Tata Steel Q4 Results: PAT jumps over 2x to Rs 2,923 crore, beats estimates; top line up 12.5%

Tata group steelmaker Tata Steel on Friday reported a consolidated net profit of Rs 2,925.7 crore for the quarter ended March 31, more than double compared to its net profit of Rs 1,300.8 crore a year ago. The quarterly PAT exceeded analysts' expectations.

The steel giant's top line grew 12.5 per cent on a year-on-year basis to Rs 63,270.1 crore, according to a regulatory filing.

According to Zee Business research, Tata Steel's March-quarter net profit was estimated at Rs 2,666 crore and revenue at Rs 62,983 crore.

Segment revenue

The Tata group firm reported an 11.8 per cent rise in revenue from its India operations to Rs 38,448 crore.

Tata Steel Netherlands' revenue grew 15.2 per cent to Rs 17,016 crore.

Tata Steel UK's top line saw a 3.8 per cent decline to Rs 5,774.4 crore.

Analysts had anticipated improvement in the company's European operations.

Operational performance

The steel giant said its quarterly EBITDA stood at Rs 9,953 crore, marking a 47.2 per cent year-on-year jump.

Its margin improved by 400 bps over the year-ago period to 16 per cent.

Management Commentary | Tata Steel India posts record deliveries

“FY2026 was characterised by elevated geoeconomic uncertainty, with supply-chain and tariff-led trade disruptions impacting global steel markets. Against this backdrop, our sustained focus on operational discipline and cost transformation continued to deliver performance across our global businesses. Tata Steel India reported ‘best ever’ deliveries of around 22.5 million tonnes," said TV Narendran, CEO and MD, Tata Steel.

"In Europe, while import safeguards and roll out of the Carbon Border Adjustment Mechanism from 1st January has improved pricing conditions, Tata Steel Netherlands faces a challenging regulatory environment. We remain committed to working constructively with the regulators to find a feasible and sustainable path forward," he said.

He also stated that developments in West Asia began to exert pressure on supply chains and input costs in the last quarter. "These pressures are continuing into FY27. We are pursuing calibrated actions to mitigate risks in this regard," added Narendran.

Tata Steel ED and CFO Koushik Chatterjee said the company delivered a markedly improved performance for the second year in a row, despite subdued steel prices across key markets.

"Higher volumes and an improved product mix in India, combined with tangible benefits of around Rs 10,868 crore from the cost transformation program led to an improvement in EBITDA margin of 320 bps on YoY basis," he said.

What CFO says on Netherlands business

He said Tata Steel Netherlands is "facing multiple uncertainties with relation to the environmental footprint of its assets in a complex and evolving regulatory landscape, and this in turn is impacting the operating rhythm of the business. The global business environment has again become very challenging with the impact of the West Asia conflict on energy, oil, trade and currency markets."

"We are on alert and actively monitoring performance triggers across geographies and focusing on operational resilience and cost optimisation," he said. "Overall, we remain focused on prioritising, optimising and sequencing our capital allocation to balance investment needs with returns, while maintaining financial discipline and long‑term value creation for stakeholders," added Chatterjee.

Tata Steel said it spent Rs 3,655 crore on capex for the quarter and Rs 14,026 crore for the full year. Its net debt declined by around Rs 2,285 crore on a year-on-year basis to Rs 80,144 crore.

Tata Steel dividend

The Tata group firm declared a dividend of Rs 4 per equity share -- a 400 per cent payout given the face value of Re 1 per share.

The payout is subject to shareholders' approval at the company's AGM scheduled on Thursday, July 2.

It announced a record date of June 12 for the dividend and said it will be paid on and from Monday, July 6.

Tata Steel shares vs Nifty 50 vs Nifty Metal

Earlier on Friday, Tata Steel shares declined 2.0 per cent to close at Rs 216.8 apiece on BSE.

At this level, the steel stock has gained 19.3 per cent so far this year, outperforming the Nifty 50's 9.6 per cent fall and in line with the Nifty metal's 18.2 per cent rise.