Tata Steel Performance
Fundamentals of Tata Steel
|P/E Ratio (TTM)||NA|
|Debt to Equity||1.01|
Financials of Tata Steel
|Dec 2022||Mar 2023||Jun 2023||Sep 2023|
|Profit before tax||402.97||3,320.77||1,855.37||-6,739.19|
|EPS in Rs||-1.93||1.39||0.51||0.22|
About Tata Steel
History of Tata Steel Limited
Tata Steel Limited, originally known as Tata Iron and Steel Company Limited (TISCo), is a renowned steel manufacturing company founded on August 26, 1907, in Jamshedpur, Jharkhand, India, by its visionary founder, Jamsetji Tata. The company’s inaugural product was steel, marking the beginning of its illustrious journey. It is positioned as one of the lowest-cost markers of steel internationally and is among the leading global steel companies.
On August 12, 2005, the company underwent a name change, becoming Tata Steel Limited. Throughout its century-long history, Tata Steel has achieved significant milestones, including acquiring its first colliery in 1910, rolling out its first ingot in 1912, and pioneering the introduction of an 8-hour working day in the same year. Notably, Tata Steel Limited went public with its initial public offering (IPO) in 1937.
Here are some milestones that the company achieved over the years:
- Tata Steel achieved the Deming Application Prize in 2008 and the Deming Grand Prize in 2012, acknowledging their commitment to continuous improvement.
- In 2018, Tata Steel was honoured as the ‘Global Steel Industry Leader’ in the ‘Steel category’ by the Dow Jones Sustainability Index (DJSI), underscoring their sustainability efforts.
- The Jamshedpur Plant of the company was awarded the Prime Minister’s Trophy for being the top-performing integrated steel plant for the fiscal year 2016-17.
Tata Steel has a diverse range of products and solutions that caters to customers across various market. Here are some of the key products distributed as per the market sectors:
- Agriculture: Tata Steel is a leading provider of wear-resistant steel for agriculture and forestry equipment. Tata Agrico, their oldest brand, specialises in high-quality agricultural tools such as hoes, shovels, sickles, crowbars, pickaxes, hammers, and garden tools.
- Automotive: Tata Steel is at the forefront of creating tailor-made solutions for the automotive industry, including micro-alloyed high-strength steels, Interstitial Free (IF) steel, and Galva Annealed for motorcycle fuel tanks. They are the first domestic integrated provider of Hot Rolled high-strength steels and outer body components for passenger vehicles.
- Construction: Tata Steel is a leading provider of products and services for the global construction industry. They have played a vital role in constructing some of the world’s most remarkable buildings, including the Burj Khalifa. Their offerings can be categorised into structural components (such as sections and tubes), infrastructure materials, building solutions (roof and wall products), and internal fit-out applications (like HVAC systems).
- Consumer Goods: This encompasses various sectors such as domestic appliances, manufactured items, packaging, and more. The steel products find their primary applications in white goods, lighting, furniture, office supplies, and IT hardware. Key products in this segment include Galvano™, Tata Steelium®, Tata Tiscon, Tata Wiron®, Tata Pipes (Tata Tubes), Tata Bearings, Tata Shaktee, Durashine, and Tata Agric.
- Energy and Power: The company’s products are essential for providing tailored solutions to the international energy and power sectors, as well as the expanding renewable energy industry. As a leading global steel manufacturer, the company is committed to improving its product range, with a focus on Tata Wiron and the creation of innovative solutions to meet the changing needs of the industry.
- Engineering: Steel is vital in various engineering applications, such as gears, engines, motors, and hydraulic systems. Tata Growth Shop (TGS) is a versatile engineering complex that designs and manufactures heavy equipment, including custom Electric Overhead Travelling Cranes. They have in-house design and manufacturing capabilities and contribute to the company’s capital projects. Notable brands in this sector include Galvano™, Tata Steelium®, Tata Wiron®, Tata Bearings, Tata Astrum, Tata Pipes, Tata Structura, and Tata Tiscon®.
- Material Handling: Tata Steel is the top supplier for Material Handling machinery manufacturers, serving sectors like construction, mining, and agriculture. They provide a wide range of steel products, including high-strength steel, hollow sections, and more. Key brands in this sector are Tata Bearings and Tata Astrum.
Tata Steel has the following subsidiaries:
- Tata Steel Europe
- Tata Steel BSL
- Tata Steel Long Products
- Tata Ryerson Limited
It has entered into partnerships and joint ventures with the following:
- ThyssenKrupp AG
- Nippon Steel Corporation
- BlueScope Steel Limited
- NatSteel Holdings Pte Ltd
- T V Narendran, CEO & Managing Director
With a rich background spanning 34 years in the Mining and Metals industry, he currently holds the esteemed position of CEO and Managing Director at Tata Steel Limited. In his role, he has been instrumental in orchestrating both the organic and inorganic growth of Tata Steel in recent years, steering the company towards new heights of success.
- Tata Steel Limited announced a rights issue on January 31, 2018, with a subscription ratio of 4:25 for fully paid-up shares priced at a premium of ₹500 per share and 2:25 for partly paid-up shares priced at a premium of ₹605 per share.
Face Value Split
- Tata Steel Limited executed a face-value split on July 28, 2022. The split reduced the face value of their shares from ₹10 per share to ₹1 per share. This adjustment was in effect from July 29, 2022, onward.
- The revenues of Tata Steel stood at ₹2,444,337 million in FY 2023, which was down 0.1% compared to ₹2,447,441 million reported in FY 2022.
- The net profit of Tata Steel stood at ₹80,754 million in FY 2023, which was down -80.7% compared to ₹417,493 million reported in FY 2022.
- The operating profit margin of Tata Steel was 13.5% in FY 2023, which was lower than the 26.2% reported in FY 2022.
- The annual report suggests that Tata Steel’s financial performance in FY 2023 was impacted by various factors, including the COVID-19 pandemic, supply chain disruptions, and rising input costs.
|Stocks||Market Cap (cr)||Market Price (₹)||52 Week Low-High (₹)|
|JSW Steel Ltd||₹200,368.27||
|822.1 - 853.45|
|APL Apollo Tubes Ltd||₹44,121.64||
|1583.1 - 1608.85|
|Steel Authority of India Ltd||₹40,842.63||
|96.3 - 100.35|
|Jindal Stainless Ltd||₹43,707.91||
|532.3 - 542.2|
|Ratnamani Metals & Tubes Ltd||₹25,536.97||
|3568.1 - 3733.95|
What is the Share price of Tata Steel (TATASTEEL)?
Can I buy Tata Steel (TATASTEEL) shares?
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- Direct investment: You can buy Tata Steel (TATASTEEL) shares by opening a Demat account with Angel One.
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What is the total Asset of Tata Steel?
The total assets of Tata Steel are ₹ 282,422 crore in 2022.
What is the main business of Tata Steel?
One of the few fully integrated steel producers, Tata Steel handles everything from raw materials to finished goods marketing.
Who are the promoters of Tata Steel?
Tata Sons Private Limited (32.46%) and Tata Motors Limited (0.45%) are some of the biggest promoters of Tata Steel.
What are the Subsidiaries that comes under Tata Steel?
The Subsidiaries that comes under Tata Steel are ZINCALUME, DURASHINE, EZYBUILD, BUTLER BUILDING SYSTEMS, ECOBUILDTM BUILDING SYSTEMS, COLORBOND, LYSAGHT.