Tata Steel - Q2FY21 results - Angel Broking

Mr. Jyoti Roy - DVP - Equity Strategist, Angel Broking Ltd

Tata Steel reported a 7.4% YoY growth in consolidated revenues to ₹37,154 crore for Q2FY21, as compared to revenues of ₹34,579 crore for Q4FY19. Sales volume for the quarter was up by 13.3% YoY to 7.4mn Tons while production was down by 3.2% YoY to 6.73mn Tons EBIDTA for the quarter stood at ₹6,111 crore up 60.0% YoY while EBIDTA margins expanded by 540bps YoY to 16.45%. PBT for the quarter stood at ₹ 2,205 crore as compared to ₹27 crore in Q2FY20. However consolidated net profit for the quarter was down by 62.7% YoY to ₹ 1546 crore due to deferred tax write back of ₹4365 crore in Q2FY20. The company announced that it has initiated discussions with SSAB Sweden based on interest received for the potential acquisition of Tata Steel's Netherland business including Ijmuiden steelworks. The company has also announced that it would be reorganizing its India business in order to simplify the holding structure and to drive cost synergies. Overall Tata Steel has reported a decent set of numbers for the quarter.

Shares of TATA STEEL LTD. was last trading in BSE at Rs.492.1 as compared to the previous close of Rs. 486.5. The total number of shares traded during the day was 325726 in over 5554 trades.

The stock hit an intraday high of Rs. 499.1 and intraday low of 487. The net turnover during the day was Rs. 160866969.

Source : Equity Bulls

Keywords