Tata Steel - Growth, Deleveraging On: Centrum Broking

The Tata Steel Ltd. logo sits on a flags flying outside the Tata Steel Ijmuiden BV plant in Ijmuiden, Netherlands. (Photographer: Jasper Juinen/Bloomberg).

Tata Steel - Growth, Deleveraging On: Centrum Broking

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Centrum Broking Report

For Tata Steel Ltd., FY21 was a year marked with life-time high profitability in Indian operations and significant debt reduction.

Carbon cost has kept increasing in Europe and will hit profitability, but post FY25.

Continuous deleveraging, 100% iron ore integration, and thereby, higher margins in India coupled with re-start of growth capex on the brownfield expansion at Kalinganagar will drive future earnings.

We raise our steel price assumption by ~9% for FY22 and by ~3% for FY23, thereby upgrading our Ebitda estimates by 15% for FY22 and by 6% for FY23.

Click on the attachment to read the full report:

Centrum Tata Steel - Company Update.pdf


This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.