Tata Steel announced its April-June quarter results for the financial year 2021-22, reporting a net profit of Rs 9,768 crore on a consolidated basis, compared to a net loss of Rs 4,648 crore in the corresponding quarter last year.
The country’s largest steelmaker’s revenue from operations in the first quarter of the current fiscal stood at Rs 53,731.78 crore, compared to Rs 25,474 crore in the same quarter last year, marking a growth of 109 per cent year-on-year. The company’s revenue almost doubled in the June quarter, despite the impact of the second wave of the COVID-19 pandemic.
Tata Steel’s total income in the June quarter stood at Rs 53,531.04 crore, compared to Rs 25,662.43 crore in the corresponding quarter last year, according to a regulatory filing by the company to the stock exchanges today.
The crude steel production grew 54.8 per cent year-on-year, but declined 2.6 per cent sequentially to 4.63 million tons in the June quarter due to the impact of the second wave of the pandemic. Tata Steel registered its highest-ever earnings before interest, tax, depreciation, and amortization (EBITDA) to Rs 13,946 crore in the quarter.
The company’s gross debt decreased to Rs 84,237 crore with a debt repayment of Rs 5,894 crore by the end of the June quarter, while the net debt declined to Rs 73,973 crore.
”Despite the increase in working capital due to higher prices of both steel and raw material, the company generated consolidated free cash flow of over Rs.3,500 crores during this quarter and made debt repayments of Rs.5,894 crores,” said Mr. Koushik Chatterjee, Executive Director and Chief Financial Officer, Tata Steel.
On Thursday, August 12, shares of Tata Steel settled 0.60 per cent higher at Rs 1,435 apiece on the BSE.