Net sales (including other operating income) of Tata Steel has increased 8.88% to Rs 58689.29 crore. India revenues were Rs 34,787 crores and EBITDA was Rs 8,654 crores, which translates to a margin of 25%. Crude steel production was up 8% QoQ to 5.65 million tonne and deliveries were up 17% QoQ to 5.55 million tonne aided by rise in domestic deliveries. Netherlands revenues were €1,551 million and EBITDA was €92 million vs. €64 million in 1QFY26. Liquid steel production was 1.67 million tonne and deliveries were 1.54 million tonne. UK revenues were £505 million and EBITDA loss stood at £66 million vs. loss of £41 million in 1QFY26. Deliveries stood at 0.57 million tonne and were marginally lower due to subdued demand.

Sales of Tata Steel India segment was up 7% to Rs 34679.54 crore (accounting for 48% of total sales).  Sales of Other Indian Operations segment increased 11% to Rs 2629.8 crore (accounting for 4% of total sales).  Sales of Tata Steel Europe segment has gone down  9% to Rs 5926.98 crore (accounting for 8% of total sales).  Sales of Other Trade Related Operations segment has gone down 31% to Rs 8481.45 crore (accounting for 12% of total sales).  Sales of Rest of the World has gone up 48% to Rs 729.4 crore (accounting for 1% of total sales).  Sales of South East Asian Operations has gone up 33% to Rs 2351.81 crore (accounting for 3% of total sales).  Sales of Neelachal Ispat Nigam Limited segment has gone down 5% to Rs 1284.37 crore (accounting for 2% of total sales). 

Profit before interest, tax and other unallocable items (PBIT) has jumped 42% to Rs 9317.49 crore.  PBIT of Tata Steel India segment rose 25% to Rs 8393.59 crore (accounting for 90% of total PBIT).  PBIT of Other Indian Operations segment rose 6% to Rs 127.11 crore (accounting for 1% of total PBIT).  PBIT of Tata Steel Europe reported loss of Rs 764.92 crore compared to loss of Rs 1587.29 crore.  PBIT of Other Trade Related Operations reported profit of Rs 37.24 crore compared to profit of Rs 1030.05 crore.  PBIT of Rest of the World reported profit of Rs 17.59 crore compared to loss of Rs 127.51  crore.  PBIT of South East Asian Operations reported profit of Rs 330.31 crore compared to loss of Rs 127.51 crore.  PBIT of Neelachal Ispat Nigam Limited segment rose 46% to Rs 260.17 crore (accounting for 3% of total PBIT). 

PBIT margin of Tata Steel India segment rose from 20.8% to 24.2%.  PBIT margin of Other Indian Operations segment fell from 5% to 4.8%.  PBIT margin of Tata Steel Europe segment rose from negative 24.3% to 12.9%.  PBIT margin of Other Trade Related Operations segment fell from 8.3% to 0.4%.  PBIT margin of Rest of the World rose from negative 25.8% to 2.4%.  PBIT margin of South East Asian Operations rose from negative 1.8% to 14%.  PBIT margin of Neelachal Ispat Nigam Limited segment rose from 13.2% to 20.3%.  Overall PBIT margin rose from 9.2% to 13%. 

Operating profit margin has jumped from 11.39% to 15.16%, leading to 44.86% rise in operating profit to Rs 8,896.54 crore.  Raw material cost as a % of total sales (net of stock adjustments) decreased from 36.94% to 30.95%.   Purchase of finished goods cost rose from 8.24% to 9.68%.   Employee cost decreased from 11.58% to 11.00%.   Other expenses rose from 32.01% to 32.95%.

Other income fell 39.27% to Rs 363.55 crore.  PBIDT rose 37.39% to Rs 9260.09 crore.  Provision for interest fell 9.96% to Rs 1774.96 crore.  Loan funds declined from Rs 99,391.76 crore as of 30 September 2024 to Rs 95,643.13 crore as of 30 September 2025.  Inventories declined from Rs 51,171.94 crore as of 30 September 2024 to Rs 45,589.37 crore as of 30 September 2025.  Sundry debtors were lower at Rs 5,773.76 crore as of 30 September 2025 compared to Rs 6,041.19 crore as of 30 September 2024.  Cash and bank balance declined from Rs 9,933.91 crore as of 30 September 2024 to Rs 7,657.59 crore as of 30 September 2025.  Investments rose to Rs 6,902.63 crore as of 30 September 2025 from Rs 6,471.03 crore as of 30 September 2024 . 

PBDT rose 56.97% to Rs 7485.13 crore.  Provision for depreciation rose 11.41% to Rs 2893 crore.  Fixed assets increased to Rs 192,928.15 crore as of 30 September 2025 from Rs 169,771.65 crore as of 30 September 2024.  Intangible assets declined from Rs 18,828.96 crore to Rs 6,319.50 crore. 

Profit before tax grew 111.45% to Rs 4,592.13 crore.  Provision for tax was expense of Rs 1039.38 crore, compared to Rs 1405.49 crore.  Effective tax rate was 24.62% compared to 64.94%.

Net profit attributable to owners of the company increased 272.16% to Rs 3,101.75 crore. 

Equity capital stood at Rs 1,247.44 crore as of 30 September 2025 to Rs 1,247.44 crore as of 30 September 2024.  Per share face Value remained same at Rs 1.00. 

Promoters’ stake was 33.19% as of 30 September 2025 ,compared to 33.19% as of 30 September 2024 . 

Management Comments:

Mr. T V Narendran, Chief Executive Officer & Managing Director: 

“The global operating environment remained challenging with persistent overhang of tariffs, geopolitical tensions and elevated steel exports. Despite this, Tata Steel delivered a resilient performance with the EBITDA margin improving for the second consecutive quarter. In India, while the crude steel production rose 8%, deliveries grew at a higher rate of 17% QoQ as our marketing franchise enabled us to scale effectively. We continue to strengthen our market leadership across key segments, underpinned by capacity expansion and a focused downstream strategy. Kalinganagar’s continuous annealing line and galvanising line have expanded our hi-end product offerings to Automotive. Our new 0.5 MTPA combi mill will further amplify this advantage and strengthen our presence in  specialty steel segment. Our well-established retail brand, Tata Tiscon grew by 27% QoQ and we continue to consolidate our position in engineering and construction solutions. On the digital front, our e-commerce platforms such as Aashiyana and DigECA achieved Gross Merchandise Value of Rs 1,980 crores for the quarter and more than tripled on YoY basis. As for overseas operations, UK deliveries were 0.57 million tons and Netherlands deliveries were 1.54 million tons. We remain focused on transitioning our UK and Netherlands businesses to economically and environmentally viable operations. In September 2025, we signed a non-binding Joint Letter of Intent with the Government of Netherlands and Province of North-Holland on an integrated health measures and decarbonisation project. I am happy to share that Tata Steel became the only Indian company to be recognised by worldsteel for Safety and Health excellence, in process safety management, for three years in a row.”

Mr. Koushik Chatterjee, Executive Director and Chief Financial Officer:

“Tata Steel has continued to perform despite the challenging operating environment. For the quarter ended 30th  September 2025, EBITDA margin improved by 145 bps QoQ and 280 bps for the half year, reflecting operational strength and cost discipline. Consolidated revenues for the quarter stood at Rs 58,689 crores, while EBITDA was Rs 9,106 crores, translating to a margin of ~16% or Rs 11,518 per ton. This performance was underpinned by sharp focus on cost transformation program, which delivered around Rs 2,561 crores for the quarter and around Rs 5,450 crores for the half year. India performance has been aided by strong growth in volumes. NINL, our strategic lever to expand in long products business, generated EBITDA, of around Rs 260 crores. Netherlands EBITDA was higher by €28 million QoQ, as we make progress on restoring competitiveness. However, UK EBITDA declined by £24 million on QoQ basis due to subdued prices on account of UK safeguard quotas exceeding prevalent demand. We remain focused on volume growth in India, strengthening our raw material linkages and optimising capital allocation. We are closely monitoring policy developments in EU and UK and will look to prioritise, optimise and sequence the decarbonisation capex spend such that it is affordable to all stakeholders. Overall, operating cash flows before capex and dividend were ~Rs 7,000 crores and we have spent Rs 3,250 crores towards capital expenditure in the quarter and Rs 7,079 crores during the half year. In line with efforts to optimise debt portfolio, we have reduced TSUK debt by £540 million during the quarter and our consolidated gross debt has decreased by around Rs 3,300 cores QoQ to Rs 95,643 crores. On 12th November, Tata Steel executed a share purchase agreement with BlueScope Steel to acquire the balance 50% stake in Tata BlueScope Steel Private Limited. This is in line with our objective to grow the downstream portfolio. Following the acquisition, TBSPL will become a 100% subsidiary of Tata Steel. We remain committed to operational excellence, cost optimisation, and disciplined working capital management to maximise cash flows.”

For year-to-date (YTD) results analysis

Net sales (including other operating income) of Tata Steel has increased 2.94% to Rs 111867.41 crore.  India revenues were Rs 65,924 crores and EBITDA was Rs 16,140 crores, which translates to an EBITDA margin of 24%. EBITDA improved by 16% YoY. Netherlands revenues were €3,070 million and EBITDA was €155 million. EBITDA doubled on YoY basis. UK revenues were £1,041 million and EBITDA loss was £107 million. EBITDA loss halved on YoY basis.

Sales of Tata Steel India segment was up 1% to Rs 65693.9 crore (accounting for 47% of total sales).  Sales of Other Indian Operations segment increased 2% to Rs 5010.83 crore (accounting for 4% of total sales).  Sales of Tata Steel Europe segment has gone down 10% to Rs 12022.59 crore (accounting for 9% of total sales).  Sales of Other Trade Related Operations segment has gone down 29% to Rs 18145.81 crore (accounting for 13% of total sales).  Sales of Rest of the World has gone up 28% to Rs 1144.37 crore (accounting for 1% of total sales).  Sales of South East Asian Operations has gone up 24% to Rs 4494.86 crore (accounting for 3% of total sales).  Sales of Neelachal Ispat Nigam Limited segment has gone down 22% to Rs 2211.16 crore (accounting for 2% of total sales). 

Profit before interest, tax and other unallocable items (PBIT) has jumped 29% to Rs 16965.13 crore.  PBIT of Tata Steel India segment rose 16% to Rs 15656.27 crore (accounting for 92% of total PBIT).  PBIT of Other Indian Operations segment fell 6% to Rs 205.87 crore (accounting for 1% of total PBIT).  PBIT of Tata Steel Europe reported loss of Rs 1236.14 crore compared to loss of Rs 2535.53 crore.  PBIT of Other Trade Related Operations reported profit of Rs 111.34 crore compared to profit of Rs 996.35 crore.  PBIT of Rest of the World reported loss of Rs 269.45 crore compared to loss of Rs 221.68  crore.  PBIT of South East Asian Operations reported profit of Rs 486.24 crore compared to profit of Rs 11.02 crore.  PBIT of Neelachal Ispat Nigam Limited segment rose 6% to Rs 483.72 crore (accounting for 3% of total PBIT). 

PBIT margin of Tata Steel India segment rose from 20.6% to 23.8%.  PBIT margin of Other Indian Operations segment fell from 4.4% to 4.1%.  PBIT margin of Tata Steel Europe segment rose from negative 19% to 10.3%.  PBIT margin of Other Trade Related Operations segment fell from 3.9% to 0.6%.  PBIT margin of Rest of the World rose from negative 24.9% to 23.5%.  PBIT margin of South East Asian Operations rose from negative 0.3% to 10.8%.  PBIT margin of Neelachal Ispat Nigam Limited segment rose from 16.2% to 21.9%.  Overall PBIT margin rose from 9.1% to 12.2%. 

Operating profit margin has jumped from 11.81% to 14.59%, leading to 27.18% rise in operating profit to Rs 16,324.08 crore.  Raw material cost as a % of total sales (net of stock adjustments) decreased from 36.46% to 31.96%.   Purchase of finished goods cost rose from 7.91% to 8.49%.   Employee cost increased from 11.42% to 11.53%.   Other expenses rose from 32.75% to 33.48%.  

Other income fell 24.03% to Rs 652.22 crore.  PBIDT rose 23.97% to Rs 16976.3 crore.  Provision for interest fell 3.22% to Rs 3627.39 crore.  Loan funds declined from Rs 99,391.76 crore as of 30 September 2024 to Rs 95,643.13 crore as of 30 September 2025.  Inventories declined from Rs 51,171.94 crore as of 30 September 2024 to Rs 45,589.37 crore as of 30 September 2025.  Sundry debtors were lower at Rs 5,773.76 crore as of 30 September 2025 compared to Rs 6,041.19 crore as of 30 September 2024.  Cash and bank balance declined from Rs 9,933.91 crore as of 30 September 2024 to Rs 7,657.59 crore as of 30 September 2025.  Investments rose to Rs 6,902.63 crore as of 30 September 2025 from Rs 6,471.03 crore as of 30 September 2024 . 

PBDT rose 34.21% to Rs 13348.91 crore.  Provision for depreciation rose 9.84% to Rs 5637.3 crore.  Fixed assets increased to Rs 192,928.15 crore as of 30 September 2025 from Rs 169,771.65 crore as of 30 September 2024.  Intangible assets declined from Rs 18,828.96 crore to Rs 6,319.50 crore. 

Profit before tax grew 60.19% to Rs 7,711.61 crore.  Share of profit/loss was 94.64% higher at Rs 130.47 crore.  Extraordinary items were decreased to Rs -552.53 crore.  Provision for tax was expense of Rs 2099.1 crore, compared to Rs 2863.74 crore.  Effective tax rate was 28.80% compared to 63.06%.

Net profit attributable to owners of the company increased 188.86% to Rs 5,179.43 crore. 

Equity capital stood at Rs 1,247.44 crore as of 30 September 2025 to Rs 1,247.44 crore as of 30 September 2024.  Per share face Value remained same at Rs 1.00. 

Promoters’ stake was 33.19% as of 30 September 2025 ,compared to 33.19% as of 30 September 2024 . 

Other highlights

The company has spent Rs 3,250 crores on capital expenditure during the quarter and Rs 7,079 crores for the half year. Net debt stands at Rs 87,040 crores. 

In September 2025, Tata Steel signed a non-binding Joint Letter of Intent with the Government of the Netherlands and the province of North-Holland on an integrated health measures & decarbonisation project.

As part of growing the India downstream portfolio, Tata Steel has executed a share purchase agreement with BlueScope Steel to acquire the balance 50% stake in Tata BlueScope Steel Private Limited. The sale is subject to regulatory approvals. Earlier, Tata Steel Limited signed an Asset Transfer Agreement with Indian Metals & Ferro Alloys Ltd. for the sale of Ferro Alloy Plant at Jajpur, Odisha for a base consideration of Rs. 610 crores.

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