Tata Steel’s Q1FY25 Quarter Results
- 02 Aug 2024
- Tata Steel reported a 7% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter ended June (Q1FY25). On a year-on-year (YoY) basis, it reduced by 9%.
- Its expenses for the quarter were down by 7% QoQ and 11% YoY.
- The net profit grew 66% QoQ and 75% YoY.
- The earnings per share (EPS) of Tata Steel stood at 0.8 during Q1FY25.
Tata Steel’s Financial Statements for Q1FY25:
| (Rs crores) | Q1FY24 | Q4FY24 | Q1FY25 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total income | 60,666 | 58,863 | 55,031 | -7% | -9% |
Total expenses | 58,553 | 56,497 | 52,389 | -7% | -11% |
Profit before tax | 1,855 | 1,809 | 2,377 | 31% | 28% |
Tax | 1,331 | 1,254 | 1,458 | 16% | 10% |
Profit after tax | 525 | 555 | 919 | 66% | 75% |
Earnings per share | 0.5 | 0.5 | 0.8 |
Financials:
- Revenue: Tata Steel's consolidated revenues decline by 7% QoQ and 9% YoY to ₹55,031 crores in Q1FY25.
- Expense Reduction: Total expenses decreased by 7% QoQ and 11% YoY to ₹52,389 crores.
- Profit Surge: Net profit surged 66% QoQ and 75% YoY, reaching ₹919 crores.
- Profit before tax: Increased by 31% QoQ and 28% YoY, totalling ₹2,377 crores.
- Earnings Per Share: EPS improved to ₹0.8 from ₹0.5 in the previous quarters.
Management Commentary:
Mr T V Narendran, CEO & Managing Director, said,
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“During the quarter, global steel prices were impacted by subdued demand across many regions. In India, despite challenges such as elections and heat waves, steel demand remained broadly stable. Our crude steel production increased by 5% YoY, reaching approximately 5.3 million tons.
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We achieved record deliveries of around 4.9 million tons in the first quarter, supported by a 4% YoY growth in domestic deliveries. The automotive sector saw a notable 9% YoY growth, driven by higher-than-market growth in specific sub-segments. Tata Tiscon also experienced growth through enhanced reach and expanded consumer connect programs.
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We are committed to innovation, focusing on shaping market practices and enhancing customer experiences to maintain our leadership. Our expansion efforts include new dealer appointments, e-commerce portals, and collaborations with influencers. The 5 MTPA expansion project at Kalinganagar is progressing on schedule, with the blast furnace expected to start in September 2024. Additionally, the Continuous Annealing Line of the 2.2 MTPA CRM complex is set to start up in August 2024.
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In the UK, we have safely ceased operations at one of the blast furnaces at Port Talbot and are on track to close the remaining blast furnace by September 2024. We are dedicated to supporting affected employees through training and community support initiatives.
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In the Netherlands, production has increased both QoQ and YoY as operations return to normal levels. Tata Steel remains committed to sustainable operations and has launched the first carbon bank in India. We are also advancing diversity initiatives and are proud to have deployed the first-ever all-female crew of firefighters in the Indian steel industry.”
Data Source: BSE, Company announcements
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