Moody's maintained a stable outlook on Tata Steel, expecting the company to enhance its earnings over the next two financial years. According to Moody's, Tata Steel's consolidated EBITDA was projected to reach approximately Rs 290 billion by the fiscal year ending March 2025 and Rs 380 billion by 2026, up from Rs 241 billion in 2023-24.

The rating agency anticipates that Tata Steel's India operations will generate EBITDA per ton of Rs 14,700-Rs 15,300 in the fiscal year (FY) 2025 and 2026 before accounting for state mining taxes. Additionally, the expansion of production capacity at Kalinga Nagar in Odisha is expected to boost steel deliveries in India to around 23 million tons by FY2026. In Europe, Tata Steel's EBITDA is forecasted to improve, turning positive in FY2026, driven by recovery at its Netherlands plant and reduced losses at its UK operations.