BQ Prime's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer BQ Prime's subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Motilal Oswal Report
Tata Steel Ltd. reported a weak but inline quarter as domestic average selling price took a breather after imposition of export duty. Standalone results were below estimates; while the Europe business was weak QoQ, but it was on expected lines.
Tata Steel's standalone revenue at Rs 322 billion was 1% lower YoY, but was up 1% QoQ, and in line with our estimate of Rs 317 billion.
Standalone Ebitda stood at Rs 48 billion, down 64% YoY and 49% QoQ. A sharp average selling price decline of Rs 14,660/y QoQ led to Rs 14,445/tonne correction in Ebitda/tonne.
Ebitda was 11% lower than our estimate. Ebitda/tonne came at Rs 10,177/tonne, down 67% YoY and 59% QoQ, and ~Rs 1300/tonne below our estimates.
Tata Steel's net debt increased Rs 172 billion QoQ to Rs 718 billion from Rs 544 billion earlier due to-
Rs 102 billion payout for Neelachal Ispat Nigam Ltd. acquisition,
Rs 62 billion dividend payout and
Rs 34 billion capex, largely toward Kalinganagar expansion.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.