Tata Steel Q3 earnings: EBITDA seen falling, losses in Europe may weigh 

Metal major Tata Steel Ltd will announce its Q3 earnings today. The Tata Group firm is likely to post a 7.6 per cent Y-o-Y growth in standalone volume, led by the Kalinganagar expansion, according to Antique Broking. However, consolidated EBITDA is seen sliding 28 per cent Y-o-Y, signaling lower profitability in Indian operations and continued losses in Europe.

YES Securities expects consolidated revenues to slide 3% QoQ and 5.5% YoY at Rs 52,260 crore led by falling realizations. The brokerage expects Tata to report an EBITDA of Rs 5,480 crore with EBITDA margins of 10.5% on a consolidated basis led by reducing realizations being partially offset with higher volumes and savings on coking coal costs vs Q2FY25.

Net profit is seen at Rs 599.8 crore , a 16.8% rise on a year on year basis but a 28% fall on a quarter on quarter basis.

Axis Securities sees expects consolidated revenue to decline YoY/QoQ led by lower steel price realization in India and Europe, partially offset by the brokerage's higher steel sales volumes estimate.

It expects EBITDA to decline fall 23% YoY/QoQ each due to lower sales realisation in India and Europe, which offsets benefit from lower coking coal costs and higher sales volumes.

The brokerage expects lower EBITDA/tonne in India at Rs 11,810/tonne, down 33%/9% YoY/QoQ on account of lower sales price realisation, partially offset by lower coking coal consumption cost.

EBITDA per tonne loss in Europe is likely to narrow down to $53 per tonne against $75 per tonne in Q2FY25 and $178 per tonne in Q3FY24 led by better Netherlands EBITDA.

Reevnue is seen at Rs 52,513 crore, down 5.1% year on year in Q3, said Axis adding that net profit would come at Rs 212 crore, down 75% from Rs 815 crore in Q3 of the previous fiscal.

Brokerage Anand Rathi expects a 5.3 per cent Y-o-Y fall in revenue due to weaker domestic steel prices and ongoing challenges in European markets.

Tata Steel stock ended 2.77% lower at Rs 126.40 today. Market cap of the firm stood at Rs 1.57 lakh crore. Total 16.18 lakh shares changed hands amounting to a turnover of Rs 20.70 crore on BSE.