On November 12, India-headquartered steel giant Tata Steel Group issued its group financial results includin Tata Steel Europe for the third quarter of 2010 or the second quarter of the Indian financial year ended on September 30, 2010, stating that the rising demand in the Indian domestic market was the main factor behing the positive results.
Net income was Rupees 19.78 billion ($442 million) in the three months ended September 30, compared with a net loss of Rupees 27.07 billion in the same quarter a year earlier. The company also pointed out that turnover saw an increase of 11.1 percent year on year to Rupees 280.09 billion ($6.38 billion) from Rupees 252.8 billion. Group EBITDA in the period in question was Rupees 44.97 billion ($1 billion), increasing more than 11 times compared to the same period of 2009.The company's steel deliveries dropped slightly in the quarter in question from 6.05 million mt a year ago to 5.82 million mt.
Tata Steel Europe, formerly known as Corus, showed a profit despite weak market conditions in the quarter ended on September 30.
Group managing director HM Nerurkar said, “We registered strong sales in India in the second [fiscal]quarter, aided by growing strength in industrial activity and intensifying demand from the infrastructure, construction and auto sectors.”
Tata Steel Europe MD and CEO, Dr Karl-Ulrich Köhler, said, “The profitability of this first half, in Europe, is a tribute to the cost and restructuring measures implemented in response to the financial crisis and our discipline in securing these benefits as demand returns to the market.”