Tata Steel Q2 PAT rises 16% to Rs 3,700 crore; EBITDA up 17%
Revenue from operations increased 11.5% YoY to Rs 65,436 crore from Rs 58,689 crore. Sequentially, revenue rose 7.6% from Rs 60,794 crore.
EBITDA increased 17.1% YoY to Rs 10,665 crore from Rs 9,106 crore. Sequentially, EBITDA rose 13.8% from Rs 9,370 crore. EBITDA margin improved to 16.3% from 15.5% a year ago and 15.4% in Q1 FY27. EBITDA per tonne increased to Rs 13,462 from Rs 11,518 a year ago and Rs 12,898 in the previous quarter.
Profit before tax before exceptional items increased 10.0% YoY to Rs 5,106 crore from Rs 4,643 crore. Sequentially, it rose 22.1% from Rs 4,183 crore. The company reported an exceptional gain of Rs 349 crore during the quarter, compared with an exceptional loss of Rs 420 crore a year ago and an exceptional loss of Rs 345 crore in Q1 FY27.
Total production increased to 8.07 million tonnes from 7.73 million tonnes a year ago, while deliveries remained largely unchanged at 7.92 million tonnes against 7.91 million tonnes. Sequentially, production rose 4.9% and deliveries increased 8.9%.
In India, revenue stood at Rs 42,653 crore, while EBITDA reached Rs 10,634 crore, translating into a margin of 25%. Crude steel production increased 7% QoQ to 6.18 million tonnes, while deliveries rose 16% to 5.98 million tonnes.
In the Netherlands, revenue stood at EUR 1,395 million and EBITDA was EUR 72 million, supported by the restart of the Direct Sheet Plant in early August. Liquid steel production stood at 1.52 million tonnes and deliveries at 1.30 million tonnes.
In the UK, revenue stood at GBP 411 million, while EBITDA loss amounted to GBP 56 million. Deliveries stood at 0.38 million tonnes.
Net debt stood at Rs 91,423 crore, with the net debt-to-EBITDA ratio at 2.4 times. Group liquidity stood at Rs 40,076 crore, including cash and cash equivalents of approximately Rs 10,300 crore.
Chief executive officer and managing director T V Narendran said the company delivered strong growth in deliveries and earnings, supported by higher volumes in India and improved operations in the Netherlands. He highlighted record second-quarter volumes in the Automotive and Special Products vertical, along with progress on capacity expansion and downstream projects.
Executive director and chief financial officer Koushik Chatterjee said higher volumes in India and operational normalisation in the Netherlands helped offset elevated input costs. He added that the company remained focused on cost optimisation, operational improvements and working capital management.
Tata Steel is progressing with its 4.8 MTPA capacity expansion at Neelachal Ispat Nigam and downstream projects, including a 0.7 MTPA Hot Rolled Pickling and Galvanising Line and a 300 kt Tinplate expansion.
Tata Steel is among the world's leading steel producers, with an annual crude steel capacity of 36 million tonnes and operations across five continents. The group employs over 77,000 people and reported consolidated turnover of around US$26 billion in FY26. Its operations span the steel value chain, with a focus on digital transformation, operational efficiency and sustainability. The company has set a target of achieving net-zero emissions by 2045.
Shares of Tata Steel were down 1.31% at Rs 187.70 on the NSE.
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