Tata Steel profit more than doubles in June quarter

On an adjusted basis Tata Steel’s consolidated net profit stood at Rs 604 crore against Rs 599.8 crore year-on-year, say analysts. Net profit was boosted by Rs 158-crore earnings shown as exceptional items. However, its revenue fell 17 per cent annually to Rs 29,900 crore on account of decline in steel prices.

Tata Steel Europe’s long products division faces “severe challenges” due to poor market conditions and has been hived off into a separate wholly owned subsidiary, enabling the company to evaluate alternative strategic options.

Tata Steel suffered a decline in net profit to Rs 1,249 crore against Rs 2,268 crore in the same period last year on the back of a sharp surge in cheap imports depressing local steel prices.

“Surging imports constitute a threat to European steelmaking”, Karl-Ulrich Koehler, managing director of Tata Steel in Europe, said in the statement.

But bosses say moves to improve costs means the company can increase focus on their added value product and service portfolios. Analysts were expecting its EBITDA at Rs 2,218 crore.

Dilip Shanghvi, Managing Director of Sun Pharmaceutical Industries said that the company continues to invest significantly in R&D and in building critical talent for enhancing specialty and complex generics pipeline.

“Turnover remained flattish as the benefits of higher volumes year-on-year were largely offset by drop in realisations, the company said”. 763 crore from Rs. The result was announced after trading hours yesterday, 11 August 2015. Total income fell 15% from Rs.36,643.35 crore to Rs.31,062.50 crore.

Tata Steel’s EBITDA/tonne, a measure of profitability for metal companies came in at Rs 7,787 from India business, up 10 per cent from the March quarter, while the same for its European business came in at $26 against $44 sequentially.

TRF received an order worth Rs 73.90 crore from BHEL ISG Bangalore for design, engineering, manufacturing, supply, erection and commissioning for stacker cum reclaimer package for 1X800 megawatts (MW) Kothagudem TPS, stage-VII, unit #12 and 4×270 MW Bhadradri TPS.

KEC worldwide won new orders worth Rs 838 crore in its transmission and distribution and cables businesses.