Tata Steel Q3 net profit rises 139% to Rs 9,598 cr, revenue rises 45%

Tata Steel announced on Friday a 139% jump in consolidated net profit to Rs 9,598 crore for the quarter ending December 31, 2021. The steelmaker announced a consolidated net profit of Rs 4,011 crore for the period from last year.

Consolidated free cash flow was Rs 6,338 crore during 3QFY22 despite an increase in working capital of Rs 2,045 crore, the company said. Consolidated revenue jumped 45% to Rs 60,783 crore from Rs 41,935 crore a year ago.

TV Narendran, CEO & Managing Director, said, “Steel demand in India has started to improve on the back of continued economic recovery as the 3rd wave of COVID begins to ebb. Our steel deliveries to India increased by 4% in the first nine months of the year, alongside an improved product mix. We continue to generate accretive value growth in our chosen segments and our performance in key segments such as automotive has been strong despite the sector being hit by semiconductor shortages. Our European businesses continue to perform well, supported by a strong improvement in achievements.”

Koushik Chatterjee, Executive Director and Chief Financial Officer, said, “Tata Steel continued to show strong operational and financial performance in 3QFY22 with EBIDTA growth of 64% on an annual basis and profit after tax growth of 139%. The company posted strong cash flow from operations in the quarter despite a sharp rise in international coal prices and increased working capital requirements. Despite market volatility, revenue remained broadly stable at Rs 60,783 crore while EBIDTA was Rs 15,853 crore, corresponding to a margin of 26% with Tata Steel standalone EBIDTA margin at 38 %. »

On Friday, the company’s certificate closed up 0.9% at 1,176 rupees.

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