Tata Steel India achieved its highest-ever annual crude steel production of around 19.9 million tons, up 4% year on year, thanks to debottlenecking across sites and the ramping up of Neelachal Ispat Nigam.

Despite the volatile operating environment during the fiscal year, deliveries increased by 3% year on year, with the company exceeding its previous best recorded in FY22.
Furthermore, according to a company release, domestic deliveries increased by around 10% year on year due to the company’s robust marketing network and agile business model.

Meanwhile, crude steel production increased by 3% year on year to around 5.15 million tonnes in the fourth quarter of FY23, while deliveries increased by 9% year on year to 5.15 million tons, the highest-ever quarterly deliveries.

Domestic deliveries in automotive & unique products (2.7 million tonnes), branded products & retail (5.9 million tonnes), and industrial products & projects also reached new highs in FY23. (7.2 million tons).

While branded products and retail segment deliveries were driven by record quarterly and annual sales across established retail and MSME (micro, small and medium enterprises) brands such as Tata Tiscon, Tata Kosh, Tata Astrum, and Tata Steelium, industrial products and projects segment sales were driven by a sustained increase in the sale of value-added products to key segments such as oil and gas and railways.

In FY23, revenues from Tata Steel Aashiyana, an e-commerce platform for individual home builders, increased by around 18% year on year to Rs 1,730 crore.

Neelachal Ispat, which began operations three months after the acquisition was completed, has steadily ramped up over the last two quarters, with an annualised crude steel plus pig iron run rate of around 1 million tonnes. NINL billets are used to make Tata Tiscon rebars.
Tata Steel Europe delivered approximately 8.1 million tonnes of steel during FY23. Due to an improving demand environment, deliveries increased by 7% year on year in the fourth quarter of FY23 to 2.13 million tonnes.

According to the release, the product mix has been impacted by ongoing upgrades at CM21 (Cold Rolling Mill), which also stated that the overall process of relining BF6 at Tata Steel Netherlands began as planned in early April.

Tata Steel shares have dropped around 22% in the last year and have remained nearly flat in the previous six months. Meanwhile, the Sensex has fallen less than 1% in the last year and is up around 2.5% over the previous six months.