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Tata Steel, a prominent player in the steel industry, made a significant announcement on Wednesday regarding their financial performance for the quarter ending March 2024. The company reported a 64% decline in consolidated net profit, amounting to ₹611 crore, compared to ₹1,705 crore in the same quarter the previous year. This figure fell below the estimated profit of ₹991 crore by D-Street. Additionally, the revenue from operations for the quarter decreased by 7% year-on-year to ₹58,687 crore.
The steel giant also outlined plans to inject up to $2.11 billion (₹17,407.50 crore) into its wholly-owned foreign subsidiary, T Steel Holdings Pte Ltd, through the subscription of equity shares during the fiscal year 2025. The company highlighted its strong financial performance for FY2024, with consolidated revenues reaching around $27.7 billion, mainly driven by increased volumes in India.
Tata Steel’s Chief Financial Officer, Koushik Chatterjee, stated, “Consolidated EBITDA was ₹23,402 crores, with an EBITDA margin of around 10%. India EBITDA saw a 10% increase year-on-year to ₹31,057 crores, with a margin improvement of around 200 bps to 22%. The Board has recommended a dividend of ₹3.60 per share, subject to shareholder approval at the Annual General Meeting scheduled for July 15, 2024. The final dividend record date has been set as July 21, 2024, for determining the entitlement of members to receive dividends for the financial year ended March 31, 2024.
In light of these developments, Tata Steel continues to navigate the dynamic steel market landscape, adapting to market conditions while prioritizing shareholder value and financial sustainability.
