THEBUSINESSBYTES BUREAU

MUMBAI, JULY 2, 2026

Expressing confidence that India will remain the growth engine of the global steel industry despite mounting geopolitical and economic uncertainties, Tata Steel Chairman Natarajan Chandrasekaran on Thursday highlighted the company's record financial performance, accelerated capacity expansion and steady progress in its green steel transformation across India and Europe.

Addressing shareholders at the 119th Annual General Meeting (AGM) of Tata Steel, Chandrasekaran said the company has demonstrated resilience amid global economic uncertainties, driven by robust domestic demand, operational excellence and strategic investments.

"The year began with optimism across global markets, supported by expectations of steady growth, easing inflation and improving financial conditions. While geopolitical tensions in West Asia later altered the global economic landscape, India's economy remained resilient with strong growth driven by domestic demand and manufacturing," he said.

Highlighting the performance of the global steel industry, the Chairman noted that worldwide crude steel production declined by two per cent to 1.85 billion tonnes during calendar year 2025 due to China's slowdown, weak demand in Western markets, cost volatility and regulatory challenges. In contrast, India's steel sector continued its growth trajectory, with production rising 10.7 per cent to 168.4 million tonnes and demand increasing 7.6 per cent to 163.7 million tonnes, supported by infrastructure, construction, automotive and industrial demand.

Against this backdrop, Tata Steel posted robust financial results for FY2025-26.

The company's consolidated revenue grew six per cent year-on-year to ₹2,32,140 crore, backed by record annual crude steel production of nearly 23.4 million tonnes and deliveries of about 22.5 million tonnes. Consolidated EBITDA surged 35 per cent to ₹34,848 crore, while Profit After Tax registered a remarkable 243 per cent jump to ₹10,886 crore.

In India, the company reported revenues of ₹1,40,302 crore and EBITDA of ₹34,272 crore, representing a 17 per cent increase with EBITDA margins improving to 24 per cent, driven by cost efficiencies, an improved product mix and higher sales volumes. Consolidated net debt also reduced to ₹80,144 crore, significantly strengthening the company's balance sheet.

Reflecting confidence in the company's financial health, the Board has recommended a dividend of ₹4 per equity share for FY2025-26.

A key highlight of the year was the successful commissioning of Phase-II expansion at Tata Steel's Kalinganagar plant in Odisha, increasing the company's total steelmaking capacity to 26.1 million tonnes per annum (MTPA) while expanding Kalinganagar's capacity from 3 MTPA to 8 MTPA.

The expanded facility houses India's largest blast furnace and a state-of-the-art Cold Rolling Mill, significantly enhancing Tata Steel's capabilities in high-value flat steel products for sectors such as automotive and defence.

Chandrasekaran described the expansion as a decisive milestone in Tata Steel's long-term strategy to achieve 40 MTPA capacity in India.

The company also continued to strengthen its portfolio of value-added products through deeper digital engagement and expansion into emerging sectors including defence and shipbuilding. Simultaneously, downstream businesses such as tubes, tinplate and wires witnessed capacity enhancement.

During the year, Tata Steel consolidated ownership in Tata Steel Colors and acquired a majority stake in Thriveni Pellets, moves that the Chairman described as critical for enhancing long-term competitiveness.

Further strengthening its long products business, Tata Steel recently commissioned a 0.75 MTPA Electric Arc Furnace (EAF) in Ludhiana and is progressing with the planned expansion of Neelachal Ispat Nigam Limited. The Board has also approved the amalgamation of NINL with Tata Steel to unlock operational synergies and simplify the corporate structure.

On the international front, Chandrasekaran said Tata Steel's European operations have entered a decisive transformation phase focused on sustainable steelmaking.

In the United Kingdom, the company has commenced construction of its GBP 1.25 billion Electric Arc Furnace project at Port Talbot, representing the country's largest low-carbon steel transition initiative in partnership with the UK Government.

The Chairman said engineering design and project execution are progressing as planned.

In the Netherlands, Tata Steel has significantly improved operational performance, with EBITDA tripling to Euro 267 million during the year. However, he acknowledged that the operating environment has become increasingly challenging due to environmental regulations that exceed European Union standards.

He said the company is actively engaging with the Dutch Government and other stakeholders to establish a long-term pathway that is environmentally compliant, financially sustainable and operationally viable.

To strengthen energy security and support its decarbonisation roadmap, Tata Steel Netherlands also acquired Vattenfall's co-generation power plants during the year.

Concluding his address, Chandrasekaran reaffirmed Tata Steel's commitment to sustainable growth, technological advancement and value creation through disciplined execution, strategic investments and operational excellence, while positioning the company to capitalise on India's long-term steel demand and the global transition towards greener manufacturing.