Tata Steel Margin Trend — Quarter by Quarter

Tata Steel's EBITDA margin moved from 10.0% in Q1 FY24 to 15.0% in Q3 FY26 across 8 quarters. Management commentary below explains the cost and pricing drivers mentioned on calls.

EBITDA Margin by Quarter

Quarter	EBITDA Margin (%)	YoY Change
Q3 FY26	15.0%	—
Q4 FY25	12.0%	+100 bps
Q2 FY25	12.0%	+300 bps
Q1 FY25	12.5%	—
Q4 FY24	12.0%	+200 bps
Q3 FY24	11.0%	+300 bps
Q2 FY24	8.0%	—
Q1 FY24	10.0%	—

What management said about ebitda margin

Q3 FY26 · Netherlands EBITDA expected to expand in Q4 despite mix headwinds

Despite a ~€33/ton QoQ realization decline from mix effects, cost takeouts are expected to more than offset, leading to EBITDA expansion in Q4.

Q3 FY26 · UK EBITDA to improve slightly in Q4, but positive only with policy support

UK EBITDA is expected to see a slight improvement in Q4, but turning positive requires UK government safeguard measures and a ~£100/ton spread expansion.

Q2 FY26 · UK EBITDA break-even unlikely in Q4 FY26 without government action

Management stated that achieving EBITDA break-even in UK by Q4 is difficult without policy intervention on import quotas.

Q1 FY26 · Coking coal costs expected $10/ton lower in Q2

Coking coal consumption costs are expected to decline by about $10 per ton across geographies in Q2 FY26.

Q1 FY26 · UK EBITDA breakeven target by Q4 FY26

Management reiterated the goal of achieving EBITDA breakeven in the UK business by the fourth quarter of FY26, subject to market conditions and cost actions.

Q4 FY25 · FY26 cost savings target of INR 11,500 crore

Company targets structural cost takeouts of approximately INR 11,500 crore across geographies in FY26, including INR 4,000 crore in India, EUR 500 million in Netherlands, and GBP 220 million in U.K.

Q3 FY25 · UK breakeven by Q2 FY26

Tata Steel UK targets breakeven in the first two quarters of FY26, with a focus on achieving it by June 2025.

Q3 FY25 · Netherlands transformation cost takeout of EUR 200 million

A multi-year transformation program in the Netherlands targets EUR 200 million in cost savings, with benefits starting from Q1 FY26.

Q2 FY25 · UK EBITDA breakeven target by June 2025

Management targets achieving neutral to positive EBITDA in the UK by June 2025, driven by fixed cost reductions of GBP 100 per ton.

Q1 FY25 · UK EBITDA to break even from Q3 FY25

Management expects UK operations to reach close to breakeven or slightly positive EBITDA from Q3 FY25, after closure of second blast furnace in September.

Q4 FY24 · UK cash breakeven by H2 FY25

UK operations expected to be cash neutral in the second half of FY25, with full-year EBITDA positive in FY26.

Q4 FY24 · Net debt/EBITDA below 2.5x by FY25 end

Management targets net debt to EBITDA ratio below 2.5x by end of FY25, assuming market conditions remain at cycle bottom.