The shares of Tata Steel rose almost 2% in opening trade and hit a 52-week high to make it to the second spot on the list of top Nifty 50 gainers on April 8.
Tata Steel shares traded 0.7% higher at ₹166.65 on BSE at 9:47 am. In the first few minutes of market opening, the stock hit a 52-week high of ₹166.95 on NSE. The steelmaker’s stock has given a return of more than 56% to its investors in the past year compared to the benchmark Nifty 50 which has risen 28% during the period.
The latest uptrend comes on the back of a strong quarterly business update that the steelmaker reported on April 5. Its India business has posted the highest quarterly delivery volumes of 5.41 million tonnes which is 11% quarter on quarter (QoQ).
Tata Steel India deliveries increased by 6% YoY and surpassed the previous best recorded in FY23. The domestic deliveries grew at a higher rate of 9% YoY leveraging India steel demand growth and our agile business model, the firm said in a statement.
The steelmaker’s India unit also clocked the highest-ever annual crude steel production of 20.8 million tonnes, with a growth of 4% YoY by debottlenecking across sites and achieving higher steel production at Neelachal Ispat Nigam Limited. In 4QFY24, crude steel production stood at around 5.38 million tonnes, it said.
Automotive and special products segment deliveries increased by 8% in FY24 to 2.9 MT, surpassing the previous record in FY23. Branded products and retail segment deliveries increased by 11% in FY24 to 6.5 MT. The industrial products and projects segment deliveries rose 6% to 7.7 MT.
Among sub-segments, engineering registered best-ever annual sales led by pre-engineered buildings and railways, among others, the company said. “Revenues from Tata Steel Aashiyana, an e-commerce platform for Individual Home Builders, stood at ₹2,240 crore in FY24 and were up 30%, driven by best-ever 3Q and 4Q sales,” it added.
On the global front, Tata Steel Netherlands liquid steel production in FY24 was 4.80 MT, and deliveries were 5.30 MT. In FY23, the output was 6.33 MT, and sales stood at 5.62 MT.
Tata Steel UK’s liquid steel production in FY24 stood at 3.02 MT, and deliveries were at 2.80 MT. In FY23, the output was 3.02 MT and sales at 2.95 MT.