In the budget, the government has announced a major investment in the infrastructure sector and Tata Steel will obviously benefit from it. Apart from this, the company’s performance in the third quarter has also shown that Tata Steel continues to be on the path of growth.
The pace of economic activity around the world has again increased commodity prices. Prices of iron, steel, copper and aluminum have gone up and Indian companies are also benefiting from this.
One of India’s leading steel companies, Tata Steel’s December quarter net profit has crossed Rs 4000 crore. The net profit of Tata Steel has increased to Rs 4011 crore. Whereas in this period of last financial year, it incurred a huge loss of Rs 1229 crore.
Tata Steel’s turnover also increased
The turnover of the company reached Rs 39,594 crore in the third quarter of the current financial year. At the same time, turnover reached Rs 35,520 crore during this period of last financial year.
In the September quarter, Tata Steel’s net profit reached Rs 1665.07 crore. The company says that it has recorded a rise in profitability of the company due to its good performance in all segments, including automatics.
Tata Steel said, more emphasis on domestic market
It has been said on behalf of Tata Steel that the company has now started emphasizing the domestic market by reducing its dependence on the export market. The government has recently announced to increase investment in the infrastructure sector in the budget. Also announced several measures to speed up growth.
This will boost demand for other metals including steel. The biggest impact of this will be seen in the demand for steel. Since Tata Steel is a major player in the steel industry in the country, the demand for its products may increase. Its effect can be clearly seen in the company’s profits.
Nidhi Malviya is fun loving girl. She writes at NoobFeeds about various topics related to Finance, Technology, Business etc.