Tata Steel - Well Poised For Capacity Expansion With Healthy Balance Sheet: Prabhudas Lilladher

A save our communities banner hangs from a road sign on a roundabout in front of the steel works operated by Tata Steel Ltd. in Port Talbot, U.K. (Photographer: Chris Ratcliffe/Bloomberg)

Tata Steel - Well Poised For Capacity Expansion With Healthy Balance Sheet: Prabhudas Lilladher

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.

Prabhudas Lilladher Report

We attended Tata Steel Ltd.’s analyst day. Management shared capacity allocation policy focusing on:

  1. expanding upstream steel capacity in India by 15 million tonne beyond FY25 to 40 million tonne,

  2. augmenting downstream capacity with investment in cold rolling, ductile iron pipes, tinplate, tubes and wires,

  3. entering businesses like electric arc furnace based steel, niche new materials business with product offerings of composites and graphene and

  4. expanding infrastructure and logistics to support the movement of expanded steel capacity.

Capex intensity would almost double based on annual capex guidance of Rs 100 billion-120 billion for next five years.

Click on the attachment to read the full report:

Prabhudas Lilladher Tata Steel Company Update.pdf

DISCLAIMER

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.