Results Presentation Financial Quarter and year ended 31 st March - PowerPoint PPT Presentation

Results Presentation Financial Quarter and year ended 31 st March 2017 16 th May 2017 1

Safe harbor statement Statements in this presentation describing the Company’s performance may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results may differ materially from those directly or indirectly expressed, inferred or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand/supply and price conditions in the domestic and overseas markets in which the Company operates, changes in or due to the environment, Government regulations, laws, statutes, judicial pronouncements and/or other incidental factors. 2

Tata Steel is committed towards excellence in Health and Safety Ambition: LTIFR* data for Tata Steel Group 1 0.95 Committed to ensuring all Tata Steel sites are sustainably  fatality free on our way to ‘ being the benchmark in H&S in 0.9 our industry ’ 0.78 0.8 Key Focus areas: 0.68 39% H&S Excellence programmes completed for senior leaders  0.7 Reduction Prioritised strategic activity to give step change in 0.60  0.58 contractor management, construction, onsite traffic and 0.6 0.56 process safety 0.5 Tata Steel Kalinganagar start-up of ancilliary equipment 0.44  continuing under systemic risk controls and practices 0.39 0.4 Health – unique capability and provision with new  challenges and opportunities in all regions 0.3 Key Results 0.2 Incerase in LTI rate from low levels being addressed  Step back between September to January after significant  0.1 progress in fatality free ambition Management system deployment including audits continue 0  FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 to sustain our improvement activities 3 *LTIFR is Lost Time Injury Frequency Rate

Focused on engaging with communities and improving quality of life Education Health Lively hood CSR Spend -India ( Rs. Crs)  Thousand School Project has  4.7 lakh cases related to primary  13,500 farmers adopted System of 212 linked over 5,800 children back to 204 health responded to in areas of 194 Rice Intensification (SRI ) method of school . Over 11,900 children have operation across Jharkhand and 171 paddy cultivation been covered via learning Odisha, through static and mobile enrichment programme in 215  Constructed 197 ponds in three clinics schools districts of Jharkhand India  Over 23,000 cases related to  3,083 meritorious SC/ST students  Set up fishery projects in villages by specialized healthcare treated at across Jharkhand and Odisha engaging 1,750 farmers multi-specialised health camps awarded with Jyoti Fellowship across Jharkhand and Odisha  214 local entrepreneurs in  More than 5,000 children of class 8, Kalinganagar being developed by  Immunisation of 7,300 children FY14 FY15 FY16 FY17 9 and 10 undergoing remedial providing livelihood opportunities in  Ante-Natal Check-ups for 5,600 coaching classes collaboration with Bharatiya Yuva 1.1 Million lives touched in pregnant women Shakti Trust  Constructed 8 Model Schools as FY17 through CSR initiatives  100 bedded eye hospital set up in part of a “ 30 Model School  MoU signed with the government for Ganjam, Odisha in partnership with Construction Project” in Odisha setting up Soft Skills Lab in Sankara Eye Hospital government polytechnics in  95 meritorious SC/ST students Jharkhand; Pilot started at  Promoted safe sexual health supported for pursuing Government Polytechnic College, behaviour among 25,000 professional courses under Tata Aditayapur adolescents Steel Scholars programme  In Wales employees donated hundreds of festive presents at Easter to local children’s charities Europe  Supporting a new sports scheme for children to encourage skills and development through play  Working with Dutch football club Telstar on a new programme teaching children ​about healthy nutrition and responsible use of money 4

Awards & recognitions conferred in various categories Received the Prime Minister’s trophy for Best Performing Integrated Steel Plant for the year 2013 -14, the Steel Minister’s Trophy for the year 2012 -13 and a Certificate of Excellence 2011- 12 for being the ‘Best Performing Integrated Steel Plant’ in the country World Steel Association recognised us for setting highest standards of health and safety at workplace. Conferred with ‘Sustainable Manufacturing of Make in India’ Award at the Make in India Awards 2016 Declared as the global industry leader in the steel sector by the Dow Jones Sustainability Index (DJSI) assessment for the year 2016. Became India’s first steel manufacturing company to receive Greenco platinum rating by CII Green Building Council Won Ispat Suraksha Puraskar-2017 for Zero fatal accidents in Jamshedpur works in 2016 by Joint Committee on Safety, Health and Environment in Steel industry First Prize in the Integrated Steel Sector at the National Energy Conservation Award 2016 for excellence in Energy Conservation and Management. First Prize for IIM National Sustainability Award for recognition of Quality Control aspects in the Steel Sector. Won 3 Awards for Excellence in Value Engineering at INVEST 32nd National & 5th Asian Value Engineering Conference Ranked as the 7th most transparent company in the world, according to a report published by Transparency International. Recognised as World’s most ethical company for the year 2017 by Ethisphere institute for fifth time 5

Agenda Consolidated Financial Performance I India & SE Asia performance II Europe performance III Appendix IV 6

Global Steel | Demand gaining momentum, amid rising volatility Finished Steel Demand (% growth)  Upside surprise from China and recovery in emerging & developing 7.1% countries aids demand recovery in CY16. 6.1% 4.9%  Inflationary expectations, cost push & re-stocking from lower levels 4.1% 4.0% supported recovery in steel prices from multi-year lows. 2.3% 1.4% 1.4% 1.3% 0.5% 0.0%  Manufacturing and Steel PMI’s trending upwards, indicating synchronized global upturn. EU confidence indicators at multi-year peak. -2.0%  Optimism tempered by political & policy uncertainties amid rising India EU China EM & Dev economies nationalism and potential retreat from globalisation. (Excl China) 2016 2017(F) 2018(F) HRC Regional Realizations (US$/t) & Global Steel Inventory (MT) Synchronized Global Upturn MT 56 600 34 550 32 54 500 450 30 400 52 28 350 26 300 50 24 250 200 22 48 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Sep-16 Nov-16 Jan-17 Mar-17 Global Steel Inventory Germany Domestic UK Domestic China FOB Mumbai HRC Global Manufacturing PMI India Manufacturing PMI EU Manufacturing PMI 7 Source: WSA, CRU,Steel First,Bloomberg

Global Steel | Cross-border dynamics at play Chinese Steel Capacity Cuts & Mill Utilisation Rates MT %  Despite capacity cuts & environment curbs, China production continue to rise as mill utilization levels increase. Global steel inventories move higher, 0 84% (10) but still below peak. 80% 80% (20)  Rising trade barriers and revival in China end-demand keep incremental (30) (30) 76% (30) 78% (30) China production out of seaborne market. China exports in Q12017 drops (40) (50) by 25% yoy. 72% 74% (45) (60)  Raw materials swing as supply reforms & environmental disruptions (70) 74% 71% 68% impact seaborne trade. (80) (80) (90) 64%  Volatile exchange rates & rising sea freight posing further challenges – 2014 2015 2016 2017E 2018E Sterling & INR move against USD. Rupee strengthens against all major Chinese capacity cuts(LHS) Utilisation rates %(RHS) currencies. China Demand (YoY) & China Steel Exports (MT) Currency Movements (QoQ Movements %) % MT 4.6% 11.5 15 2.0% 1.3% 1.2% 10.5 10 0.9% 9.5 5 -0.4% 8.5 0 -1.7% -1.9% -2.1% -2.4% -2.5% -2.7% -3.0% -4.2% 7.5 -5 -5.4% -5.8% -6.8% -7.0% -7.3% 6.5 -10 5.5 -15 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 -13.0% INR EUR GBP CNY China exports to world China Demand Growth Q1 FY17 Q2 FY17 Q3 FY17 Q4 FY17 YTD 8 Source: Bloomberg, Platts, WSA

Highlights  Consolidated revenues of Rs. 35,305 crores, up 22% q/q and 30% y/y.  India deliveries grew 7% q/q and 18% y/y and now contribute 47% of group deliveries.  Realisations increased across geographies.  Consolidated EBITDA of Rs.17,025 crores for FY17 and Rs. 6,982 crores for Q4 FY17, up 91% q/q and 218% y/y.  India EBITDA/t improved to Rs. 13,478/t and Europe EBITDA/t improved to Rs. 6,932/t.  Tata Steel Kalinganagar steel plant crossed 2.23 MT Hot Metal production and 1.61 MT of Hot rolled coil sales since commissioning in May’ 16.  Strong performance by Indian subsidiaries driven by improved performance in Tata Metaliks, Tinplate and Tata Sponge Iron Limited.  SEA operations report strong improvement, EBITDA doubles in FY17. 9