Consolidated net sales (including other operating income) of Tata Steel has
declined 6.79% to Rs 58687.31 crore.
Sales of Tata Steel India segment has gone down 4% to Rs 36,634.78 crore
(accounting for 47.96% of total sales).
Sales of Other Indian Operations segment has gone up 11% to Rs 3,199.11
crore (accounting for 4.19% of total sales).
Sales of Tata Steel Europe segment has gone down 10.05% to Rs 19,820.50
crore (accounting for 25.95% of total sales).
Sales of Other Trade Related Operations segment has gone down 20.65% to
Rs 13,654.12 crore (accounting for 17.88% of total sales). Sales of Rest of the world has gone up 26.00%
to Rs 33.73 crore (accounting for 0.04% of total sales). Sales of South East Asian operations has gone
down 12.99% to Rs 1,912.96 crore (accounting for 2.50% of total sales). Inter-segment sales came down from Rs
20694.86 crore to Rs 17,694.30 crore.
Profit before interest, tax and other unallocable items (PBIT) has jumped
3.25% to Rs 7,523.34 crore. PBIT of Tata
Steel India segment fell 5% to Rs 8,190.23 crore (accounting for 108.86% of
total PBIT). PBIT of Other Indian
Operations segment rose 66% to Rs 264.49 crore (accounting for 3.52% of total
PBIT). PBIT of Tata Steel Europe segment
fell 59.83% to Rs -659.26 crore (accounting for -8.76% of total PBIT). PBIT of Other Trade Related Operations
reported loss of Rs 193.48 crore compared to profit of Rs 355.47 crore. PBIT of Rest of the World fell 42.09% to Rs
-184.70 crore (accounting for -2.46% of total PBIT). PBIT of South East Asian operations fell
44.41% to Rs 35.44 crore (accounting for 0.47% of total PBIT).
PBIT margin of Tata Steel India segment fell from 22.7% to 22.4%. PBIT margin of Other Indian Operations
segment rose from 5.5% to 8.3%. PBIT
margin of Tata Steel Europe segment rose from negative 7.45% to negative
3.33%. PBIT margin of Other Trade
Related Operations segment fell from 2.07% to negative 1.42%. PBIT margin of REst of the world fell from
negative 485.58% to negative 547.58%.
PBIT margin of South ease ASia operations fell from 2.90% to 1.85%. Overall PBIT margin rose from 8.7% to
9.8%.
Operating profit margin has declined from 11.47% to 11.25%, leading to 8.57%
decline in operating profit to Rs 6,600.63 crore. Raw material cost as a % of total sales (net
of stock adjustments) decreased from 37.61% to 36.36%. Purchase of finished goods cost rose from
5.49% to 6.32%. Employee cost increased
from 9.61% to 10.80%. Other expenses
fell from 35.31% to 34.91%.
Other income rose 3.76% to Rs 175.91 crore.
PBIDT fell 8.29% to Rs 6776.54 crore.
Provision for interest rose 2.71% to Rs 1842.25 crore. Loan funds rose to Rs 87,082.12 crore as of
31 March 2024 from Rs 84,893.05 crore as of 31 March 2023. Inventories declined from Rs 54,415.33 crore
as of 31 March 2023 to Rs 49,157.51 crore as of 31 March 2024. Sundry debtors were lower at Rs 6,263.53
crore as of 31 March 2024 compared to Rs 8,257.24 crore as of 31 March
2023. Cash and bank balance declined
from Rs 13,357.26 crore as of 31 March 2023 to Rs 8,677.72 crore as of 31 March
2024. Investments declined from Rs
8,410.31 crore as of 31 March 2023 to Rs 6,257.57 crore as of 31 March
2024.
PBDT fell 11.81% to Rs 4934.29 crore.
Provision for depreciation rose 7.80% to Rs 2567.95 crore. Fixed assets declined from Rs 1,72,232.83
crore as of 31 March 2023 to Rs 1,64,494.22 crore as of 31 March 2024. Intangible assets increased from Rs 5,601.65
crore to Rs 18,675.69 crore.
Profit before tax down 26.35% to Rs 2,366.34 crore. Share of profit/loss was 61.56% lower at Rs
37 crore. Provision for tax was expense
of Rs 1254.31 crore, compared to Rs 1754.53 crore. Effective tax rate was 69.34% compared to
52.84%.
Minority interest increased 58.94% to Rs -56.92 crore. Net profit attributable to owners of the
company decreased 64.13% to Rs 611.48 crore.
Equity capital increased from Rs 1,221.24 crore as of 31 March 2023 to Rs
1,247.44 crore as of 31 March 2024. Per
share face Value remained same at Rs 1.00.
Promoters’ stake was 33.19% as of 31 March 2024 ,compared to 33.90% as of 31
March 2023 .
Mr. T V Narendran, Chief Executive
Officer & Managing Director:
“FY2024 has been a year of progress for Tata Steel with transition towards
stated goals in India and abroad despite the challenging operating environment.
In India, which is a structurally attractive market, we have delivered improved
margins and continued to expand our footprint in terms of volumes as well as
product portfolio. Our domestic deliveries were best ever at around 19 million
tons and were up 9% YoY with broad based improvement across chosen market
segments. Automotive volumes were aided by higher deliveries of hot-rolled and
cold-rolled steel to auto OEMs while our well-established retail brand Tata
Tiscon crossed 2 million tons on an annual basis. We have consistently filed
100+ patents per annum, on average, in the last 5 years. Overall, India
deliveries now make up 68% of total deliveries and will continue to grow with
incremental volumes from 5 MTPA capacity expansion at Kalinganagar. With
respect to the UK operations, we have decided to proceed with the proposed
restructuring of heavy end UK assets and transition to greener steelmaking
after due consideration of all the options over the last 7 months in
consultation with union representatives. We are committed to creating a low-CO2
steel business that preserves the majority of the jobs in UK while also
creating economic opportunities. In Netherlands, our production was lower due
to the relining of BF6. The relining was completed in early February and we
have stabilised the operations. We continue to undertake multiple initiatives
across geographies to progress on our sustainability journey. I am happy to
share that we have achieved zero effluent discharge at our Kalinganagar site in
India and have been recognised by worldsteel as Sustainability champion for the
seventh time in a row.”
Mr. Koushik Chatterjee, Executive
Director and Chief Financial Officer:
“Tata Steel Consolidated revenues for FY2024 were around $27.7 billion aided
by higher volumes in India. Consolidated EBITDA was Rs 23,402 crores, which
translates to an EBITDA margin of around 10%. India EBITDA increased by 10% YoY
to Rs 31,057 crores, with margin improvement of around 200 bps to 22%,
translating to Profit after tax (excluding exceptional items) of Rs 17,514
crores. For the quarter, Consolidated revenues were Rs 58,687 crores and EBITDA
was marginally higher at Rs 6,631 crores on QoQ basis. Consolidated cash flow
from operations was around Rs 7,400 crores for the quarter and Rs 20,300 crores
for the full year. Our capital expenditure was Rs 4,850 crores for the quarter
and Rs 18,207 crores for the full year, up 29% YoY. Our Group liquidity remains
strong at Rs 31,767 crores. The Board has recommended a dividend of Rs 3.60 per
share. Moving to strategic initiatives, we have been carefully considering the
alternative proposal from the representative body of the UK trade unions and
have concluded that maintaining one blast furnace till the transition would
have incurred at least £1.6 billion of additional costs, created significant
operational and safety risk, and delayed the EAF by two years. We have
therefore discussed with the Unions and concluded national level consultation
on the asset plan. We will proceed with our proposal to shut down heavy end
assets this year, and setup the EAF by 2027. This is a difficult period of change
for our people and we will do our upmost to support the affected employees.
With respect to the Electric Arc Furnace, we will place equipment orders by Sep
2024 and have signed the agreement with the UK National Grid securing the high
voltage connection, which will be available on schedule. We have as part of
discussions with the unions, offered the best ever package of support for
affected employees in Tata Steel UK. We have also agreed the final and detailed
terms of the proposed grant package with the UK government to support the £1.25
billion investment.”
Full year results analysis
Net sales (including other operating income) of Tata Steel has declined
5.83% to Rs 229170.78 crore. Sales of
Tata Steel India segment has gone down 1.35% to Rs 1,40,987.43 crore
(accounting for 46.74% of total sales).
Sales of Other Indian Operations segment has gone up 7.60% to Rs
11,751.30 crore (accounting for 3.90% of total sales). Sales of Tata Steel Europe segment has gone
down 13.46% to Rs 78,144.00 crore (accounting for 25.91% of total sales). Sales of Other Trade Related Operations
segment has gone down 23.38% to Rs 56,681.06 crore (accounting for 18.79% of
total sales). Sales of Rest of the World
segment has gone up 104.99% to Rs 1,329.89 crore (accounting for 0.44% of total
sales). Sales of South east asia
operations has gone down 17.22% to Rs 7,227.88 crore (accounting for 2.40% of
total sales). Sales of Neelachal Ispat
Nigam Limited segment has gone up 234.56% to Rs 5,505.43 crore (accounting for
1.83% of total sales). Inter-segment
sales came down from Rs 85,781.90 crore to Rs 72,456.21 crore.
Profit before interest, tax and other unallocable items (PBIT) has slumped
23.91% to Rs 25,516.70 crore. PBIT of
Tata Steel India segment rose 7.83% to Rs 31,004.44 crore (accounting for
121.51% of total PBIT). PBIT of Other
Indian Operations segment rose 19.91% to Rs 912.86 crore (accounting for 3.58%
of total PBIT). PBIT of Tata Steel
Europe reported loss of Rs 7,612.44 crore compared to profit of Rs 4,632.06
crore. PBIT of Other Trade Related
Operations segment rose 579.02% to Rs 1,144.08 crore (accounting for 4.48% of
total PBIT). PBIT of Rest of the World
segment rose 80.32% to Rs -94.65 crore (accounting for -0.37% of total
PBIT). PBIT of South EAse ASia operations
fell 76.87% to Rs 109.53 crore (accounting for 0.43% of total PBIT). PBIT of Neelachal Ispat Nigam Limited
reported profit of Rs 52.88 crore compared to loss of Rs 773.23 crore.
PBIT margin of Tata Steel India segment rose from 20.12% to 21.99%. PBIT margin of Other Indian Operations
segment rose from 6.97% to 7.77%. PBIT
margin of Tata Steel Europe segment fell from 5.13% to -9.74%. PBIT margin of Other Trade Related Operations
segment rose from 0.23% to 2.02%. PBIT
margin of Rest of the World segment rose from negative 74.13% to negative
7.12%. PBIT South East Asia opeations of
segment fell from 5.42% to 1.52%. PBIT
margin of Neelachal Ispat Nigam Limited segment rose from negative 46.99% to
0.96%. Overall PBIT margin fell from
10.19% to 8.46%.
Operating profit margin has declined from 13.27% to 9.73%, leading to 30.94%
decline in operating profit to Rs 22,305.90 crore. Raw material cost as a % of total sales (net
of stock adjustments) decreased from 41.13% to 36.72%. Purchase of finished goods cost rose from
6.13% to 6.66%. Employee cost increased
from 9.09% to 10.90%. Other expenses
rose from 30.56% to 35.79%.
Other income rose 74.35% to Rs 1808.85 crore. PBIDT fell 27.67% to Rs 24114.75 crore. Provision for interest rose 19.19% to Rs
7507.57 crore. Loan funds rose to Rs
87,082.12 crore as of 31 March 2024 from Rs 84,893.05 crore as of 31 March
2023. Inventories declined from Rs
54,415.33 crore as of 31 March 2023 to Rs 49,157.51 crore as of 31 March
2024. Sundry debtors were lower at Rs
6,263.53 crore as of 31 March 2024 compared to Rs 8,257.24 crore as of 31 March
2023. Cash and bank balance declined
from Rs 13,357.26 crore as of 31 March 2023 to Rs 8,677.72 crore as of 31 March
2024. Investments declined from Rs 8,410.31
crore as of 31 March 2023 to Rs 6,257.57 crore as of 31 March 2024.
PBDT fell 38.58% to Rs 16607.18 crore.
Provision for depreciation rose 5.86% to Rs 9882.16 crore. Fixed assets declined from Rs 1,72,232.83
crore as of 31 March 2023 to Rs 1,64,494.22 crore as of 31 March 2024. Intangible assets increased from Rs 5,601.65 crore
to Rs 18,675.69 crore.
Profit before tax down 62.01% to Rs 6,725.02 crore. Provision for tax was expense of Rs 3762.57
crore, compared to Rs 10159.77 crore.
Effective tax rate was negative 328.02% compared to 55.72%.
Minority interest increased 31.08% to Rs -472.17 crore.
Equity capital increased from Rs 1,221.24 crore as of 31 March 2023 to Rs
1,247.44 crore as of 31 March 2024. Per
share face Value remained same at Rs 1.00.
Promoters’ stake was 33.19% as of
31 March 2024 ,compared to 33.90% as of 31 March 2023 .
The scrip is currently trading at
Rs 164
Tata
Steel : Consolidated Results
|
Particulars
|
2403 (03)
|
2303 (03)
|
Var.(%)
|
2403 (12)
|
2303 (12)
|
Var.(%)
|
Net Sales
|
58,687.31
|
62,961.54
|
-7
|
2,29,170.78
|
2,43,352.69
|
-6
|
OPM (%)
|
11.3
|
11.5
|
|
9.7
|
13.3
|
|
OP
|
6,600.63
|
7,219.20
|
-9
|
22,305.90
|
32,300.16
|
-31
|
Other Inc.
|
175.91
|
169.54
|
4
|
1,808.85
|
1,037.48
|
74
|
PBIDT
|
6,776.54
|
7,388.74
|
-8
|
24,114.75
|
33,337.64
|
-28
|
Interest
|
1,842.25
|
1,793.60
|
3
|
7,507.57
|
6,298.70
|
19
|
PBDT
|
4,934.29
|
5,595.14
|
-12
|
16,607.18
|
27,038.94
|
-39
|
Depreciation
|
2567.95
|
2382.21
|
8
|
9882.16
|
9335.2
|
6
|
PBT
|
2,366.34
|
3,212.93
|
-26
|
6725.02
|
17703.74
|
-62
|
Share of Profit/(Loss)
from Associates
|
37
|
96.25
|
-62
|
-57.98
|
418.12
|
PL
|
PBT before EO
|
2403.34
|
3309.18
|
-27
|
6667.04
|
18121.86
|
-63
|
EO Income
|
-594.47
|
11.59
|
PL
|
-7814.08
|
113.26
|
PL
|
PBT after EO
|
1808.87
|
3320.77
|
-46
|
-1147.04
|
18235.12
|
PL
|
Taxation
|
1254.31
|
1754.53
|
-29
|
3762.57
|
10159.77
|
-63
|
PAT
|
554.56
|
1566.24
|
-65
|
-4909.61
|
8075.35
|
PL
|
Minority Interest (MI)
|
-56.92
|
-138.62
|
59
|
-472.17
|
-685.05
|
31
|
Net profit
|
611.48
|
1704.86
|
-64
|
-4437.44
|
8760.4
|
PL
|
EPS (Rs)*
|
#
|
#
|
|
2.1
|
7.0
|
|
Notes
|
* EPS is on current
equity of Rs 1,248.35 crore, Face value of Rs 1, Excluding extraordinary
items.
|
# EPS is not annualised
|
bps : Basis points
|
EO : Extraordinary
items
|
Figures in Rs crore
|
Source: Capitaline
Corporate Database
|
Tata
Steel : Consolidated Segment Results
|
|
% of
(Total)
|
2403 (03)
|
2303 (03)
|
Var.(%)
|
% of
(Total)
|
2403 (12)
|
2303 (12)
|
Var.(%)
|
Sales
|
|
|
|
|
Tata Steel India
|
48
|
36,634.78
|
38,048.07
|
-4
|
47
|
1,40,987.43
|
1,42,913.32
|
-1
|
Other Indian Operations
|
4
|
3,199.11
|
2,879.65
|
11
|
4
|
11,751.30
|
10,921.59
|
8
|
Tata Steel Europe
|
26
|
19,820.50
|
22,036.15
|
-10
|
26
|
78,144.00
|
90,300.39
|
-13
|
Other Trade Related
Operations
|
18
|
13,654.12
|
17,207.12
|
-21
|
19
|
56,681.06
|
73,973.53
|
-23
|
Rest of the World
|
0
|
33.73
|
26.77
|
26
|
0
|
1,329.89
|
648.77
|
105
|
South East Asian
operations
|
3
|
1,912.96
|
2,198.52
|
-13
|
2
|
7,227.88
|
8,731.44
|
-17
|
Neelachal Ispat Nigam
Limited
|
1
|
1,126.41
|
1259.14
|
-11
|
2
|
5,505.43
|
1,645.55
|
235
|
Total Reported Sales
|
100
|
76,381.61
|
83,655.42
|
-9
|
100
|
3,01,626.99
|
3,29,134.59
|
-8
|
Less: Inter segment
revenues
|
|
17,694.30
|
20,694.86
|
-14
|
|
72,456.21
|
85,781.90
|
-16
|
Net Sales
|
|
58,687.31
|
62,960.56
|
-7
|
|
2,29,170.78
|
2,43,352.69
|
-6
|
PBIT
|
|
|
|
|
Tata Steel India
|
109
|
8,190.23
|
8,642.05
|
-5
|
122
|
31,004.44
|
28,753.76
|
8
|
Other Indian Operations
|
4
|
264.49
|
159.5
|
66
|
4
|
912.86
|
761.27
|
20
|
Tata Steel Europe
|
-9
|
-659.26
|
-1,641.19
|
-60
|
-30
|
-7,612.44
|
4,632.06
|
PL
|
Other Trade Related
Operations
|
-3
|
-193.48
|
355.47
|
PL
|
4
|
1,144.08
|
168.49
|
579
|
Rest of the World
|
-2
|
-184.7
|
-129.99
|
42
|
0
|
-94.65
|
-480.91
|
-80
|
South East Asian
operations
|
0
|
35.44
|
63.75
|
-44
|
0
|
109.53
|
473.64
|
-77
|
Neelachal Ispat Nigam
Limited
|
1
|
70.62
|
-158.63
|
LP
|
0
|
52.88
|
-773.23
|
LP
|
Total PBIT
|
100
|
7,523.34
|
7,290.96
|
3
|
100
|
25,516.70
|
33,535.08
|
-24
|
Less : Interest
|
|
1,842.25
|
1,793.60
|
3
|
|
7,507.57
|
6,298.70
|
19
|
Add: Other un-allcoable
|
|
-3,872.22
|
-2,176.59
|
78
|
|
-19,156.17
|
-9,001.26
|
113
|
PBT
|
|
1,808.87
|
3,320.77
|
-46
|
|
-1,147.04
|
18,235.12
|
PL
|
|