusted EBITDA/tonne of ₹ 23690/tonne, lower than our estimate of ₹ 25500/tonne (EBITDA/tonne of ₹ 27775/tonne in Q4FY21 and ₹ 28631/tonne in Q3FY22). European operations reported EBITDA/tonne of US$ 241/tonne, higher than our expectation of US$200/tonne (For Q4FY21 Tata Steel European operations EBITDA/tonne stood at US$ 66/tonne and US$ 182/tonne in Q3FY22)
On the balance-sheet side, Tata Steel continued to reduce its debt levels, which augured well for the consolidated entity. As on FY22, on a consolidated basis, Tata Steel’s net debt to EBITDA was at 0.8x (2.44x in FY21) and net debt to equity was at 0.52x (0.98x in FY21)
Consolidated Revenues for the quarter stood at Rs 59,490 crore. EBITDA was Rs 6,122 crore and EBITDA margin was 10%.
Consolidated Profit after Tax stood at Rs 525 crore. Profitability was affected by non-cash deferred tax charges on account of buy-in transactions at the British Steel Pension Scheme. With this, the insurance buy-in of BSPS has been completed, successfully derisking Tata Steel UK.
The company has spent Rs 4,089 crore on capital expenditure during Q1FY24. Work on 5 MTPA expansion at Kalinganagar and the EAF mill of 0.75 MTPA in Punjab is progressing.
Net debt stands at Rs 71,397 crore. Our group liquidity remains strong at Rs 30,569 crore.
India revenues were Rs 34,901 crore and EBITDA was Rs 7,514 crore
Crude steel production was around 5 million tons and was up 2% YoY primarily driven by ramp-up at Neelachal Ispat Nigam Limited.
Deliveries at 4.8 million tons were higher by 18% on a YoY basis, driven by a rise in domestic deliveries. Broad-based improvement was witnessed across key end-use segments.
EBITDA was Rs 7,514 crore which translates into EBITDA per ton of Rs 15,651 and EBITDA margin of 22%
Europe revenues were £ 2,083 million and EBITDA loss stood at £ 153 million.
The planned relining of BF6 at Tata Steel Netherlands commenced in April and this has led to a drop in crude steel production.
Liquid steel production was 1.79 million tons while deliveries stood at 1.99 million tons.
T V Narendran, Chief Executive Officer & Managing Director: “During the quarter, the global economic recovery continued to face headwinds affecting commodity prices including steel. In India, domestic steel demand continued to grow and was up around 10% on a YoY basis but steel spot prices moderated in line with global cues. Tata Steel delivered steady performance, with India's crude steel production of around 5 million tons. Domestic deliveries were up >20% and grew at a faster pace than India’s apparent steel consumption. We saw strong growth in key segments such as Branded Products & Retail and Industrial Products & Projects which grew by 37% and 24% respectively, on a YoY basis. Our retail sales majorly to individual home builders crossed 3 million tons in the last 12 months and we now service 8,000 out of ~19,100 pin codes in India. I am happy to share that Neelachal Ispat Nigam Limited has begun to stabilize and is operating close to rated capacity within just 9 months of acquisition. The 5 MTPA expansion at Kalinganagar is underway with facilities getting commissioned in a phased manner. This is an important milestone in our journey to grow to 40 million tons and will aid in further consolidating our market position in India. We continue to progress on our sustainability journey and multiple initiatives are underway, calibrated to each operating location. In the Netherlands, we are pursuing the Roadmap program to bring about a significant reduction in emissions, dust, odour, and noise. We are also engaged in discussions with technology providers and the government for transitioning to greener steel.”
Koushik Chatterjee, Executive Director, and Chief Financial Officer: “Tata Steel Consolidated revenues for the quarter stood at Rs 59,490 crore and consolidated EBITDA stood at Rs 6,122 crore, which translates to an EBITDA per ton of Rs 8,503. Despite moderation in global steel spreads, our margin was broadly stable at around 10%. India's business generated a higher margin of around 22% and EBITDA stood at Rs 7,514 crore. Standalone revenues stood at Rs 32,342 crore and EBITDA was Rs 7,348 crore, which translates to an EBITDA per ton of ~Rs 15,895. In Europe, margins were broadly similar on QoQ basis as a rise in revenue per ton was offset by lower volumes and elevated input costs. In the UK, the buy-in transaction for the residual liabilities of the British Steel Pension Scheme has been completed, successfully derisking Tata Steel UK. Volatility in steel markets has impacted working capital and cash flows but we continue to commit to growth in India and spent Rs 4,089 crore on capital expenditure during the quarter. This has led to a Net debt of Rs 71,397 crore. The group liquidity position remains strong at Rs 30,569 crore, which includes Rs 19,043 crore of cash and cash equivalents. We remain focused on cost optimization, operational improvements, and working capital management to maximize cashflows. Sustainability is at the core of our strategy which includes providing comprehensive disclosures. We recently published our first Business Responsibility and Sustainability Report and are actively involved in the development of global and national standards concerning sustainability disclosures.”
TATA STEEL LIMITED is engaged in the Steel sector. The company has a market capitalization worth INR 1,06,448.44 Cr as of 16th April 2021. It was founded in 1907 in India as Asia's first integrated private steel company. The company has reported net consolidated revenue of 17,965.66 Cr at the end of December 2020. This company is found listed on the Bombay Stock Exchange(BSE), having the code 500470 and on the National Stock Exchange (NSE) with the symbol TATASTEEL.
The company was formerly known as Tata Iron and Steel Company Limited and is a subsidiary of the Tata Group. The company boasts about being the world's second-most geographically-diversified steel producer, and it operates in 26 countries around the world.
Tata Steel Limited is an Indian global steel-making firm located in Jamshedpur, Jharkhand. It is headquartered in Mumbai, Maharashtra, India. The Tata Group owns this company. After the Steel Authority of India Limited, India's second-largest steel corporation has an annual capacity of 13 million tonnes (SAIL). Tata Steel agreed to buy the steel-making facilities of Singapore-based NatSteel for $486.4 million in cash in August 2004. Tata Steel acquired the entire company Bhushan Steel in 2017–18 and renamed Tata Steel BSL.
The company relishes an annual steel production of 33 Mn/annum as of 16th April 2021. Tata Steel successfully delivered 16.26mn/ annum of steel to the local market in the FY 2019, increasing 34% over the previous year. Tata Steel has shown positive traits as it has achieved the highest ever crude steel production of 4.75 million tonnes in the 4th Quarter of Financial Year 2021 with a 3% growth in the 4th Quarter. The Promoter pledge has dropped to an all-time low of 1.55 per cent for the firm. The firm has recovered its market capitalization of Rs. 1 trillion. The company's crude steel output increased by 3% to 4.60 million. The company's debt stood at Rs 1,17,457 crores as of 31st March 2020. There is an increase in the holdings of FII from 14.6 in June 2019 to 18.56 as of March 2021. The company has recorded a growth in Net Profit in the December 2020 Quarter of Rs.3922 Cr as against the September 2020 Quarter of Rs. 1591 crores.
TATA STEEL LIMITED is engaged in the Steel sector. The company has a market capitalization worth INR 1,06,448.44 Cr as of 16th April 2021. It was founded in 1907 in India as Asia's first integrated private steel company. The company has reported net consolidated revenue of 17,965.66 Cr at the end of December 2020. This company is found listed on the Bombay Stock Exchange(BSE), having the code 500470 and on the National Stock Exchange (NSE) with the symbol TATASTEEL.
The company was formerly known as Tata Iron and Steel Company Limited and is a subsidiary of the Tata Group. The company boasts about being the world's second-most geographically-diversified steel producer, and it operates in 26 countries around the world.
Tata Steel Limited is an Indian global steel-making firm located in Jamshedpur, Jharkhand. It is headquartered in Mumbai, Maharashtra, India. The Tata Group owns this company. After the Steel Authority of India Limited, India's second-largest steel corporation has an annual capacity of 13 million tonnes (SAIL). Tata Steel agreed to buy the steel-making facilities of Singapore-based NatSteel for $486.4 million in cash in August 2004. Tata Steel acquired the entire company Bhushan Steel in 2017–18 and renamed Tata Steel BSL.
The company relishes an annual steel production of 33 Mn/annum as of 16th April 2021. Tata Steel successfully delivered 16.26mn/ annum of steel to the local market in the FY 2019, increasing 34% over the previous year. Tata Steel has shown positive traits as it has achieved the highest ever crude steel production of 4.75 million tonnes in the 4th Quarter of Financial Year 2021 with a 3% growth in the 4th Quarter. The Promoter pledge has dropped to an all-time low of 1.55 per cent for the firm. The firm has recovered its market capitalization of Rs. 1 trillion. The company's crude steel output increased by 3% to 4.60 million. The company's debt stood at Rs 1,17,457 crores as of 31st March 2020. There is an increase in the holdings of FII from 14.6 in June 2019 to 18.56 as of March 2021. The company has recorded a growth in Net Profit in the December 2020 Quarter of Rs.3922 Cr as against the September 2020 Quarter of Rs. 1591 crores.
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Company share prices and volatile and keep changing according to the market conditions. As of Sep 22, 2023 03:59 PM the closing price of Tata Steel Ltd was ₹ 126.75.
Market capitalization or market cap is determined by multiplying the current market price of a company’s shares with the total number of shares outstanding. As of Sep 22, 2023 03:59 PM, the market cap of Tata Steel Ltd stood at ₹ 154,907.98.