Tata Steel Shares Remain Flat After Production And Delivery Update

Shares of Tata Steel were almost flat on Monday after the company announced its production and delivery numbers over the weekend.

What Happened: Tata Steel India's crude steel production stood at 5.25 million tons, slightly lower than last quarter's 5.40 million tons, with its quarter-on-quarter production being affected by planned maintenance shutdowns.

The firm's output was up 5% on a year-on-year basis. The unit delivered 4.94 million tons of steel in the same period marking the best-ever Q1 sales, the company said. On a year-on-year basis, deliveries were up 3% driven by a rise in domestic deliveries, the company added.

Deliveries in the automotive & special products segment increased by 14% year on year to about 0.8 million tons. "Volumes have been aided by higher than market growth in select sub-segments, such as passenger and commercial vehicles, leading to ‘best-ever 1Q' sales." Tata Steel said.

See Also: IREDA, HCLTech And 3 Tata Stocks Are Set To Report Q1 Earnings Next Week

The branded products an retail segment saw deliveries shoot up 6% year-on-year to about 1.7 million tons. Revenue from Tata Steel Aashiyana, an e-commerce platform for Individual Home Builders, saw its best-ever Q1 figures at ₹644 crore.

Tata Steel's Netherlands unit recorded liquid steel production of 1.72 million tons. Deliveries were at 1.52 million tons, up 11% annually, aided by improved production, the company said.

In the U.K., it clocked 0.68 million tons of production while deliveries stood at 0.69 million tons. Blast furnace 5 at Port Talbot has ceased operation and is being decommissioned, the company said in the press release. The last liquid iron was produced on July 4 in the facility, it added.

In Thailand, the company saw its lowest saleable steel production of 0.31 million tons. Deliveries also stood at 0.31 million tons, which was almost similar to last quarter's numbers.

Price Action: Tata Steel was trading nearly flat at ₹174.81 as markets opened on Monday morning.

Read Next: What To Expect From Tata Motors’ Q1 Results

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