Tata Steel shares recoup initial losses, rise over 2% in early trade

New Delhi: Shares of Tata Steel recouped initial losses and were trading with gains of over 2 per cent in morning trade on the bourses on Tuesday, a day after the company reported a 93 per cent decline in consolidated net profit in the June quarter.

In the early trade, the stock touched a low of Rs 114.35, but soon pared the losses and was trading at Rs 118.10, up 2.30 per cent on the BSE.

On the NSE, the stock opened at Rs 115, then fell to a low of Rs 114.35 and was later trading at Rs 117.95, up 2.12 per cent apiece.

Meanwhile, the 30-share BSE Sensex was trading at 48.05 points or 0.07 per cent lower at 66,336.73 points.

Tata Steel on Monday posted over 93 per cent decline in consolidated net profit to Rs 524.85 crore for April-June quarter 2023-24.

Total income also declined to Rs 60,666.48 crore from Rs 63,698.15 crore in the year-ago quarter, a fall of 4.75 per cent.

Tata Steel CEO & MD T V Narendran said during the quarter, global economic recovery continued to face headwinds affecting commodity prices including steel. In India, domestic steel demand continued to grow and was up around 10 per cent y-o-y but steel spot prices moderated in line with global cues.

"We saw strong growth in key segments such as branded products & retail and industrial products and projects which grew by 37 per cent and 24 per cent, respectively, on a y-o-y basis. Our retail sales majorly to individual home builders crossed 3 MT in the last 12 months and we now serve 8,000+ out of 19,100 pin codes in India," he said.

Tata Steel on Monday said T V Narendran has been appointed again as the company's Chief Executive Officer & Managing Director for a period of five years effective September 19, 2023.