Consolidated income from operations increased 7.44 percent year-on-year to Rs 37,153 crore.
Commenting on the quarterly results, TV Narendran, CEO and Managing Director of the company, said: “Tata Steel has delivered strong results in India with market leading volume growth and strong cash flow generation. The resilience of our business model and the commitment of our teams has enabled us to increase capacity utilization to normal levels and achieve the highest sales ever despite ongoing challenges due to the Covid pandemic. ”
In addition, he added that there has also been a significant improvement in the product mix towards national sales and higher value-added products and a strong reduction in costs.
Profit from continuing operations of the India business declined 23.35 percent year-on-year to Rs 2,606 crore. On the other hand, the figure increased 534% quarter-on-quarter (quarter-on-quarter).
Consolidated EBITDA increased 59.69 percent YoY and 941 percent QoQ to Rs 6,217 crore. On the other hand, the EBITDA of the India business increased 49.39% YoY and 314% QoQ to Rs 6,025 crore.
Free cash flow generation stood at Rs 7,832 crore in the second quarter of FY 21. “The company is committed to deleveraging $ 1 billion annually and has reduced net debt by Rs 8,197 crore during the quarter. “Tata Steel said.
Tata Steel also noted that it has started the process to separate Tata Steel Netherlands and Tata Steel UK.
“In Europe, although the general environment remains challenging and the recovery is more gradual, there has been an improvement in volumes and the sales mix. We will continue to drive performance and work on a strategic resolution to ensure the focus remains on cash flows and self-sufficiency. We are continuing our discussions with the UK government regarding the future strategy of our UK business, ”Narendran said.
The company announced its results after market hours. Earlier in the day, the bond closed 2.82 percent at Rs 486.50. On the other hand, the benchmark BSE Sensex stock index closed at 85.81 points, or 0.20 percent, higher at 43,443.
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