Tata Steel made a loss of $268.9 million in the third quarter of the 2022/2023 financial year

Activity in Europe was affected by energy prices and recession concerns

Indian steelmaker Tata Steel reported a consolidated net loss of $268.9 million in the third quarter of the 2022/2023 financial year (October-December), compared with a consolidated net revenue of $1.15 billion in the same period of the previous financial year. SteelOrbis informs about it.

Total operating revenue in this period fell by 6% y/y – to 6.9 billion.

Recession concerns weighed on steel prices, Tata Steel Chief Executive Officer T. V. Narendran said in a statement. This factor, combined with high energy costs, affected the company’s performance in Europe.

The company’s CEO noted that Tata Steel in India has delivered sustained growth in terms of volumes despite the volatile operating environment. Sales on the domestic market for 9 months of the 2022/2023 financial year increased by 4% y/y – up to 13.7 million tons.

Regarding forecasts, as T. V. Narendran noted, the company expects visible price growth in key regions due to improved demand in China and steady infrastructure spending in India.

As GMK Center reported earlier, in January Tata Steel has begun work on an electric arc furnace (EAF) steel mill in Ludhiana. The project is the company’s first investment in the state, according to the Punjab government. Tata Group is investing about 2,600 crore rupees (over $300 million) in the first phase of the project, which is being built next to the Hi-Tech Valley industrial park. It is planned that the production volume of the plant will amount to 750 thousand tons of steel per year, and scrap metal will become the raw material.