Tata Steel Ltd’s first quarter consolidated net profit slumped 70 per cent, hurt by provisions for impairment of non-core assets and a higher tax expense.
The steel producer posted net income of Rs. 337 crore ($55.01 million) in the three months ended June 30, compared with Rs. 1,139 crore rupees a year earlier.
Net sales jumped 11 per cent to Rs. 36,143 crore, helped by an increase in European demand.
The company’s management has intensified cost cuts and focused on high-margin products to boost sales at Tata Steel Europe, which contributed close to 57 per cent of the company’s total steel production last year.