Tata Steel Q4 loss at Rs 870 Crore
Tata Steel’s fourth quarter consolidated loss may be narrowed to Rs 870 crore as against Rs 5,674 crore in year-ago period, largely supported by domestic business but impacted by UK operations. Earnings will be announced today.
In Q4FY15, there was a big exceptional write-down by the company, which was around Rs 4,800 crore.
According to analysts, revenue is seen falling 8.5 per cent to Rs 30,813 crore in Q4 as compared to Rs 33,866 crore in corresponding period of last fiscal.
UK assets sale and likely further revival in Indian operations will be a key factor to watch out for.
In standalone business (domestic), steel realizations may improve sequentially post imposition of minimum import price (MIP). Full impact of steel price increases may be felt in Q1FY17, feel analysts.
EBITDA per tone is expected to improve Rs 7,000-8,000 per tonne to Rs 6,481 in Q3FY16 and Rs 6,921 in Q4FY15
EBITDA (earnings before interest, tax, depreciation and amortization) due to increase in blended realizations and benefit of operating language.
European oprations may remain under stress amid weak demand, lower(European) steel prices while some benefits of manpower restructuring and lower raw material prices could be seen.