Tata Steel Q1 Update: Crude steel output up 2% YoY on Neelachal Ispat Nigam ramp up

In the first quarter of FY24, Tata Steel India crude steel production stood at 5.01 million tonne, with growth of 2% YoY, primarily driven by ramp up at Neelachal Ispat Nigam.

However, production was lower quarter-on-quarter on planned maintenance shutdowns. Deliveries for the first quarter was at 4.8 million tonne, higher by 18% on YoY basis, supported by rise in domestic deliveries. Exports moderated on YoY basis to 0.25 million tonne.

For the automotive and special products segment, deliveries were broadly similar on YoY basis. Among the sub segments, production of passenger vehicles and 2-wheelers was up while commercial vehicles declined.


Meanwhile, branded products and retail segment deliveries increased by 37% YoY. This was driven by best-ever first quarter sales of well-established brands, Tata Tiscon and Tata Steelium.

In the industrial products and projects segment, deliveries jumped 24% YoY, led by sustained increase in sale of value-added products to key segments like railways, pre-engineered buildings etc.

Revenues from Tata Steel Aashiyana, an e-commerce platform for individual home builders, stood at Rs 365 crore in the first quarter and were up 18% QoQ.

The company said planned relining of BF6 at Tata Steel Netherlands commenced in April and this has led to a drop in crude steel production at Tata Steel Europe.

Crude steel production stood at 1.81 million tonne for the Europe biz, while deliveries came in at 1.97 million tonne.

On Thursday, the company's shares closed 0.27% lower at Rs 112.65. So far this year, the stock has recorded muted performance, falling over 5%.