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Highlights
- The presented financial data is Consolidated to provide a comprehensive overview of the company performance.
- Sales over the Year and quarter: The company’s sales declined by -7.93 % over the year, decrease in net sales/revenue by -6.67 %.
- Income over the Year and quarter: There has been decline in other income over the past year which is -108.24 %, Marginal increase in other income during this quarter, up by 76.58%.
- Profit over the Year and quarter: Significant improvement in profitability for TATA STEEL LIMITED. Notable increase of 75.02 % in net profit Year to Year, TATA STEEL LIMITED’s profitability increased by 65.64 % in this quarter.
- EPS over the Year and quarter: EPS increased by 48.08 % Year to Year. EPS increased by 57.14 % in previous quarter. Positive impact on shareholders.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 59489.66 Cr | Rs. 58687.31 Cr | Rs. 54771.39 Cr | -6.67 % | -7.93 % |
| Expenses | Rs. 54587.06 Cr | Rs. 52086.68 Cr | Rs. 48076.92 Cr | -7.7 % | -11.93 % |
| Operating Profit | Rs. 4902.6 Cr | Rs. 6600.63 Cr | Rs. 6694.47 Cr | + 1.42 % | + 36.55 % |
| OPM % | 8.24 % | 11.25 % | 12.22 % | + 0.97 % | + 3.98 % |
| Other Income | Rs. 1190.24 Cr | Rs. -418.56 Cr | Rs. -98.02 Cr | + 76.58 % | -108.24 % |
| Interest | Rs. 1825.15 Cr | Rs. 1842.25 Cr | Rs. 1776.71 Cr | -3.56 % | -2.65 % |
| Depreciation | Rs. 2412.32 Cr | Rs. 2567.95 Cr | Rs. 2535.43 Cr | -1.27 % | + 5.1 % |
| Profit before tax | Rs. 1855.37 Cr | Rs. 1771.87 Cr | Rs. 2284.31 Cr | + 28.92 % | + 23.12 % |
| Tax % | 62.56 % | 70.79 % | 63.84 % | -6.95 % | + 1.28 % |
| Net Profit | Rs. 524.85 Cr | Rs. 554.56 Cr | Rs. 918.57 Cr | + 65.64 % | + 75.02 % |
| EPS in Rs | Rs. 0.52 | Rs. 0.49 | Rs. 0.77 | + 57.14 % | + 48.08 % |
Today, we’re looking at TATA STEEL LIMITED’s financial performance for the Q1(Jun 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -7.93 %. However, it did see a marginal slip of -6.67 % from the previous quarter. Expenses decreased slightly by -7.7 % quarter-on-quarter, aligning with the annual decline of -11.93 %. Operating profit, while up 36.55 % compared to last year, faced a quarter-on-quarter increase of 1.42 %, signaling a short-term expansion in margins.
The Operating Profit Margin (OPM) % echoes this narrative, showing resilience on an annual basis with an increase of 3.98 %, but an expansion of 0.97 % sequentially. Other income rose by 76.58 % compared to the last quarter, despite an annual decline of -108.24 %. Interest expenses dropped significantly by -3.56 % from the previous quarter, yet the year-over-year decrease remains at a moderate -2.65 %. Depreciation costs fell by -1.27 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 5.1 %. Profit before tax grew annually by 23.12 % but saw an increase from the preceding quarter by 28.92 %.
Tax expenses as a percentage of profits increased slightly by 1.28 % compared to last year, with a more notable quarter-on-quarter decrease of -6.95 %. Net profit rose by 75.02 % year-on-year but experienced a 65.64 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 48.08 % but a quarterly rise of 57.14 %. In summary, TATA STEEL LIMITED’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 59489.66 Cr | Rs. 58687.31 Cr | Rs. 54771.39 Cr | -6.67 % | -7.93 % |
| Expenses | Rs. 54587.06 Cr | Rs. 52086.68 Cr | Rs. 48076.92 Cr | -7.7 % | -11.93 % |
| Operating Profit | Rs. 4902.6 Cr | Rs. 6600.63 Cr | Rs. 6694.47 Cr | + 1.42 % | + 36.55 % |
| Net Profit | Rs. 524.85 Cr | Rs. 554.56 Cr | Rs. 918.57 Cr | + 65.64 % | + 75.02 % |
| EPS in Rs | Rs. 0.52 | Rs. 0.49 | Rs. 0.77 | + 57.14 % | + 48.08 % |
In reviewing TATA STEEL LIMITED’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -7.93 % year-on-year, although there was a slight dip of -6.67 % from the previous quarter. Expenses decreased by -11.93 % compared to the previous year, with a decrease of -7.7 % quarter-on-quarter. Operating Profit surged by 36.55 % annually, and saw a 1.42 % increase from the last quarter.
Net Profit showed yearly increase of 75.02 %, and experienced a 65.64 % increase from the previous quarter. Earnings Per Share (EPS) rose by 48.08 % annually, however rose by 57.14 % compared to the last quarter. In essence, while TATA STEEL LIMITED exhibits strong annual growth indicators, short-term improvements suggest the potential for recovery and the importance of strategic adjustments to counter market challenges effectively. That’s all for now in the financial sector.
