Tata Group’s metal stocks fall after reporting losses in the first quarter

The company has incurred losses on account of excess expenses. Its cost almost doubled 2,489.58 crore in the said quarter. last year, it was 1,282.59 crore, the company said in a regulatory filing to the stock exchanges.

The company is in the business of manufacturing of steel and allied products including manufacture of sponge iron and power generation. A subsidiary of Tata Group firm Tata Steel, TSLP is one of India’s largest integrated special steel and merchant direct reduced iron (sponge iron) players.

this year, Tata Steel Long Products (TSLP) acquired strategic stake in Odisha-based Neelachal Ispat Nigam Limited (NINL) 12,100 crore, which will provide an inorganic growth opportunity for Tata Company to grow in the long products business and leverage NINL’s captive iron ore mines.

Tata Steel Long Products Limited operates as a metal manufacturing company. The company provides mining services for steel pipes, tubes and other related products as well as minerals and alloys. The company’s shares are down more than 22% so far in 2022 (YTD).

Tata Steel Long Products Ltd reported a nearly 4% decline in its direct reduced iron (DRI) production at 2.34 lakh tonnes (LT) during the April-June quarter of the current fiscal. The company had produced 2.43 LT DRI in the corresponding quarter of last financial year.

During April-June 2022, the company produced 1.91 LT of crude steel, an increase of 11% from 1.72 LT in the same period a year ago. The company sold 1.74 lakh tonnes of steel as against 1.62 lakh tonnes in the corresponding period of last fiscal.

The company had said last month, “DRI production was marginally lower on a year-on-year (YoY) basis due to the postponement of the planned shutdown. DRI’s sales volume was marginally lower on a year-on-year basis due to higher captive consumption.” But it was less.”

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