Published: Thu, May 17, 2018
Business | By Kate Woods

Tata Steel returns to profit on one-off gain

Tata Steel returns to profit on one-off gain

Domestic steel giant Tata Steel on Wednesday reported consolidated net profit of Rs 14,688.02 crore for the fourth quarter ended March 31, 2018.

Revenue of Tata Steel India, however, declined to Rs 16,280.95 crore during the quarter under review against Rs 17,113.13 crore in the same period a year ago.

The company recorded an exceptional charge of Rs 11,376 crore in the fourth quarter of fiscal 2018, which included a non-cash gain of Rs 14,077 crore on account of the restructuring of its United Kingdom pension scheme.

"Tata Steel performance has been robust in FY18 driven by our strong execution strategy and supported by favourable global demand-supply balance", T.V. Narendran, CEO and MD, said.

More news: What to expect from Lord & Taylor, partnership

The total expenses of the company stood at Rs 32,626.42 crore during the quarter under review as against Rs 31,132.02 crore in the year-ago period.

Tata Steel may well become the first company to complete the process of acquiring debt-ridden Bhushan Steel under the Insolvency and Bankruptcy Code (IBC) with the National Company Law Tribunal (NCLT) clearing its resolution plan on Tuesday.

JSW Steel is a leading integrated steel company in India with an installed steel-making capacity of 18 million tonne per annum (MTPA).

The gain in profits was despite lower production the company had witnessed of 6.26 million tonne (mt) during Q4 as compared to 6.40 mt a year ago.

More news: Christina Aguilera Teams Up With Demi Lovato For "Fall In Line"

The company says is ready for the buy out of Bhushan Steel and is awaiting all regulatory approvals.

"We completed 2 large financing transactions, which apart from providing funds also gives us significant flexibility to pursue our growth plans".

Ahead of the results, shares in JSW Steel closed with a gain of 0.6 percent.

More news: Paddy Power Betfair in talks to buy Fanduel

Like this: