Tata Steel expects the current financial year to be much promising than the previous year despite the challenges posed by Covid- related disruptions.
Addressing shareholders at the company's annual meeting, N Chandrasekaran, Chairman, Tata Steel, said the past 18 months have been challenging in many ways and the company has seen unprecedented times due to the pandemic.
However, it has done well to strengthen the financial position and reduced the net debt by ₹29,390 crore, aided by the strong market conditions.
Consolidated net debt at year-end was at ₹75,389 crore, down 28 per cent compared to the previous year.
As the company ends the first quarter of this fiscal, it is on course to further reduce its net debt position to have a strong balance sheet in the current financial year.
The company has rationalised around 100 legal entities in the last 24 months. In addition to the simplification exercise, the company has also been investing in the areas of digital analytics and technology to make the business structurally more competitive and agile.
“I believe Tata Steel is at a very important inflection point in its history and has the opportunity to create substantial long-term value for its stakeholders. In the next decade, the company has the vision to build significant scale and consolidate its position as one of the most competitive and valuable steel companies globally. With a stronger balance sheet, an agile and responsive team, disciplined operating culture and a strong market environment for steel worldwide,” he said.