India-headquartered steel giant Tata Steel Group has issued its group financial results, including Tata Steel Europe, for the fourth quarter and the full 12 months of the financial year 2017-18, ended March 31.
Tata Steel Group recorded a net profit of INR 146.68 billion ($2.15 billion) in the fourth quarter, compared to a net loss of INR 11.68 billion in the corresponding period of the previous financial year. The group's fourth quarter sales amounted to INR 361.32 billion ($5.3 billion), increasing by 2.3 percent year on year, driven by improved selling prices across geographies and higher deliveries in Europe.
In the full financial year, Tata Steel registered a net profit of INR 177.62 billion ($2.61 billion), compared to a net loss of INR 41.69 billion in the previous financial year, while its sales revenues increased by 13.2 percent year on year to INR 1.33 trillion ($19.54 billion). In the given year, steel deliveries of the group amounted to 25.27 million mt, rising by 5.8 percent year on year.
The company stated that Bamnipal Steel Limited (BNPL), a wholly-owned subsidiary of Tata Steel Limited, has successfully completed the acquisition of controlling stake of 72.65 percent in bankrupt Indian steelmaker Bhushan Steel Limited (BSL) in accordance with the approved resolution plan. Meanwhile, its 50/50 joint venture with German steelmaker ThyssenKrupp is progressing well. The binding agreements are expected to be signed in the first quarter of 2019 and the consultation process with its works councils across Europe is also progressing, including discussions with trade unions. In addition, Tata Steel Europe is seeking buyers for five non-core business units which supply products to niche markets. These potential divestments will allow Tata Steel Europe to strengthen its focus on strategic strip products and markets through its Umuiden and Port Talbot value chains.