Domestic steel major Tata Steel India achieved its highest-ever annual crude steel production of around 19.9 million tons, with a growth of 4 percent year-on-year by debottlenecking across sites and ramping up of Neelachal Ispat Nigam. The company surpassed its previous best established in FY22, and deliveries also climbed by 3% YoY despite the unstable operating environment during the fiscal year. According to a press statement from the company, domestic deliveries increased by about 10% YoY as a result of the company's strong marketing network and adaptable business model.
While deliveries increased by 9% QoQ to 5.15 million tonnes, the fourth quarter of FY23 saw a 3% QoQ increase in crude steel output, marking the largest quarterly deliveries ever. Record domestic deliveries were made in the areas of
automotive and special products (2.7 million tonnes), branded goods and retail (5.9 million tonnes), and industrial goods and projects in FY23 (7.2 million tons). The industrial products & projects segment sales were driven by a sustained increase in the sale of value-added products to key segments like oil & gas and retail, while the branded products & retail segment deliveries were driven by record quarterly and annual sales across established retail and MSME (micro, small & medium enterprises) brands like Tata Tiscon, Tata Kosh, Tata Astrum, and Tata Steelium.
Tata Steel Aashiyana, an e-commerce platform for independent home builders, generated revenues of Rs 1,730 crore in FY23, an increase of over 18% YoY. The run rate of crude steel plus pig iron at Neelachal Ispat, which started operations within three months of the acquisition's completion, is currently about 1 million tonnes on an annualised basis. NINL billets are used to make Tata Tiscon rebars.
Tata Steel Europe's steel deliveries for FY23 were estimated to be around 8.1 million tonnes. Due to a strengthening demand situation, deliveries in the last quarter of FY23 increased by 7% QoQ to 2.13 million tonnes.
The entire process of relining of BF6 at Tata Steel Holland has started in early April as scheduled, but that the product mix has been impacted by the current upgrade at CM21 (Cold Rolling mill). Tata Steel's stock has dropped by about 22% over the past year and has essentially remained unchanged over the past six months. The Sensex, on the other hand, has increased by about 2.5% over the past six months and has decreased by less than 1% over the past year.
