Tata Steel share price soars 5% after company's Q4 results, capital expenditure plans for FY26; check details

Tata Steel said it has earmarked a capital expenditure of ₹15,000 crore for its operations in India, the UK and the Netherlands for the current financial year (FY26).

Of the total, around 80% will be spent on ongoing projects in India, the company's CEO & MD T V Narendran and Executive Director and Chief Financial Officer Koushik Chatterjee told PTI.

"For FY26, we are looking to have a capex of ₹15,000 crore,'' Narendran said.

Sharing the break-up, Chatterjee said that while ₹11,000 crore is planned for domestic operations, around ₹1,900 crore is planned for the UK, and the remaining is in the Netherlands.

Tata Steel's capital expenditure was ₹3,220 crore in Q4 FY25 and ₹15,671 crore in the full FY2024-25.

Tata Steel is ramping up a 5 MTPA blast furnace at Kalinganagar and constructing an electric arc furnace (EAF) in Ludhiana.

In the UK, the company has received planning permission for the EAF project at Port Talbot and will commence site activity in July 2025.

Tata Steel has a 3 million tonnes per annum facility at Port Talbot, South Wales, in the UK. As part of its efforts to reduce carbon emissions, the company is transitioning from the blast furnace route to the low-emission electric arc furnace process, which will utilise the locally available scrap.

In the Netherlands, Tata Steel owns a steel manufacturing plant at IJmuiden which produced an estimated 6.75 MTPA of liquid steel in FY25.

The company has adopted a comprehensive transformation programme to maximise production efficiencies, lower fixed costs and optimise product mix and margins at the Netherlands facility.

The discussion with the Government of Netherlands on the integrated decarbonisation and environmental measures project continues to be intense and the company is also engaged with the provincial and environmental authorities on the above, Chatterjee said.

When asked about workers' concerns in these two geographies about Tata Steel's transition plans, the official stated, "We are in talks with them for amicable solutions."

Tata Steel on Monday reported over two-fold jump in consolidated net profit to ₹1,200.88 crore for the March quarter despite a decline of 3.7% in total income which stood at ₹56,679.11 crore.

Tata Steel share price trend

Shares of Tata Steel have jumped 13% in the past six months. In the past 30 days, the stock has gained over 14%, data show.