Shares of Tata Steel gained 2 per cent in Monday’s trade after the steelmaker came out with its production numbers for the December quarter.
Tata Steel said its India crude steel production stood at 5 million tonnes in the third quarter, which was up 4 per cent on both year-on-year (YoY) and sequential basis. Deliveries for the quarter stood at 4.73 million tonnes and were up 7 per cent YoY, primarily driven by 11 per cent growth in domestic deliveries, which also led to improvement in product mix, the Tata Group firm said in a BSE filing.
For the nine month period, Tata Steel India crude steel production and deliveries were up 4 per cent on YoY basis while domestic deliveries were up 10 per cent YoY.
Following the development, the stock rose 2.16 per cent to hit a high of Rs 118.10 on BSE. The scrip has delivered a flat return in the last one year.
During the quarter, Tata Steel Europe steel deliveries stood at 1.96 million tonnes, down on YoY basis, but up 5 per cent on QoQ basis, it said. Production for Tata Steel Europe was down on both sequential and YoY basis, Tata Steel said.
Tata Steel said Neelachal Ispat Nigam Limited (NINL) has begun operations within 3 months of completion of acquisition and is presently undergoing ramp up to rated capacity of 1 million tonnes. Tata Tiscon rebars are being made from NINL billets, Tata Steel noted.
As far as Tata Steel India segments were concerned, automotive & special products’ segment deliveries stood at 2 million tonnes and were up 7 per cent on YoY basis, surpassing the previous best recorded in 9MFY19.
“For the quarter, deliveries were marginally lower due to drop in automotive production,” Tata Steel said.
The steelmaker said Branded Products & Retail segment deliveries stood at 4.1 million tonnes and were up 10 per cent YoY, similar to the previous best in 9MFY20. For the quarter, deliveries were up 13 per cent YoY.
Tata Tiscon registered its best-ever quarterly sales enabled by expanded reach, Tata Steel said.
‘Industrial Products & Projects’ segment deliveries stood at 5.2 million tonnes and were up 13 per cent YoY, surpassing the previous best recorded in 9MFY20. For the quarter, deliveries were up 15 per cent YoY and were the best ever quarterly sales driven by increase in value added products.
Revenues from Tata Steel Aashiyana, an e-commerce platform for Individual Home builders, grew 49 per cent YoY to Rs. 1,419 crore in 9MFY23, Tata Steel said.