Big Earnings Day: Tata Steel and Apollo Hospitals Among 98 Companies Set to Announce Q2 Results Today

Today marks a crucial day in the Q2 earnings season, with 98 companies set to reveal their financial results for July to September 2024. Investors will be closely watching major players like Tata Steel, Apollo Hospitals, Power Grid, RITES, and Delta Corp for key insights.

Tata Steel Q2 Projections

Analysts expect Tata Steel to face ongoing challenges with declining earnings and rising costs in both its Indian and European divisions. Brokerage firms predict a drop in EBITDA (earnings before interest, tax, depreciation, and amortization) of around 12-17% quarter-on-quarter. Phillip Capital projects a consolidated net loss of Rs 133.6 crore year-on-year, with revenues expected to slightly rise by 0.3% to Rs 55,863.6 crore, while Elara Capital forecasts a slightly higher net loss of Rs 153.1 crore.

Standalone EBITDA per tonne for Tata Steel is estimated to drop by Rs 1,960 quarter-on-quarter to Rs 11,710 per tonne. This decline is attributed to a Rs 2,400 drop in per-tonne realizations, although it’s partially offset by lower coking coal prices. Losses in the European segment are expected to worsen, with an EBITDA loss of $77 per tonne, up from $28 in the previous quarter due to lower steel prices in the Netherlands and operational challenges in the UK.

Apollo Hospitals Q2 Expectations

Apollo Hospitals is expected to post strong Q2 results, with growth across all segments. Revenues are likely to increase by 14% year-on-year, and profits could jump by 54%, according to Kotak Equities. Key growth drivers include a 13% boost in hospital segment sales, driven by more patient volume and better occupancy rates.

Apollo HealthCo’s sales are projected to rise 15% year-on-year, boosted by expanded pharmacy distribution and growth in its 24/7 service. Overall, Apollo Hospitals’ EBITDA for the quarter is expected to grow by 14% to Rs 720 crore, supported by higher volumes, increased specialty services, and cost-cutting in its 24/7 service.

According to Motilal Oswal, Apollo Health’s revenues are set to rise by 7.8% year-on-year, while EBITDA may jump by 40%, fueled by increased footfall, reduced customer acquisition costs, and a strong focus on omni-channel services.