Tata Steel's Q1 FY 2025-26 Quarterly Results

Result Summary

• Tata Steel Ltd reported a 9.2% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a decline of 2.8%.
• Its expenses for the quarter were down by 10.9% QoQ and 3.9% YoY.
• The net profit increased 262.0% QoQ and increased 118.5% YoY.
• The earnings per share (EPS) of Tata Steel Ltd stood at 1.7 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Tata Steel Ltd is a prominent player in the global steel industry, known for its comprehensive range of steel products and solutions. As one of the leading steel manufacturers, Tata Steel operates in various segments, including automotive, construction, engineering, and consumer goods. The company has a robust presence not only in India but also across Europe and Southeast Asia. Tata Steel is recognized for its focus on sustainability and innovation, often spearheading initiatives that aim to enhance environmental and social governance. However, specific recent developments or strategic initiatives are not detailed in the available data.

Revenue

In the first quarter of fiscal year 2026 (Q1FY26), Tata Steel reported a total income of ₹53,466.79 crores. This represents a decrease of 9.2% compared to the previous quarter (Q4FY25), where the total income was ₹58,863.22 crores. On a year-over-year basis, total income saw a decline of 2.8% from ₹55,031.30 crores in Q1FY25. These figures highlight a reduction in revenue both sequentially and annually, reflecting changes in market conditions or sales volumes. The revenue trends are a pivotal component of the company's performance analysis, providing insight into its market positioning and operational efficiency.

Profitability

Tata Steel's profitability metrics for Q1FY26 show significant improvements, with a profit before tax of ₹2,987.36 crores. This marks a substantial quarter-over-quarter increase of 68.6% from ₹1,771.87 crores in Q4FY25. Year-over-year, the profit before tax rose by 30.8% from ₹2,284.31 crores in Q1FY25. The company’s profit after tax also experienced a notable increase, reaching ₹2,007.36 crores, up 262.0% from the previous quarter and 118.5% year-over-year. The earnings per share rose accordingly, from ₹0.50 in Q4FY25 to ₹1.70 in Q1FY26, a 240.0% increase, and also went up 112.5% from ₹0.80 in Q1FY25. These profitability metrics are indicative of the company's ability to manage costs and optimize its operations effectively.

Operating Metrics

Tata Steel's total expenses for Q1FY26 amounted to ₹50,347.31 crores, reflecting a decrease of 10.9% from ₹56,496.88 crores in Q4FY25 and a 3.9% drop from ₹52,389.06 crores in Q1FY25. The reduction in expenses aligns with the company's improved profitability, suggesting effective cost management strategies. Additionally, the tax expense for Q1FY26 was ₹1,059.72 crores, which decreased by 15.5% quarter-over-quarter from ₹1,254.31 crores and by 27.3% year-over-year from ₹1,458.25 crores. The operating metrics highlight Tata Steel's focus on maintaining operational efficiencies and controlling expenditure, which are crucial for sustaining long-term business growth and stability.