India Crude Steel Production Growth
India's crude steel production rose 6% year-on-year to 5.69 million tons for Tata Steel. The company commissioned a new 5 million ton blast furnace at Kalinganagar, aiding volume growth.
EBITDA Improvement
The company's EBITDA improved significantly. Excluding FX revaluation impact, EBITDA stood at Rs. 7,155 crores, translating to an EBITDA per ton of Rs. 9,263, an increase of 30% over the last quarter.
Cost Reduction Achievements
Material costs declined by about Rs. 1300 per ton due to lower coking coal consumption costs. Conversion costs excluding royalty declined by about Rs. 1,678 per ton.
Neelachal Ispat Nigam Limited Performance
EBITDA margin improved from 13% in Q2 to 20% in Q3 on account of a rise in volumes of about 17% and cost efficiency improvements.
UK Fixed Cost Improvements
The UK operations saw a significant reduction in fixed costs by £80 per ton quarter-on-quarter. Overall, there was an improvement of about £70 million in Q3 compared to Q2.