Revenue during the quarter grew by 27.6 percent to Rs 37,832.8 crore from Rs 29,657.3 crore.
Shares of Tata Steel gained more than 3 percent intraday Tuesday as company posted robust numbers in the quarter ended June 2018.
The company's Q1FY19 consolidated profit more than doubled to Rs 1,933.8 crore compared to Rs 921.1 crore in the corresponding period last fiscal, driven by growth across the board.
Revenue during the quarter grew by 27.6 percent to Rs 37,832.8 crore from Rs 29,657.3 crore.
EBITDA (earnings before interest, tax, depreciation and amortisation) increased 30 percent year-on-year to Rs 6,467.6 crore and margin expanded by 30 basis points to 17.1 percent in Q1.
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Brokerage: Credit Suisse | Rating: Outperform | Target: Rs 860
Credit Suisse has maintained outperform rating on Tata Steel with a price target of Rs 860.
According to Reserach house, Bhushan Steel acquisition drove net profit miss, while adjusted EBITDA was inline.
India business was inline, while Europe business beat the estimates. Credit Suisse cut EV/EBITDA multiple as cyclical profitability of industry improves, it added.
Brokerage: CLSA | Rating: Buy | Target: Rs 855
CLSA has maintained buy call on Tata Steel with a price target of Rs 855.
The company posted good operational results in June quarter. Steel margins expand QoQ in both India and Europe, it said.
CLSA expects margin to ease sequentially from Q1 high, while iron ore integration can provide a boost to Bhushan Steel margins.
Brokerage: Investec | Rating: Buy | Target: Rs 730
Investec has maintained buy on Tata Steel and raised price target to Rs 730 from Rs 720 per share.
According to Investec, the company's operational performance beat across geographies on back of stronger spreads.
The balance sheet remains a concern, it feels.
The research house expect, an expensive Bhushan power win and volatility in currencies are near term risks.
At 09:52 hrs Tata Steel was quoting at Rs 576.65, up Rs 7.45, or 1.31 percent on the BSE.
Posted by Rakesh Patil