Tata Steel Limited (TATASTEEL)
₹175.50 -0.51% last close, 16 Oct
Q2 FY27 results
📅 Next results: 27 Oct 2026 (board meeting)Tata Steel Limited's board meets on 27 Oct 2026 to consider its Q2 FY27 results (July-September 2026).
In its latest reported quarter, Q1 FY27, Tata Steel's revenue was ₹60,794 Cr (+14.3% year on year, -3.9% on the previous quarter), and net profit ₹2,385 Cr (+18.8% year on year); the operating margin was 15.2%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹60,794 | +14.3% | -3.9% |
| Operating profit | ₹9,264 | +24.7% | -5.7% |
| Net profit | ₹2,385 | +18.8% | -19.6% |
| EPS (₹) | 1.86 | +11.4% | -20.5% |
| Operating margin | 15.2% | — | — |
TATASTEEL delivery percentage and open interest
NSE end-of-day data for
On Fri, 16 Oct 2026, 63.33% of the TATASTEEL shares traded on NSE were taken to delivery, against the stock's own 20-session average of 48.21%. Delivery was unusually high while the price barely moved (-0.51%). In TATASTEEL futures, open interest rose 0.84% while the futures price fell 0.26%: short buildup (new short positions).
Delivery in the last 5 sessions: 48.1% · 48.8% · 50.7% · 47.7% · 63.3%
A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed
📢 Recent Corporate Announcements
Tata Steel Limited received the certified true copy of the NCLT Mumbai Bench order on October 15, 2026, approving the Scheme of Amalgamation of wholly owned subsidiary Rujuvalika Investments Limited into the parent company. The NCLT had sanctioned the order on October 1, 2026. Because Rujuvalika Investments is a 100% owned subsidiary, no new shares will be issued, and no cash consideration will be paid. All shares held in the subsidiary will be cancelled upon the scheme becoming effective.
- Certified true copy of NCLT Mumbai Bench order received on October 15, 2026.
- Order approving amalgamation was pronounced on October 1, 2026.
- Amalgamation of 100% wholly owned subsidiary Rujuvalika Investments Limited into Tata Steel Limited.
- Zero share dilution: No new shares issued or cash paid; all subsidiary shares stand cancelled.
Tata Steel reported provisional 2QFY27 operational numbers showing robust domestic performance, with India crude steel production rising 10% YoY (and 8% QoQ) to 6.21 million tons. India deliveries rose 7% YoY and 15% QoQ to 5.97 million tons, aided by record quarterly volumes in Branded Products & Retail (~2.2 MT) and Automotive & Special Products (~1.1 MT). Conversely, European operations saw lower deliveries, with Netherlands deliveries at 1.30 MT (down 15.6% YoY) and UK deliveries at 0.38 MT (down 33.3% YoY) amid inventory buildup and safeguard measures. E-commerce GMV on Tata Steel Aashiyana and DigECA surged 30% QoQ to Rs 2,860 crore.
- Tata Steel India crude steel production rose 10% YoY and 8% QoQ to 6.21 million tons in 2QFY27.
- Tata Steel India deliveries increased 7% YoY and 15% QoQ to 5.97 million tons.
- Automotive & Special Products achieved best-ever 2Q volumes of ~1.1 million tons, up 19% YoY.
- Tata Steel Netherlands deliveries fell YoY to 1.30 million tons vs 1.54 million tons in 2QFY26.
- E-commerce GMV from Tata Steel Aashiyana and DigECA reached Rs 2,860 crore, up 30% QoQ.
The Mumbai Bench of the Hon'ble NCLT has approved the Scheme of Amalgamation of Rujuvalika Investments Limited into Tata Steel Limited on October 1, 2026. Rujuvalika Investments is a wholly owned subsidiary of Tata Steel without active NBFC operations. Because it is a wholly owned entity, no new shares will be issued and no cash consideration will be paid. All shares held by Tata Steel in the subsidiary will be cancelled, simplifying corporate holding tiers and cutting compliance overhead.
- NCLT Mumbai Bench approved the Scheme of Amalgamation on October 1, 2026
- Appointed Date for the merger is set as April 1, 2023 (01.04.2023)
- No new shares or cash consideration will be issued since Rujuvalika is a 100% wholly owned subsidiary
- Filing of certified order with RoC via E-Form INC-28 required within 30 days of receipt
The Mumbai Bench of the Hon'ble NCLT has approved the Scheme of Amalgamation of Rujuvalika Investments Limited into Tata Steel Limited on October 1, 2026. Rujuvalika Investments is a wholly owned subsidiary of Tata Steel without active NBFC operations. Because it is a wholly owned entity, no new shares will be issued and no cash consideration will be paid. All shares held by Tata Steel in the subsidiary will be cancelled, simplifying corporate holding tiers and cutting compliance overhead.
- NCLT Mumbai Bench approved the Scheme of Amalgamation on October 1, 2026
- Appointed Date for the merger is set as April 1, 2023 (01.04.2023)
- No new shares or cash consideration will be issued since Rujuvalika is a 100% wholly owned subsidiary
- Filing of certified order with RoC via E-Form INC-28 required within 30 days of receipt
Tata Steel has acquired 393.52 crore equity shares in its wholly owned foreign subsidiary, T Steel Holdings Pte. Ltd (TSHP), for an aggregate value of USD 340 million (~₹3,260.32 crore). This transaction is part of an earlier Board approval dated March 17, 2026, permitting additional fund infusions up to USD 2 billion (~₹18,488.10 crore) into TSHP. The infusion represents approximately 1.36% of Tata Steel's TTM revenue and 2.41% of its net worth. Post-acquisition, TSHP remains a 100% wholly owned subsidiary.
- Acquired 393,51,85,186 equity shares of face value USD 0.0864 each in T Steel Holdings Pte. Ltd.
- Total transaction consideration is USD 340 million, equivalent to ₹3,260.32 crore.
- Part of a previously approved Board limit to infuse up to USD 2 billion into TSHP.
- TSHP remains a 100% wholly owned subsidiary of Tata Steel.
Tata Steel has received a favourable order from the Income Tax Appellate Tribunal (ITAT) for FY2009, allowing its claim of interest expenditure deduction under Section 36(1)(iii) regarding loans for the Corus Group acquisition. This reduces the company's tax exposure for FY2009 by ~₹427 crore, bringing total exposure across FY2008–FY2015 down from ~₹1,686 crore to ~₹1,259 crore. The initial total exposure of ~₹1,901 crore had previously been reduced by ~₹215 crore following a similar ITAT ruling for FY2008. The company will adjust its contingent liabilities once the Assessing Officer issues a consequential order, and expects persuasive precedent for pending litigations covering FY2010 to FY2015.
- Favourable ITAT order dated September 18, 2026 allows interest deduction claim of ₹813.65 crore for FY2009.
- FY2009 tax exposure of ~₹427 crore eliminated, reducing aggregate Corus loan tax exposure to ~₹1,259 crore.
- Aggregate tax exposure across FY2008–FY2015 reduced from ~₹1,901 crore initially (FY2008 relief was ~₹215 crore).
- Precedent set creates positive persuasive impact for remaining pending appeals covering FY2010 through FY2015.
Tata Steel had discharged ₹2,970 crore during FY2026 under protest towards outstanding Steel Development Fund (SDF) loan obligations following a demand from the Ministry of Steel. The company filed an interim application seeking an injunction on the Joint Plant Committee (JPC) from utilizing this money. On September 17, 2026, the Calcutta High Court disposed of the interim application, directing that the ₹2,970 crore shall not be utilised or disbursed to third parties pending final disposal of the company's appeal. The deposited amount represents approximately 26.4% of Tata Steel's TTM PAT of ₹11,264 crore.
- Company discharged ₹2,970 crore to JPC during FY2026 towards SDF loan demand without prejudice to legal rights
- Calcutta High Court (Division Bench) directed on September 17, 2026 that the ₹2,970 crore shall not be utilised or disbursed to third parties
- Injunction remains effective until the main appeal regarding the SDF loan waiver parity is finally disposed of
- Contested amount of ₹2,970 crore equals ~26.4% of TTM PAT (₹11,264 crore) and ~1.2% of TTM revenue
Tata Steel has been voluntarily assigned an Adjusted ESG score of 68.3 (Grade B) in the Metals and Mining Sector for 2026 by SES ESG Research Private Limited. The rating was prepared independently using publicly available data from FY2025-26 without formal engagement or compensation from the company. The disclosure is made pursuant to SEBI Listing Regulations 30 and 51. Given its voluntary and informational nature, the development has no direct financial or operational impact on the company.
- SES ESG voluntarily assigned an Adjusted ESG score of 68.3 (Grade B) on September 17, 2026
- The rating evaluates the Metals and Mining Sector for 2026
- Rating is based on publicly available data from FY2025-26
- Tata Steel confirmed it has not engaged SES ESG for rating services
Tata Steel Limited has informed the exchanges regarding a scheduled investor meeting in Singapore under Regulation 30 of SEBI LODR Regulations. The meetings are set for September 23, 2026, starting at 9:00 a.m. SGT (6:30 a.m. IST) and will include one-to-one and group interactions. This is a routine institutional investor interaction schedule, and no non-public price-sensitive information is expected to be shared. The schedule remains subject to changes based on participant availability.
- Investor meeting scheduled for September 23, 2026
- Meeting start time set at 9:00 a.m. SGT (6:30 a.m. IST)
- Venue designated as Singapore for One-to-One / Group Meeting format
- Meeting intimation submitted on September 17, 2026
Tata Steel Limited has informed the exchanges regarding a scheduled analyst and institutional investor meeting under Regulation 30 of SEBI LODR. The investor meetings will take place in Singapore on September 23, 2026, starting at 9:00 a.m. SGT (6:30 a.m. IST). The interactions are scheduled as one-to-one and group meetings. No unpublished price-sensitive information is expected to be shared, and the schedule remains subject to change.
- Investor meeting scheduled for September 23, 2026
- Session starts at 9:00 a.m. SGT (6:30 a.m. IST)
- Venue located in Singapore for One-to-One / Group Meeting format
- Filing made under SEBI LODR Regulation 30, Para A of Part A of Schedule III
Tata Steel Limited has scheduled an analyst and institutional investor meeting in Singapore on September 23, 2026, at 9:00 a.m. SGT (6:30 a.m. IST). The interaction will include both one-to-one and group meeting formats pursuant to Regulation 30 of SEBI LODR. No unpublished price-sensitive information or material operational details were disclosed in the intimation.
- Investor meeting scheduled for September 23, 2026, at 9:00 a.m. SGT (6:30 a.m. IST)
- Venue set as Singapore for One-to-One and Group Meetings
- Filing submitted under Regulation 30, Schedule III of SEBI LODR Regulations
Tata Steel has scheduled an analyst and institutional investor meeting for September 21, 2026, starting at 10:00 a.m. IST. The interactions will take place in Mumbai at the J.P. Morgan India Conference through one-to-one and group meeting formats. This is a standard regulatory intimation filed under Regulation 30 of SEBI LODR Regulations, 2015. No unpublished price sensitive information or financial disclosures were included in the announcement.
- Scheduled meeting date is September 21, 2026, at 10:00 a.m. (IST)
- Venue is the J.P. Morgan India Conference in Mumbai
- Format includes One-to-One and Group Meetings
- Filing submitted under Regulation 30, Para A of Part A of Schedule III of SEBI LODR
Tata Steel Limited has informed the stock exchanges regarding an upcoming scheduled analyst and institutional investor interaction. The company will participate in the UBS India Summit 2026 in Mumbai on September 10, 2026, starting at 9:00 a.m. IST. The interactions will be conducted in one-to-one and group meeting formats. This is a routine compliance filing under SEBI LODR Regulations.
- Scheduled to attend UBS India Summit 2026 on September 10, 2026 at 9:00 a.m. (IST)
- Venue: Mumbai; format involves One-to-One / Group Meetings
- Filing submitted in compliance with Regulation 30 of SEBI LODR Regulations, 2015
Tata Steel has completed the divestment of its 100% equity stake in wholly owned subsidiary Jamshedpur Football and Sporting Private Limited (JFSPL) to Churchill Brothers Sports Club Private Limited on August 31, 2026. With this transaction closed pursuant to the Share Purchase Agreement executed on August 14, 2026, JFSPL ceases to be a subsidiary of Tata Steel. Given the non-core nature and minimal size relative to Tata Steel's TTM revenue of ₹2,39,756 Cr, the financial impact on operations and earnings is negligible.
- Divested 100% shareholding in wholly owned subsidiary Jamshedpur Football and Sporting Private Limited (JFSPL).
- Buyer is Churchill Brothers Sports Club Private Limited; transaction completed on August 31, 2026.
- JFSPL ceases to be a subsidiary of Tata Steel following receipt of necessary approvals.
- Company reiterated continuation of non-commercial sports academies across 19 disciplines, including Tata Football Academy with 150 alumni national cadets.
Tata Steel has acquired 1,62,03,70,371 equity shares in its wholly owned foreign subsidiary, T Steel Holdings Pte. Ltd (TSHP), for an aggregate value of USD 140 million (~₹1,340.16 crore). This transaction is part of the USD 2 billion (~₹18,488.10 crore) fund infusion approved by the Board on March 17, 2026, which enhanced the aggregate investment limit in TSHP up to USD 26.21 billion. The tranche represents ~0.56% of TTM revenue (₹2,39,756 crore) and ~0.99% of net worth (₹1,35,534 crore). Following this acquisition, TSHP remains a 100% wholly owned subsidiary.
- Acquired 1,62,03,70,371 equity shares of face value USD 0.0864 each in TSHP
- Tranche investment value aggregates to USD 140 million (~₹1,340.16 crore)
- Part of an approved additional fund infusion of up to USD 2 Billion (~₹18,488.10 crore)
- Aggregate investment limit in TSHP stands at up to USD 26.21 Billion
Financial Performance
Revenue Growth by Segment
Consolidated revenues for 1H FY26 reached INR 1,11,867 Cr. Standalone India revenues for Q2 FY26 stood at INR 34,680 Cr. Specific percentage growth by segment was not disclosed, but consolidated EBITDA margins expanded by 280 bps, indicating improved revenue quality and cost control across segments.
Geographic Revenue Split
The company operates across India, the UK, and the Netherlands. While specific revenue % split is not provided, the cost transformation program impact is distributed as India (35%), UK (26%), and Netherlands (39%), reflecting the relative scale of operational focus and cost-saving potential in these regions.
Profitability Margins
Consolidated EBITDA margin for 1H FY26 was 15%, reflecting a 280 bps expansion compared to the previous year. Standalone EBITDA for Q2 FY26 was INR 8,394 Cr. Profitability is being driven by a global cost transformation program that achieved INR 5,450 Cr in savings during 1H FY26.
EBITDA Margin
Consolidated EBITDA margin stood at 15% for 1H FY26, with an EBITDA per ton of INR 11,037. This represents a 280 bps improvement YoY, driven by volume growth in India and aggressive cost-saving initiatives across global operations.
Capital Expenditure
Capital expenditure for 1H FY26 was INR 7,079 Cr. The company plans to fund FY26 capex requirements through strong cash flow generation from the recently commissioned 5 MTPA Kalinganagar capacity, aiming to avoid additional debt stress.
Credit Rating & Borrowing
The company maintains a 'Stable' outlook from CareEdge and Brickwork Ratings. Net debt/PBILDT stood at 3.35x as of March 31, 2025 (improved from 3.55x). Total debt to gross cash accruals (TD/GCA) was 6.16x (improved from 7.79x). Ratings are supported by a 31.76% stake held by Tata Sons Private Limited.
Operational Drivers
Raw Materials
Key raw materials include iron ore (sourced from identified mining assets) and coal/fuel. Raw material efficiency contributed significantly to the INR 5,450 Cr cost savings in 1H FY26, though specific % of total cost per material is not disclosed.
Import Sources
Not explicitly disclosed in the provided documents, though the company mentions focusing on identified mining assets and infrastructure to serve the India business needs.
Key Suppliers
Thriveni Earthmovers Private Limited (TEMPL) is a key partner, from whom Tata Steel is acquiring a 50.01% stake in Thriveni Pellets Private Limited (TPPL).
Capacity Expansion
Current expansion includes the recently commissioned 5 MTPA capacity at Kalinganagar. The Board has also accorded in-principle approval for a 4.8 MTPA capacity expansion at Neelachal Ispat Nigam Limited (NINL).
Raw Material Costs
Raw material efficiency is a core pillar of the cost transformation program, which achieved 94% compliance to the 1H FY26 plan. The company is investing in mining assets to secure long-term supply and manage cost volatility.
Manufacturing Efficiency
The company targets full commissioning of the caster and steel melt shop at Kalinganagar by September 2025 to achieve optimum capacity utilization. Cost transformation delivered INR 1,036 Cr in India and INR 1,059 Cr in the Netherlands in Q2 FY26.
Logistics & Distribution
Distribution and supply chain optimization are part of the global cost transformation program, contributing to the 280 bps EBITDA margin expansion.
Strategic Growth
Expected Growth Rate
15%
Growth Strategy
Growth will be achieved through a four-pillar strategy: 1) Investment in volume growth (e.g., 4.8 MTPA NINL expansion), 2) Value-added downstream portfolio expansion, 3) Investment in mining assets/infrastructure, and 4) Low-carbon technologies like HIsarna. The acquisition of a 50.01% stake in Thriveni Pellets for INR 636 Cr also supports raw material security.
Products & Services
Steel coils, value-added downstream steel products, and pellets (via TPPL).
Brand Portfolio
Tata Steel, Neelachal Ispat Nigam Limited (NINL), Thriveni Pellets Private Limited (TPPL).
New Products/Services
Focus on low-carbon, low-capital intensity process technologies like HIsarna for sustainable steelmaking. Expected revenue contribution % not disclosed.
Market Expansion
Prioritizing India business growth with capacity expansions at Kalinganagar and NINL. UK operations are targeted to reach breakeven by H2 FY26.
Market Share & Ranking
Flagship steel company of the Tata Group; specific market share % not disclosed.
Strategic Alliances
Joint venture with Thriveni Earthmovers Private Limited (TEMPL) through the 50.01% acquisition of Thriveni Pellets Private Limited (TPPL).
External Factors
Industry Trends
The industry is shifting toward sustainable, low-carbon steelmaking. Tata Steel is positioning itself by owning global IP for HIsarna technology and focusing on 'green' steel initiatives in Europe.
Competitive Landscape
Competes with domestic and global steel players. Competitive advantage is maintained through a targeted INR 11,500 Cr cost transformation program.
Competitive Moat
Moat is built on strong parentage (Tata Group), backward integration into mining, and proprietary technology like HIsarna. These are sustainable due to the high capital intensity of the industry and the strategic importance of steel to the Tata Group.
Macro Economic Sensitivity
Sensitive to global steel demand and pricing. The company uses an internal carbon pricing framework to assess climate change impacts on capital allocation.
Consumer Behavior
Increasing demand for sustainable and value-added downstream products in the India market.
Geopolitical Risks
Geopolitical tensions and evolving tariff regimes are identified as key risks that could pressure export volumes and margins.
Regulatory & Governance
Industry Regulations
Operations are subject to environmental clearances (currently advanced for NINL expansion) and safeguard duties on steel imports/exports.
Environmental Compliance
Climate impact is integrated into business decisions via an internal carbon pricing framework. The company received the ICSI Business Responsibility and Sustainability Award 2023.
Legal Contingencies
Material litigation is pending regarding the Sukinda Chromite Block (Writ Petition Civil No. 22431 of 2025) before the Hon’ble High Court of Orissa. Case value not explicitly stated.
Risk Analysis
Key Uncertainties
Uncertainties include the timeline for people restructuring in the UK/Netherlands (impacting cost benefits) and the volatility of global steel prices due to geopolitical factors.
Geographic Concentration Risk
Heavy concentration in India for growth, while European operations (UK/Netherlands) are currently undergoing restructuring to reach profitability.
Third Party Dependencies
Dependency on the Central Works Council for labor restructuring approvals in Europe and on regulatory bodies for environmental clearances.
Technology Obsolescence Risk
Mitigated by owning IP for HIsarna and investing in AI-enabled processes and intelligent safety management.
Credit & Counterparty Risk
Receivables quality is managed through a robust financial reporting process overseen by the Audit Committee.
