Tata Steel posts Rs 687cr loss in Dec quarter
Tata Steel ,
the world's No. 7 steelmaker, posted its first quarterly net loss in
more than two years, hit by higher raw material costs and weak prices in
Europe.
Tata Steel reported a net loss of Rs 687 crore for its fiscal third
quarter ended December, compared with a net profit of Rs 949 crore a
year earlier.
After minority interest and share of associates, it reported a net loss of Rs 603 crore.
Analysts, on average, had expected a net profit of Rs 34 crore, according to a Reuters poll of 12 brokerages.
Global crude steel production hit a record high of 1.53 billion
tonnes in 2011, but the pace of growth was sharply lower than the
previous year as the sovereign debt crisis in Europe and slowing
economic growth in top consumer China dented demand.
Shares in Tata Steel, valued at USD 8.9 billion, closed up 0.3% ahead
of the results. The stock has jumped about 36% so far in 2012, compared
with a nearly 15% rise in India's benchmark index.