TATASTEELNSE25 July 2022

Tata Steel Limited has informed the Exchange about Investor Presentation

Tata Steel Limited

The Secretary, Listing Department BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400 001. Maharashtra, India. Scrip Code: 500470/890144*

Dear Sir, Madam,

July 25, 2022

The Manager, Listing Department National Stock Exchange of India Limited Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Bandra-Kurla Complex, Bandra (E), Mumbai - 400 051. Maharashtra, India. Symbol: TATASTEEL/TATASTLPP*

Sub: Submission of Investor Presentation to be made to Analysts/Investors

Please find enclosed herewith the investor presentation to be made to Analysts/Investors on the Financial Results of Tata Steel Limited for the quarter ended June 30, 2022.

This presentation is being submitted in compliance with Regulation 30(6) of the SEBI (Listing Obligations and Disclosure Requirements), Regulations, 2015, as amended.

The same is also being made available on the Company’s website www.tatasteel.com

This is for your information and records.

Thanking you.

Yours faithfully, Tata Steel Limited

Parvatheesam Kanchinadham Company Secretary & Chief Legal Officer (Corporate & Compliance)

Encl: As above

*Securities in scrip code 890144 and symbol TATASTLPP stand suspended from trading effective February 17, 2021

Registered Office Bombay House 24 Homi Mody Street Fort Mumbai 400 001 India Tel 91 22 6665 8282 Fax 91 22 6665 7724 Website www.tatasteel.com Corporate Identity Number L27100MH1907PLC000260

TATA STEEL RESULTS PRESENTATION

Financial quarter ended June 30, 2022

July 25, 2022

Jubilee Park, Jamshedpur, India

“In a free enterprise, the community is not just another stakeholder, but is, in fact, the very purpose of its existence” – J.N. Tata, Founder, Tata Group

Safe harbour statement

Statements in this presentation describing the Company’s performance may be “forward looking

statements” within the meaning of applicable securities laws and regulations. Actual results may differ

materially from those directly or indirectly expressed, inferred or implied. Important factors that could

make a difference to the Company’s operations include, among others, economic conditions affecting

demand/supply and price conditions in the domestic and overseas markets in which the Company

operates, changes in or due to the environment, Government regulations, laws, statutes, judicial

pronouncements and/or other incidental factors

Overview

Performance update

1QFY23 Results

Tata Steel is focused on creating sustainable value

Leadership in Sustainability

Consolidate position as global cost leader

Leadership in India

Robust financial health

Leadership position in technology

and digital

Become culturally future ready

Committed towards excellence in Safety & Health of our employees

Safety remains a top priority

Health is a key focus area

LTIFR1 reduction by 69% in the last 15 years

2.10

1.31

Health check ups

0.95

0.780.680.600.560.440.39

0.580.460.47

0.690.720.730.65

Worker Health & Safety

8 0 Y F

9 0 Y F

0 1 Y F

1 1 Y F

2 1 Y F

3 1 Y F

4 1 Y F

5 1 Y F

6 1 Y F

7 1 Y F

8 1 Y F

9 1 Y F

0 2 Y F

1 2 Y F

2 2 Y F

3 2 Y F Q 1

Awareness Campaigns

First Aid refreshers

▪ To improve perception about safety among employees and vendor partners, campaigns like ‘Slip Trip Fall’ and ‘Working at heights’ were undertaken

▪ Campaign on ‘Beat the Heat’ and awareness session on World Hypertension day were organised for employees including contract workforce

▪ Further, Safety excellence reward

and recognition has been introduced to recognize and sustain a culture of safety

▪ Industrial Hygiene assessment was conducted at Jamshedpur. 98% of employees have been fully vaccinated2

1. Lost Time Injury Frequency Rate per million-man hours worked, for Tata Steel Group; 2. Cumulative till 30th June 2022

Improving quality of life of our communities

Key areas for CSR initiatives

5.5 lakh+ lives1 reached out

Rural & Urban Education

Dignity for the Disabled

▪ Spent more than Rs.1,200 crores2 since FY19 on Signature programmes at regional scale as well as programmes for Communities proximate to our operations

Household Health & Nutrition

Household Livelihoods

Tribal Cultural Heritage

Water Resources

Education

Livelihood

Grassroots Rural Governance

Grassroots Sports

Women & Youth Empowerment

Public Infrastructure

1. Cumulative till 30th Jun 2022 2. CSR Spending by Tata Steel Standalone

Drinking water

Tribal heritage

Focused on growth in India with future investments set to drive sector leading returns

Crude steel production (MTPA)

Upstream

› Pellet capacity to increase from 7 to 13 MTPA (TSK Ph II)

› Iron ore mining to double from 30 to 60-65 MTPA

Flats

› 2.2 MTPA CRM complex close to commissioning (TSK Ph II)

› 5 MTPA expansion on track (TSK Ph II)

Longs

› NINL acquisition to facilitate rapid growth

› EAF to drive scale through multilocational expansion

› Tubes – From 1.0 MTPA to 2 MTPA

Downstream

› Wires – From 0.45 MTPA to 1 MTPA

2018

TSM

TSLP

2021

Flats

Longs 2030

› Tinplate – From 0.38 MTPA to 1.0 MTPA

› Ductile Iron Pipes – From 0.2 MTPA to 1 MTPA

Note : TSM – Tata Steel Meramandali, TSLP – Tata Steel Long Products, TSK – Tata Steel Kalinganagar, CRM – Cold Rolling Mill, MTPA – million tons per annum, NINL- Neelachal Ispat Nigam Ltd

Upstream Assets : Responsible and Smart mining driving cost leadership

100 tonne dumper at Noamundi mines, India

▪ One of the largest miners in India, with annual despatch1 of ~39

mn tons of Iron ore, Coal, Manganese & Chrome ore

▪ Focus on Sustainability : Solar power, rainwater harvesting and

Electric Vehicles at mines

Drones for survey

Integrated control centers for remote mining

First miner in India to deploy women in all shifts and onboarded transgenders

Machine Learning based preventive maintenance

Real time Fleet Management System to optimise utilisation

Note : Annual despatch of 39 mn tons, of which 32 mn tons is Iron ore

Optimised portfolio : 2.2 MTPA CRM & 5 MTPA expansion to drive product mix enrichment in flats

TSK 5 MTPA expansion commissioning by end FY24

Market share in Hi-end Auto / Engg. to grow

1QFY23

FY23

FY24

▪ Increase in high end Products for Automotive and

Engineering

Pellet

plant

CRM :

PLTCM

CRM :

5 MTPA

CAL / CGL

▪ Focussed on meeting customer requirements related

to lightweighting and safety standards

Branded Products & Retail

Note : TSK – Kalinganagar, CRM – Cold Rolling Mill, PLTCM – Pickling Line & Tandem Cold mill, CAL / CGL – Continuous Annealing / Galvanising lines

Pellet Plant to drive cost savings

Optimised portfolio : Ramp up in long products to drive high margin retail business

▪ NINL1 acquistion completed on 4th July 2022

▪ Capacity growth to 10 million tons

▪ Leverage strong portfolio of retail brands and

extensive distribution network to drive scale and profitability

▪ Will benefit from significant pan India growth in infrastructure and retail housing growth in semi urban India

Build unshakeable structures with Tata Tiscon

Steelmaking capacity of >1 million ton

Land Bank of 2,500 acres

Captive Iron ore mine ~100 mt reserves

Proximity to TSK2 to drive synergies

Note : NINL – Neelachal Ispat Nigam Limited, TSK – Tata Steel Kalinganagar

Expanding Downstream capacities and widening reach digitally

Tubes

Wires

Aashiyana2

Tata Structura used at Sir Visvesvaraya Railway Terminal, Karnataka

Tata Steel LRPC1 strands used at Jio World Centre, Maharashtra

‘Aashiyana’ registered ~77% YoY growth in gross revenue in first quarter

Note : 1. LRPC is Low Relaxation Pre-Stressed Concrete, 2. Aashiyana is Tata Steel’s online marketing platform, targeted towards ‘Individual home builder’ segment

Pursuing sustainability through multiple pathways : Net zero by 2045

Key focus areas

Long term decarbonization roadmap created

Pursuing low carbon technologies

Circular Economy integrated, part of business model

Responsible supply chain & improving disclosures

Climate Change

India

Europe

Water

Circular Economy

Bio-Diversity

Solar park at Noamundi Iron ore mine

Steel with allocated reduction upto 100% to aid customers achieve net zero

Pioneering initiatives that enable diversity & inclusion and empower people

▪ Strong leadership pipeline ~ 90% home grown

leadership talent. Providing leadership talent for organic & inorganic growth across Tata group

▪ 100+ year old learning & development set up focused

on creating future ready leaders

▪ Step Up program - 1st of its kind AI driven talent

marketplace

▪ First company to bring in equal benefits for same Sex

Partners and medical coverage for LGBTQIA+ colleagues

▪ First company in manufacturing & mining sector to

recruit over ~100 transgender employees and to open core operations for woman

AI – Artificial Intelligence, LGBTQIA+ - acronym for Lesbian, Gay, Bisexual, Transgender, Queer, Intersex, Asexual

Overview

Performance update

1QFY23 Results

Moderation in Steel prices across key regions and input cost dynamics weigh on spot spreads

▪ Global steel prices have moderated in the April – June period on slowdown in global growth and regulation

▪ In China, COVID remains an overhang while consumer demand for goods has softened in the western markets

▪ Coking coal prices have declined by around 40% from $530/t levels in April to around $300/t by end June, but continue to remain volatile

▪ Overall, this has led to pressure on steel spot spreads. Western spot spreads remain above Chinese steel spreads

▪ China steel exports have risen but are still down on YTD basis, seasonally Apr – June are strong for export volumes

Global steel prices have moderated

Coking coal continues to be volatile

US Domestic Germany domestic China export FOB China domestic

HRC prices ($/t)

2,500

2,000

1,500

1,000

500

Premium Low Vol HCC CFR China

Premium HCC, Australia FoB

Iron Ore-62% Fe, China CFR

Prices ($/t)

600

400

200

0 Jun-20

Dec-20

Jun-21

Dec-21

Jun-22

0 Jun-20

Dec-20

Jun-21

Dec-21

Jun-22

Steel spot spreads are under pressure

China Steel exports down on YTD basis

HRC spot gross spreads ($/t)

EU Spreads China export Spread China domestic Spreads

1,000

750

500

250

0 Jun-20

Dec-20

Jun-21

Dec-21

Jun-22

(mn tons)

YTD YTD FY22 FY22

YTD FY23

Jun-20 Oct-20 Feb-21 Jun-21 Oct-21 Feb-22 Jun-22

Sources: World Steel Association, IMF, Bloomberg, Steelmint, and Tata Steel; China HRC exports spot spreads = China HRC exports FOB – 1.65x Iron Ore (62% Fe China CFR) - 1x Coal (Premium HCC China CFR); China HRC domestic spot spreads = China HRC domestic prices – 1.65x Iron Ore (62% Fe China CFR) - 1x Coal (Premium HCC China CFR); EU HRC spot spreads = HRC (Germany) - 1.6x iron ore (fines 65%, China spot, R’dam) - 0.8x premium hard coking coal (Australia spot, R’dam) - 0.1x scrap (HMS, R’dam)

India recovering but supply imbalance; EU moderated on inflation and supply chain disruptions

India

Europe

▪ Apparent steel consumption declined by ~4% QoQ. Exports volumes were down by ~40% due to levy of export duty and moderation in overseas demand

▪ Supply chain disruptions primarily due to Russia – Ukraine

crisis and elevated inflation have led to moderation in steel demand

▪ Automotive continues to recover while Infrastructure / Construction and Capital goods segments witnessed moderation

▪ Imports into EU / UK rose due to price differentials across markets. European commission is set to propose upgrade to steel safeguards, UK has extended tariffs for two years

Key steel consuming sectors*

Key steel consuming sectors (%, YoY growth)

Capital Goods

Infrastructure/ construction goods

Automotive

150

100

Apr-20

Aug-20

Dec-20

Apr-21

Aug-21

Dec-21

Sep-21 Apr-22

Machinery

Construction

Vehicles (units)

61%

10%

100% 1500%

50%

-50%

-100%

Apr-20

Jul-20 Oct-20

Jan-21 Apr-21

Jul-21 Oct-21

Jan-22 Apr-22

Sources: Bloomberg, SIAM, Joint Plant Committee, MOSPI, CMIE, Eurostat and Tata Steel *Figures of Industrial Production for Capital Goods, Infrastructure/Construction, consumer durables and railways are rebased to Nov'18=100 using FY12 index based sector weights; number of units produced as per SIAM; growth of key steel consuming sector is calculated by removing sub-segments which do not consume steel

India1: Resilient business model drives ramp up of domestic deliveries

Steel domestic deliveries (mn tons)

Highest market share, Catering to ~87% of domestic market

3.36

3.51

4.21

Service centers for last point processing

250+ distributors and 14,600+ dealers

1QFY22

1QFY23

4QFY22

Automotive

BPR

IPP

Downstream

3.36

0.56

1.20

1.41

0.34

3.51

0.69

1.15

1.52

0.33

4.21 0.68

1.51

1.79

0.38

1QFY22

1QFY23

4QFY22

50+ Product Application Engineers

Strong market franchise

Covering 95% districts across India

100% fleet covered by vehicle tracking system

6 Hubs and 14 spokes

TOC2 enabled supply chain

India includes Tata Steel Standalone and Tata Steel Long Products on proforma basis without inter-company eliminations; 2. Theory of constraints. BPR – Branded Products and Retail, IPP – Industrial products & projects,

India1: New products developed in 1QFY23 across customer segments

LCV2 Wheel Rim (HR SPFH540, Mn / Si)

Springs for automotive application

Rim

Wire Rope (5.5 – 8 .0 mm)

Fuel tank (Galvannealed with Chrome free) for 2 wheelers

Wire mesh for construction application

(Galvano) Washing Machine Panel

Transformer Cover (HR Grade: S355MC 5-6mm, impact guarantee at -48oC)

Bulk Trailor (HR Grade HS900)

Dust cover for Propeller or drive shaft of vehicle

1. India means Tata Steel Standalone and Tata Steel Long Products on proforma basis; 2. LCV – Light Commercial Vehicle, Mn – Manganese, Si – Silicon, HR – Hot Rolled

Tata Steel Europe : Transformation program and long term contracts yielding results

Transformation programme

Diversified product mix

Automotive

Engineering

Governance & Structure

Functional Vs Value Chain

Value Delivery & Enablement

EBITDA (in £ million)

621

431

328

290

150

1QFY22

2QFY22

3QFY22

4QFY22

1QFY23

Packaging

Construction

Tata Steel Consolidated1: EBITDA margin improvement despite surge in coal costs

(All figures are in Rs. Crores unless stated otherwise)

1QFY23

4QFY22

1QFY22

Key drivers for QoQ change:

Production (mn tons)2

Deliveries (mn tons)

Total revenue from operations

Raw material cost3

Change in inventories

Employee benefits expenses

Other expenses

EBITDA

Adjusted EBITDA4

Adjusted EBITDA per ton (Rs.)

Other income

Finance cost

Pre exceptional PBT

Exceptional items (gain)/loss

Tax expenses

Reported PAT

Other comprehensive income

7.74

6.62

63,430

31,319

(8,099)

5,963

19,273

15,047

14,348

21,661

268

1,218

7.62

8.01

69,324

24,873

2,757

6,056

20,607

15,174

15,891

19,832

292

1,099

7.88

7.11

53,465

19,956

(3,292)

5,663

15,028

16,185

15,892

22,366

162

1,811

11,945

12,139

12,259

4,192

7,714

(6,611)

274

2,030

9,835

519

182

2,308

9,768

615

▪ Deliveries: were down 17% driven by lower volumes

in India and Europe operations

▪ Revenues: increased on per ton basis driven by higher steel realisations in India and Europe

▪ Raw Material cost: increased primarily due to higher Coking Coal consumption cost across key entities

▪ Other expenses: decreased on lower power costs,

consumption of stores and spares. 4QFY22 included provision related to Tata Steel Mining

▪ EBITDA: increased on per ton basis primarily driven

by margin expansion in Europe

▪ Tax expenses: increased primarily on account of rise

in deferred tax in Europe

1. Figures for previous periods have been regrouped and reclassified to conform to classification of current period, where necessary. 2. Production Numbers: Standalone & Tata Steel Long Products - Crude Steel Production, Europe - Liquid Steel Production; SEA - Saleable Steel Production. 3. Raw material cost includes raw material consumed, and purchases of finished and semi-finished products. 4. Adjusted for fair value changes on account of FX rate movement on offshore liabilities

Consolidated EBITDA1 stood at Rs 14,348 crores

2,495

1,368

15,891

1,963

707

Rs. Crores

▪ Selling Result: Primarily due to better steel

realisations across geographies

14,348

▪ Cost Changes: Primarily due to increase in

coking coal prices resulting in rise in consumption cost across entities

▪ Volume/Mix: Primarily due to lower steel

deliveries in India and Europe

▪ Others: reflects increase in royalty, lower

dividend and NRV provision at TSLP

Adjusted EBITDA 4QFY22

Selling Result

Cost Changes

Volume/Mix

Others

Adjusted EBITDA 1QFY23

1. EBITDA adjusted for foreign currency revaluation gain/loss on offshore liabilities. TSLP – Tata Steel Long Products

Volatility in commodity prices drives increase in working capital and debt

75,561

118

6,136 -

782

82,597

Rs. Crores

28,093

54,504

Gross Debt Mar'22

Addition of new leases

Loan movement

FX Impact and Others

Gross Debt Jun'22

Cash, Bank & Current Investments

Net Debt Jun'22

Note : Cash balance includes Rs 10,890 crores paid out on 4th July to acquire Neelachal Ispat Nigam Limited

Key metrices are at investment grade levels

EBITDA Margin (%)1

EBITDA / ton (Rs.)1

Interest Coverage Ratio (x)1,2

Gross & Net Debt (Rs. crore)

Good

26.2%

23.7%

Good

22,717

21,626

Good

12.4

11.7

Good

19.8%

17.2%

18.9%

12.2%

11,110

10,838

9,337

6,267

1,16,328

1,00,816

92,147

94,879 1,04,779

88,501

82,597

75,561

3.9

4.1

69,215

75,389

2.4

51,049 54,504 Gross

Net

FY 18 FY 19 FY 20 FY 21

FY22 1QFY23

FY18

FY19

FY20

FY21

FY22 1QFY23

FY18

FY19

FY20

FY21

FY22 1QFY23

FY18

FY19

FY20

FY21

FY22 1QFY23

Net Debt / EBITDA (x)

Net Debt / Equity (x)

Good

5.91

3.19

3.20

2.44

FY18

FY19

FY20

FY21

0.87

0.80 FY22 1QFY23

1.72

Good

1.37

1.42

1.43

0.98

0.52 0.48

BBB-/ Baa3 7

BB+/ Ba1 6

BB/ Ba2 5

BB-/ Ba3 4

3 B+/ B1

2 B/ B2 1

B-/ B3 0 Apr-17

Credit Rating

Investment Grade

S&P

Moody's

BBB

Ba1

Positive

May 2022

Jun 2022

FY18 FY19 FY20 FY21 FY22 Apr-22

Apr-20

Apr-19

Apr-21

Apr-18

All data is on consolidated basis; 1. FY20 and FY21 includes Southeast Asia (SEA) Operations which is reclassified as continuing operations; 2. Interest Coverage Ratio: EBITDA / Interest

Outlook

Steel demand

Steel prices

Raw material prices

▪ China steel demand is likely to

find support as COVID restrictions ease and pave way for pent up demand

▪ Heightened volatility to persist as concerns over inflation and growth collide with supply chain & cost push constraints

▪ India steel demand is expected to improve in 2HFY23 with the end of monsoon, driven by increase in government spending and auto revival

▪ EU Steel demand affected by

destocking. Underlying demand across key steel end use sectors is more stable

▪ Restocking to drive steel prices, low inventory across steel end use sectors

▪ Indian steel prices should pick up post monsoon on revival in construction activities and early onset of festive demand

▪ European steel prices are

expected to be volatile on global cues

▪ Coking coal prices to remain range bound & volatile, thermal coal to provide support

▪ Seaborne iron ore prices to be impacted by demand dynamics esp. in China. Weather in Australia and labour shortages remain key watchpoints

▪ European power and energy costs to remain volatile due to uncertainty about Russia gas supply to Europe. Netherlands better placed in terms of gas stocks

Annexures

Jubilee Park, Jamshedpur, India

Tata Steel Standalone: Continued focus on operational efficiencies and minimizing environmental impact

Coke Rate (kg/thm)

Specific Energy Consumption (Gcal/tcs)

Specific Fresh Water Consumption (m3/tcs)

Meramandali

9 9 3

6 8 3

2 5 3

4 6 3

7 6 3

3 5 3

4 5 3

6 7 3

7 6 3

8 5 3

1 6 3

9 4 3

9 6 3

2 5 3

2 4 3

Good

3 8 . 6

1 3 . 6

8 6 . 5

7 2 . 6

9 3 . 6

3 6 . 5

1 6 . 5

1 6 . 6

4 2 . 6

6 4 . 6

6 7 . 5

3 4 . 5

9 5 . 5

8 3 . 5

Good

6 3 . 6

Good

6 7 . 4

9 2 . 4

7 2 . 3

0 8 . 2

5 1 . 4

4 1 . 4

6 1 . 4

2 0 . 4

5 2 . 2

8 1 . 2

5 3 . 3

2 4 . 3

3 7 . 3

7 4 . 3

7 5 . 2

FY19

FY20

FY21

FY22

1QFY23

FY19

FY20

FY21

FY22

1QFY23

FY19

FY20

FY21

FY22

1QFY23

CO2 Emission Intensity (tCO2/tcs)

Specific Dust Emission (kg/tcs)

Solid Waste utilisation (%)

3 9 . 2

4 5 . 2

9 2 . 2

6 7 . 2

5 4 . 2

7 2 . 2

4 4 . 2

9 2 . 2

4 8 . 2

2 8 . 2

8 3 . 2

6 2 . 2

8 2 . 2

9 1 . 2

Good

2 8 . 2

4 9 . 0

4 8 . 0

0 6 . 0

7 3 . 0

7 5 . 0

3 3 . 0

Good

2 7 . 0

9 4 . 0

9 2 . 0

2 6 . 0

8 4 . 0

4 5 . 0

6 4 . 0

6 2 . 0

5 2 . 0

9 9

0 0 1

8 6

0 0 1

8 7

0 0 1

6 9

0 0 1

7 9

0 0 1

9 9

FY19

FY20

FY21

FY22

1QFY23

FY19

FY20

FY21

FY22

1QFY23

FY19

FY20

FY21

FY22

1QFY23

Tata Steel Long Products: Key operating parameters

Coke rate

100

PCI rate

Crude Steel Yield

Good

160

130

100

135

Good

0 2 Y F Q 2

0 2 Y F Q 3

0 2 Y F Q 4

1 2 Y F Q 1

1 2 Y F Q 2

1 2 Y F Q 3

1 2 Y F Q 4

2 2 Y F Q 1

2 2 Y F Q 2

2 2 Y F Q 3

2 2 Y F Q 4

3 2 Y F Q 1

106

102

0 2 Y F Q 2

0 2 Y F Q 3

0 2 Y F Q 4

1 2 Y F Q 1

1 2 Y F Q 2

1 2 Y F Q 3

1 2 Y F Q 4

2 2 Y F Q 1

2 2 Y F Q 2

2 2 Y F Q 3

2 2 Y F Q 4

3 2 Y F Q 1

0 2 Y F Q 2

0 2 Y F Q 3

0 2 Y F Q 4

1 2 Y F Q 1

1 2 Y F Q 2

1 2 Y F Q 3

1 2 Y F Q 4

2 2 Y F Q 1

2 2 Y F Q 2

2 2 Y F Q 3

2 2 Y F Q 4

3 2 Y F Q 1

(all figures are indexed; 1QFY20=100)

101

Good

Power consumption

Electrode consumption

Oil consumption at Mill

100

Good

180 160 140 120 100 80 60 40

Good

145

110

Good

0 2 Y F Q 2

0 2 Y F Q 3

0 2 Y F Q 4

1 2 Y F Q 1

1 2 Y F Q 2

1 2 Y F Q 3

1 2 Y F Q 4

2 2 Y F Q 1

2 2 Y F Q 2

2 2 Y F Q 3

2 2 Y F Q 4

3 2 Y F Q 1

0 2 Y F Q 2

0 2 Y F Q 3

0 2 Y F Q 4

1 2 Y F Q 1

1 2 Y F Q 2

1 2 Y F Q 3

1 2 Y F Q 4

2 2 Y F Q 1

2 2 Y F Q 2

2 2 Y F Q 3

2 2 Y F Q 4

3 2 Y F Q 1

0 2 Y F Q 2

0 2 Y F Q 3

0 2 Y F Q 4

1 2 Y F Q 1

1 2 Y F Q 2

1 2 Y F Q 3

1 2 Y F Q 4

2 2 Y F Q 1

2 2 Y F Q 2

2 2 Y F Q 3

2 2 Y F Q 4

3 2 Y F Q 1

Tata Steel Standalone1: Operating performance

(All figures are in Rs. Crores unless stated otherwise)

1QFY23

4QFY22

1QFY22

Key drivers for QoQ change:

Production (mn tons)

Deliveries (mn tons)

Total revenue from operations

Raw material cost2

Change in inventories

Employee benefits expenses

Other expenses

EBITDA

Adjusted EBITDA3

Adjusted EBITDA per ton (Rs.)

Other income

Finance cost

4.73

3.89

32,021

17,336

(4,562)

1,540

8,139

9,616

8,304

21,326

736

722

4.73

4.97

36,681

12,647

1,826

1,723

8,251

12,363

11,766

23,690

506

646

4.45

3.99

27,690

6,917

(1,326)

1,546

7,255

13,370

13,041

32,712

284

773

▪ Revenues: were up on per ton basis driven by better realisations but were down on absolute basis due to lower volumes

▪ Raw Material cost: increased primarily due to increase

in coking coal prices

▪ Other expenses: were lower due to lower freight & handling charges and favourable FX movement

▪ EBITDA: margin stood at 30% and was broadly stable

on per ton basis

▪ Finance cost: increased driven by marginal increase in

debt

Pre exceptional PBT from continuing operations

8,237

10,715

11,437

▪ Exceptional item: for the quarter primarily reflects

Exceptional items (gain)/loss

Tax expenses

Reported PAT

Other comprehensive income

2,068

6,114

2,799

7,839

348

(153)

2,810

8,780

charge relating to Employee Separation Scheme and net impairment on ICD / investments

1. Tata Steel Standalone numbers have been restated from April 1, 2019 to reflect Tata Steel BSL’s merger into Tata Steel; Figures for previous periods have been regrouped and reclassified to conform to classification of current period, where necessary 2. Raw material cost includes raw material consumed, and purchases of finished and semi-finished products 3. Adjusted for fair value changes on account of FX rate movement on offshore liabilities

Tata Steel Europe: Operating performance

(All figures are in Rs. Crores unless stated otherwise)

Liquid Steel production (mn tons)

Deliveries (mn tons)

2.44

2.14

2.31

2.40

2.67

2.33

Total revenue from operations

25,961

26,389

19,441

Raw material cost1

11,162

9,364

9,785

Change in inventories

(2,563)

902

(1,458)

1QFY23

4QFY22

1QFY22

Key drivers for QoQ change:

▪ Revenues: increased on absolute basis (in £) and per ton basis driven by relatively higher steel realisations and sales mix

▪ Raw Material cost: increased primarily due to higher coal consumption cost due to higher prices. Iron ore related costs were also higher

Employee benefits expenses

3,939

3,855

3,588

▪ Change in inventories: inventory value increased on

Other expenses

EBITDA

7,415

7,939

6,001

higher costs

6,037

4,349

1,533

▪ Other expenses: decreased primarily due to lower

EBITDA per ton (Rs.)

28,220

18,135

6,590

1. Raw material cost includes raw material consumed, and purchases of finished and semi-finished products

energy costs

▪ EBITDA: increased on significant margin expansion

during the quarter

Tata Steel Long Products: Operating performance

(All figures are in Rs. Crores unless stated otherwise)

1QFY23

4QFY22

1QFY22

Total revenue from operations

1,994

1,799

1,688

Raw material cost1

Change in inventories

Employee benefits expenses

Other expenses

EBITDA

1,665

1,132

(147)

484

(34)

(13)

462

177

752

(23)

386

554

EBITDA per ton (Rs.)2

(1,956)

11,186

34,286

EBITDA Margin (%)

Reported PAT

9.8%

32.9%

(331)

332

1. Raw material cost includes raw material consumed, and purchases of finished and semi-finished products 2. EBITDA/Steel deliveries

Key drivers for QoQ change:

▪ Revenues: increased driven primarily by higher steel

realisations and product mix

▪ Raw material cost: was driven by higher coking coal & DRI coal prices and one-time NRV provision of Rs 78 crores on Coking coal and Iron ore

▪ Change in inventories: inventory value increased on higher costs net off one-time NRV provision of Rs 15 crores

▪ Other expenses: increased due to rise in fuel and

power costs and higher freight and handling expenses

Tata Steel Thailand : Operating performance

(All figures are in Rs. Crores unless stated otherwise)

Saleable Steel production (mn tons)

Deliveries (mn tons)

1QFY23

4QFY22

1QFY22

0.31

0.34

0.35

Total revenue from operations

1.966

1,982

1,848

Raw material cost1

Change in inventories

Employee benefits expenses

Other expenses

EBITDA

1,591

1,420

1,338

(189)

360

150

(5)

371

102

(130)

354

232

EBITDA per ton (Rs.)

4,891

3,004

6,697

1. Raw material cost includes raw material consumed, and purchases of finished and semi-finished products

Key drivers for QoQ change:

▪ Volumes: production and sales were marginally lower. Export volumes were aided by rebar exports to Canada

▪ Revenues: were broadly similar as higher steel prices

offset the drop in volumes

▪ EBITDA: increased due to higher prices and decrease in

Other expenses. 4Q included provision for bonus

Investor relations contact

Investor enquiries : Hriday Nair Email: hnair@tatasteel.com

Pavan Kumar Email: pavan.kumar@tatasteel.com

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