Tata Steel: 1QFY21 Key Production and Sales Figure (Provisional)
All Figures are in million tons
|Tata Steel India2||2.99||4.73||4.50|
|Tata Steel Europe||2.14||2.64||2.65|
|Tata Steel South East Asia||0.39||0.53||0.57|
|Tata Steel India2||2.92||4.03||3.96|
|Tata Steel Europe||1.94||2.39||2.26|
|Tata Steel South East Asia||0.42||0.60||0.62|
Notes: 1. Production Numbers: India - Crude Steel Production; Europe - Liquid Steel Production; South-East Asia - Saleable Steel Production. 2. Figures for Tata Steel India includes Tata Steel Standalone, Tata Steel BSL (from May 18, 2018) and Tata Steel Long Products (from April 09, 2019) without eliminating inter-company transactions.
- Overall 1QFY21 production and sales volumes were lower as the outbreak of COVID-19 and ensuing mobility restrictions severally impacted industrial activity and consumer sentiment across all geographies.
- In India, capacity utilization of our upstream facilities was adjusted to about 50% level in April while our downstream units were closed. With the phased opening of the economy, utilization levels have been ramped up gradually to around 80% level by end of June. Downstream facilities have also been restarted and are being ramped up progressively.
- To counter the closure of the Indian markets in April and May, exports were ramped up significantly by tapping new markets and improving the supply chain capability and will constitute around 50% of total sales volume in 1QFY21. While April and May sales were lower, sales improved significantly in June as economic activity resumed in India. With the continued opening of the economy and the improvement in domestic demand, the proportion of domestic sales will increase from 2Q.
- While urban markets are showing slow recovery, retail sales, especially in rural markets, are seeing an improvement in demand. During this quarter, we launched two new Coated Brands “GalvaRoS” and “Colornova” to meet the evolving needs of our customers. We initiated supplies to National Capital Region Transport Corporation Project, a landmark project. We have also received approval for API X60 & X70 grades for supplies to Oil & Gas segment.
- While Europe did not impose a complete lockdown, the weak macroeconomic situation was further impacted by the COVID-19 outbreak. In line with this environment, our production levels in Europe were ramped down to around 70% utilization. Key steel consuming sectors such as automotive and construction sector continue to be under pressure though the demand for packaging material has been robust.
- Tata Steel is closely monitoring the situation and taking appropriate actions as per the directions issued by the regulatory authorities from time to time keeping in view the health and safety of its employees and the community and the interests of its customers and other stakeholders.
- Tata Steel continues to stay focused on managing costs and working capital and ensuring adequate liquidity.
About Tata Steel
Tata Steel group is among the top global steel companies with an annual crude steel capacity of 34 million tonnes per annum. It is one of the world's most geographically-diversified steel producers, with operations and commercial presence across the world. The group (excluding SEA operations) recorded a consolidated turnover of US $19.7 billion in the financial year ending March 31, 2020.
A Great Place to Work-CertifiedTM organization, Tata Steel Ltd., together with its subsidiaries, associates and joint ventures, is spread across five continents with an employee base of over 65,000.
Tata Steel was recognized as DJSI steel sector leader in 2018 and has ranked fourth in the steel sector in 2019. Besides being a member of the worldsteel’s Climate Action Programme, Tata Steel has won several awards and recognitions including the World Economic Forum’s Global Lighthouse recognition for its Kalinganagar Plant - a first in India, and Prime Minister’s Trophy for the best performing integrated steel plant for 2016-17. The Company, ranked as India’s most valuable Metals & Mining brand by Brand Finance, received the ‘Honourable Mention’ at the National CSR Awards 2019, Steel Sustainability Champion 2019 by worldsteel, CII Greenco Star Performer Award 2019, ‘Most Ethical Company’ award 2020 from Ethisphere Institute, and Best Risk Management Framework & Systems Award (2020) by CNBC TV-18, among several others.
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Statements in this press release describing the Company’s performance may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results may differ materially from those directly or indirectly expressed, inferred or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand/supply and price conditions in the domestic and overseas markets in which the Company operates, changes in or due to the environment, Government regulations, laws, statutes, judicial pronouncements and/or other incidental factors.
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