Tata Steel net profit was up 6 per cent at ₹3,302 crore in the September quarter of the current fiscal, against ₹3,116 crore in the same period last year, even as its total revenue plunged.

The company’s turnover was down 15 per cent at ₹34,579 crore (₹40,897 crore). Profit was boosted by ₹4,365 crore write-back of deferred tax as the government cut the corporate tax by 10 per cent to 25 per cent.

If not for the tax write-back, the company would have incurred a loss of ₹6 crore against a profit before tax of ₹5,411 crore logged in same period last year.

EBITDA of the company halved to ₹4,018 crore (₹8,641 crore) while EBITDA per tonne was at ₹6,156 (₹12,713) as steel prices slipped to historic low. Steel prices declined by over $100 a tonne in key markets, amidst weak demand.

On a standalone basis, the company’s net profit was at ₹3,838 crore (₹3,268 crore) on deferred tax write-back of ₹1,949 crore. Gross sales were down 18 per cent at ₹14,486 crore (₹17,580 crore).

Gross debt during the quarter increased to ₹1.11 lakh crore while net debt stood was at ₹1.06 lakh crore. The group has ₹4,596 crore as cash and cash equivalents and ₹7,262 crore undrawn bank credits.

On the efforts to sell overseas assets, the company said Synergy Metals and Mining Fund is carrying out detailed due diligence to pick up 70 per cent stake in Tata Steel Thailand and a final definitive document will be signed shortly.

Early last month, Tata Steel’s step-down subsidiary, Natsteel Holdings, signed an agreement to sell 56 per cent stake in Natsteel Vina, Vietnam, to a Vietnam-based company Thai Hung Trading Joint Stock Company and the process is expected to be completed by December.

TV Narendran, Managing Director, Tata Steel, said the business environment continues to be challenging and weighed heavily on steel prices. The end of monsoon season and the onset of festival demand may lead to a pick-up in overall consumption and steel demand, he added.

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