Tata Steel Q2 Results: Net Profit Tanks 90 Per Cent To Rs 1,297 Crore On Higher Expenses

Tata Steel's total income during July-September 2022 stood at Rs 60,206.78 crore as against Rs 60,657.98 crore in the year-ago period

Tata Steel's total expenses rose to Rs 57,684.09 crore from Rs 47,239.63 crore earlier.

Home-grown steel giant Tata Steel on Monday logged a nearly 90 per cent drop in consolidated net profit to Rs 1,297 crore for the July-September quarter of 2023-23, dragged by higher expenses. The company's net profit stood at Rs 12,547.70 crore in the corresponding period of the previous financial year, Tata Steel said in a BSE filing.

Its total income during July-September 2022 stood at Rs 60,206.78 crore as against Rs 60,657.98 crore in the year-ago period. The firm's total expenses rose to Rs 57,684.09 crore from Rs 47,239.63 crore earlier. Tata Steel is among the top steel producers in the world.

Shares of Tata Steel was closed at Rs 101.55 on the BSE on Monday.

Meanwhile, three production facilities of Tata Steel Monday received the ResponsibleSteel certification placing the country in the global decarborisation and sustainability map, officials said. The Tata Steel site is the first to be certified and receive the first ResponsibleSteel certification in India, they said.

Its steel works, tubes division and cold rolling mill (Bara) in Jamshedpur have joined an exclusive group of steel producing sites around the world to receive the certification.

ResponsibleSteel is the steel industry’s first global multi-stakeholder standard and certification initiative that works with steel producers, consumers and intermediaries for building a sustainable steel industry by addressing pressing challenges including climate change, diversity, human rights and more.

Tata Steel CEO and Managing Director T V Narendran said, “This is a historic moment for Tata Steel and an important step in our sustainability journey. Globally, the steel industry is at a critical juncture and the larger impact of how we produce and consume steel needs to be addressed urgently. For Tata Steel, this has always been a very important part of our journey from when we first produced steel in Jamshedpur in 1912".

The company, he said, will work towards achieving this recognition for all its production sites.

CEO of ResponsibleSteel, Annie Heaton, said, "Tata Steel has demonstrated vision, commitment and has worked incredibly hard to achieve ResponsibleSteel certification for its Jamshedpur site, the first Tata Steel site to be certified and the first ResponsibleSteel certification in India. It isn’t enough to only focus on reduced carbon emissions. Certified sites must also ensure that they are fully aligned with other sustainability objectives in the standard, for example, ensuring good water stewardship, creating a healthy and safe workplace, safeguarding labour rights, and engaging with local communities and other stakeholders".

Tata Steel has been a member of ResponsibleSteel since October 2020. The century-old company has already announced its major sustainability objectives, including net zero carbon by 2045, net zero water consumption by 2030, improving the ambient air quality, and no net loss in biodiversity by 2030.