Tata Steel Q1 net profit more than doubles to ₹2,007 crore

Time of India

31-07-2025

Tata Steel reported a consolidated net profit of ₹2,007.3 crore for the quarter ended June 2025, more than double the ₹1,014.6 crore reported in the same period last year. The increase was driven by reduced losses in its UK business and improved profitability in India. The figure exceeded market expectations, according to
The Economic Times
.
The company's consolidated revenue from operations fell 2.9 per cent year-on-year to ₹53,178 crore, while consolidated sales volumes dropped 3.6 per cent to 7.12 million tonnes. In India, steel sales were at 4.75 million tonnes, lower than the 4.94 million tonnes sold a year ago.
'The G blast furnace relining in Jamshedpur is at an advanced stage of completion and with Kalinganagar ramping up, India volumes are expected to be sequentially higher in the next quarter,' said chief financial officer Koushik Chatterjee.
UK losses narrow, Netherlands operations improve
Revenues from Tata Steel's UK operations declined to ₹6,096 crore from ₹6,810 crore in the same quarter last year. However, EBITDA -level losses narrowed to ₹468 crore from ₹955 crore. In the Netherlands, the company reported an EBITDA of ₹612 crore, up from ₹453 crore a year earlier. The EBITDA per tonne improved to ₹4,080 from ₹3,075.
At the group level, EBITDA rose 10 per cent year-on-year to ₹7,480 crore, with operating margins at 14 per cent. EBITDA per tonne improved to ₹10,470 from ₹9,407. In India, the adjusted Ebitda per tonne increased to ₹15,760 from ₹14,236, and margins stood at 24 per cent.
'Higher steel realisations offset the decline in volumes across geographies,' Chatterjee said. 'Our cost transformation programme, focused on multiple levers including operating KPIs, supply chain and procurement, has delivered around ₹2,900 crore during the quarter.'
Capex and debt position
The company incurred capital expenditure of ₹3,829 crore during the quarter. Its net debt stood at ₹84,835 crore at the end of June, up from ₹82,579 crore at the end of March.
Tata Steel had earlier indicated that it was working on restructuring its European operations, particularly in the UK, amid efforts to transition to low-emission steel production. The narrowing losses in the UK come after workforce reduction announcements linked to the closure of blast furnaces in Port Talbot.