Tata Steel on Friday reported 139% jump in consolidated net profit at Rs 9,598 crore for the quarter ending December 31, 2021. The steelmaker reported consolidated net profit of Rs 4,011 crore in the year-ago period.
Consolidated free cash flow was Rs 6,338 crore during 3QFY22 despite an increase in working capital of Rs 2,045 crore, said the company. Consolidated revenue surged 45% to Rs 60,783 crore as against Rs 41,935 crore a year ago.
T V Narendran, Chief Executive Officer & Managing Director, said: “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."
Koushik Chatterjee, Executive Director and Chief Financial Officer, said: “Tata Steel continued to deliver strong operating and financial performance in 3QFY22 with year on year EBIDTA growth of 64% and Profit after Tax growth of 139%. The company posted strong operating cash flows in the quarter despite a significant surge in international coal prices and increased working capital requirements. Despite market volatility, the revenues were broadly stable at Rs 60,783 crores while EBIDTA was Rs 15,853 crores which works out to a margin of 26% with Tata Steel Standalone EBIDTA margin at 38%."
On Friday, the company's scrip closed trading 0.9% higher at Rs 1,176.
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