Tata Steel's revenue from operations came in at Rs 60,525 crore, up 46 per cent annually and its profit more than doubled to Rs 9,598 crore
Shares of the country's leading steel maker - Tata Steel - rose as much as 3.26 per cent to hit an intraday high of Rs 1,214.45 after its net profit in December quarter rose 79 per cent to Rs 7,683 crore versus Rs 4,285 crore in the same quarter last financial year. Its revenue from operations jumped 37 per cent to Rs 31,623 crore from Rs 22,870 crore in the year ago period.
On consolidated basis, Tata Steel's revenue from operations came in at Rs 60,525 crore, up 46 per cent annually and its profit more than doubled to Rs 9,598 crore versus Rs 4,011 crore in the same period last year.
Consolidated EBITDA also known as operating profit stood at Rs 15,853 crore and free cash flow was Rs 6,338 crore during December quarter despite an increase in working capital of Rs 2,045 crore.
The company has spent Rs 2,790 crore on capex during the quarter. Work on the Pellet plant, the Cold Roll Mill complex and the 5 MTPA expansion at Kalinganagar is ongoing, Tata Steel said in an exchange filing.
Gross debt decreased to Rs 72,603 crore with repayments of Rs.17,376 crore in first nine months of current fiscal. Net debt declined to Rs.62,869 crore. Net debt to EBITDA improved to below 1; Net debt to equity improved to 0.68 times, Tata Steel added.
“India steel demand has begun to improve on the back of continued economic recovery as 3rd wave of COVID begins to ebb. Our steel deliveries in India expanded by 4% in the first nine months of the financial year along with an improvement in product mix. We continue to drive value accretive growth in our chosen segments and our performance in key segments such as auto was robust despite the sector being impacted by the semiconductor shortage. Our European operations continue to perform underpinned by strong improvement in realizations, T V Narendran, Chief Executive Officer & Managing Director of the company said.
As of 11:10 am, Tata Steel shares traded 2 per cent higher at Rs 1,200, outperforming the Sensex which was down nearly 1 per cent.