Tata Steel (TATASTEEL) Q4 25/26 earnings summary

Executive summary

• Achieved consolidated EBITDA of Rs 34,848 crores for FY2026, up 35% year-over-year, with operating cash flows of Rs 29,254 crores and free cash flows of Rs 10,738 crores.

• Audited standalone and unaudited consolidated financial results for the quarter and year ended March 31, 2026, were approved, with unmodified audit opinions issued by statutory auditors.

• Dividend of ₹4 per equity share recommended for FY2025-26, subject to shareholder approval at the AGM on July 2, 2026.

• Acquisition of 23% equity stake in TM International Logistics Limited (TMILL) for ₹335 crore, increasing ownership to 74%.

• Tata Steel Netherlands faces regulatory penalties and material uncertainty regarding the going concern status due to environmental compliance issues and potential early closure of coke and gas plants.

Financial highlights

• Consolidated revenue from operations for FY2026 was Rs 2,32,140 crores, up 6% YoY.

• Adjusted EBITDA per ton rose to Rs 10,835 from Rs 8,441 YoY.

• Reported PAT for FY2026 was Rs 10,886 crores, compared to Rs 3,174 crores in FY2025.

• Standalone revenue from operations for FY2025-26 was ₹1,39,720 crore, up from ₹1,32,517 crore year-over-year.

• Standalone net profit for FY2025-26 was ₹16,065 crore, up from ₹13,970 crore year-over-year.

Outlook and guidance

• Targeting further cost savings of Rs 7,140 crores in FY2027.

• Continued focus on capacity expansion, downstream investments, and sustainability initiatives.

• The company continues to monitor regulatory developments in Europe and India, particularly regarding environmental compliance and labor codes.

• Pursuing net zero emissions by 2045, with a 10-15% reduction in emission intensity by 2030 vs. FY2025.

• Cash flow and liquidity position assessed as adequate to meet group requirements, including at UK and Netherlands subsidiaries.