Performance About Stakeholders Statutory Financial

Leadership Strategy Capitals Governance

Snapshot Tata Steel and Materiality Reports Statements

CONSOLIDATED BALANCE SHEET CONSOLIDATED BALANCE SHEET (CONTD.)

as at March 31, 2021 as at March 31, 2021

(₹ crore) (₹ crore)
Note Page As at As at Note Page As at As at
March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020
Assets Equity and liabilities
I Non-current assets IV Equity
(a) Property, plant and equipment 3 364 1,19,003.50 1,19,503.98 (a) Equity share capital 19 389 1,197.61 1,144.95
(b) Capital work-in-progress 18,128.74 18,862.06 (b) Hybrid perpetual securities 20 392 775.00 2,275.00
(c) Right-of-use assets 4 368 9,450.95 8,549.78 (c) Other equity 21 392 72,266.16 70,156.35
(d) Goodwill on consolidation 5 371 4,344.69 4,054.53 Equity attributable to owners of the Company 74,238.77 73,576.30
(e) Other intangible assets 6 372 2,976.04 2,442.37 Non-controlling interests 3,269.68 2,586.60
(f ) Intangible assets under development 878.66 634.77 Total equity 77,508.45 76,162.90
(g) Equity accounted investments 7 374 2,475.66 2,168.54 V Non-current liabilities
(h) Financial assets (a) Financial liabilities
(i) Investments 8 375 987.38 684.77 (i) Borrowings 23 399 72,408.79 94,104.97
(ii) Loans 9 376 336.57 488.71 (ii) Derivative liabilities 71.41 127.92
(iii) Derivative assets 162.66 279.64 (iii) Other financial liabilities 24 403 522.70 387.67
(iv) Other financial assets 10 377 214.93 588.93 (b) Provisions 25 404 4,691.92 4,235.07
(i) Retirement benefit assets 11 379 20,019.47 27,278.45 (c) Retirement benefit obligations 11 379 3,499.79 3,598.18
(j) Non-current tax assets 1,845.34 1,725.67 (d) Deferred income 26 405 144.26 151.30
(k) Deferred tax assets 12 380 1,578.02 1,270.33 (e) Deferred tax liabilities 12 380 9,241.42 9,261.38
(l) Other assets 13 383 2,872.70 3,154.20 (f ) Other liabilities 27 406 6,531.34 729.15
Total non-current assets 1,85,275.31 1,91,686.73 Total non-current liabilities 97,111.63 1,12,595.64
II Current assets VI Current liabilities
(a) Inventories 14 384 33,276.38 31,068.72 (a) Financial liabilities
(b) Financial assets (i) Borrowings 23 399 9,492.11 19,184.48
(i) Investments 8 375 7,218.89 3,431.87 (ii) Trade payables 28 406
(ii) Trade receivables 15 385 9,539.84 7,884.91 (a) Total outstanding dues of micro and small enterprises 484.66 198.86
(iii) Cash and cash equivalents 16 386 5,532.08 7,541.96 (b) Total outstanding dues of creditors other than micro and small 25,482.83 21,181.99
(iv) Other balances with banks 17 387 250.10 512.76 enterprises
(v) Loans 9 376 64.72 215.68 (iii) Derivative liabilities 510.01 729.22
(vi) Derivative assets 498.79 1,486.06 (iv) Other financial liabilities 24 403 14,403.11 9,518.53
(vii) Other financial assets 10 377 1,420.97 446.42 (b) Provisions 25 404 4,725.32 1,663.67
(c) Retirement benefit assets 11 379 0.42 - (c) Retirement benefit obligations 11 379 166.84 141.26
(d) Current tax assets 156.74 143.20 (d) Deferred income 26 405 63.98 34.55
(e) Other assets 13 383 2,153.44 3,177.69 (e) Current tax liabilities 4,424.44 609.58
Total current assets 60,112.37 55,909.27 (f ) Other liabilities 27 406 11,113.83 7,050.44
III Assets held for sale 18 387 99.53 2,823.45 Total current liabilities 70,867.13 60,312.58
Total assets 2,45,487.21 2,50,419.45 VII Liabilities held for sale 18 387 - 1,348.33
Total equity and liabilities 2,45,487.21 2,50,419.45
Notes forming part of the consolidated financial statements 1-52

In terms of our report attached For and on behalf of the Board of Directors

sd/- sd/- sd/- sd/- sd/- sd/-

For Price Waterhouse & Co Chartered Accountants LLP N. Chandrasekaran Mallika Srinivasan O. P. Bhatt Peter Blauwhoff Deepak Kapoor Aman Mehta
Firm Registration Number: 304026E/E-300009 Chairman Independent Director Independent Director Independent Director Independent Director Independent Director
Chartered Accountants DIN: 00121863 DIN: 00037022 DIN: 00548091 DIN: 07728872 DIN: 00162957 DIN: 00009364

sd/- sd/- sd/- sd/- sd/- sd/-

Russell I Parera V. K. Sharma Saurabh Agrawal T. V. Narendran Koushik Chatterjee Parvatheesam Kanchinadham
Partner Non-Executive Non-Executive Chief Executive Officer Executive Director Company Secretary &
Membership Number 042190 Director Director & Managing Director & Chief Financial Officer Chief Legal Officer
DIN: 02449088 DIN: 02144558 DIN: 03083605 DIN: 00004989 (Corporate & Compliance)
ACS: 15921
Mumbai, May 5, 2021

342 Integrated Report & Annual Accounts 2020-21 | 114 Year

th
Consolidated 343
 Performance About Stakeholders Statutory Financial
Leadership Strategy Capitals Governance
Snapshot Tata Steel and Materiality Reports Statements

CONSOLIDATED STATEMENT OF PROFIT AND LOSS CONSOLIDATED STATEMENT OF PROFIT AND LOSS (CONTD.)
for the year ended March 31, 2021 for the year ended March 31, 2021

(₹ crore) (₹ crore)
Note Page Year ended Year ended Note Page Year ended Year ended
March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020
I Revenue from operations 29 407 1,56,294.18 1,48,971.71 XI Other comprehensive income/(loss)
II Other income 30 407 895.60 1,821.99 A. (i) Items that will not be reclassified subsequently to profit and loss:
III Total income 1,57,189.78 1,50,793.70 (a) Remeasurement gain/(loss) on post-employment defined benefit plans (9,418.17) 5,474.69
IV Expenses: (b) Fair value changes of investments in equity shares 354.38 (250.46)
(a) Cost of materials consumed 46,187.96 53,592.83 (c) Share of equity accounted investees 1.68 (3.25)
(b) Purchases of stock-in-trade 9,235.42 10,504.20 (ii) Income tax on items that will not be reclassified subsequently
1,779.97 (1,019.01)
(c) Changes in inventories of finished and semi-finished goods, stock-in- trade to profit and loss
1,516.77 (490.05)
and work‑in-progress B. (i) Items that will be reclassified subsequently to profit and loss:
(d) Employee benefits expense 31 408 19,908.81 19,152.23 (a) Foreign currency translation differences (205.82) 554.96
(e) Finance costs 32 408 7,606.71 7,580.72 (b) Fair value changes of cash flow hedges 332.83 (378.49)
(f ) Depreciation and amortisation expense 33 409 9,233.64 8,707.67 (c) Share of equity accounted investees 18.09 25.94
(g) Other expenses 34 409 50,706.65 50,702.93 (ii) Income tax on items that will be reclassified subsequently to profit and loss (73.97) 78.45
1,44,395.96 1,49,750.53 Total other comprehensive income/(loss) for the year (7,211.01) 4,482.83
(h) Less: Expenditure (other than interest) transferred to capital and other accounts 1,765.69 2,318.00 XII Total comprehensive income/(loss) for the year (X+XI) 978.78 5,655.29
Total expenses 1,42,630.27 1,47,432.53
V Share of profit/(loss) of joint ventures and associates 327.34 187.97 XIII Profit/(loss) for the year attributable to:
VI Profit/(loss) before exceptional items and tax (III-IV+V) 14,886.85 3,549.14 Owners of the Company 7,490.22 1,556.54
VII Exceptional items: 35 410 Non-controlling interests 699.57 (384.08)
(a) Profit on sale of subsidiaries and non-current investments 15.81 202.99 8,189.79 1,172.46
(b) Provision for impairment of investments/doubtful advances 70.23 (40.95) XIV Total comprehensive income for the year attributable to:
(c) Provision for impairment of non-current assets (723.41) (4,372.44) Owners of the Company 281.33 6,026.17
(d) Provision for demands and claims - (196.41) Non-controlling interests 697.45 (370.88)
(e) Employee separation compensation (443.55) (107.37) 978.78 5,655.29
(f ) Restructuring and other provisions 87.50 (165.40) XV Earnings per share 36 410
(g) Gain/(loss) on non-current investments classified as fair value through profit and loss (net) (49.74) (250.00) Basic (₹) 63.78 11.86
Total exceptional items (1,043.16) (4,929.58) Diluted(₹) 63.78 11.86
VIII Profit/(loss) before tax (VI+VII) 13,843.69 (1,380.44) XVI Notes forming part of the consolidated financial statements 1-52
IX Tax expense: 12 380
(a) Current tax 4,288.27 2,113.63
(b) Deferred tax 1,365.63 (4,666.53) In terms of our report attached For and on behalf of the Board of Directors
Total tax expense 5,653.90 (2,552.90) sd/- sd/- sd/- sd/- sd/- sd/-
X Profit/(loss) for the year (VIII-IX) 8,189.79 1,172.46 For Price Waterhouse & Co Chartered Accountants LLP N. Chandrasekaran Mallika Srinivasan O. P. Bhatt Peter Blauwhoff Deepak Kapoor Aman Mehta
Firm Registration Number: 304026E/E-300009 Chairman Independent Director Independent Director Independent Director Independent Director Independent Director
Chartered Accountants DIN: 00121863 DIN: 00037022 DIN: 00548091 DIN: 07728872 DIN: 00162957 DIN: 00009364

sd/- sd/- sd/- sd/- sd/- sd/-

Russell I Parera V. K. Sharma Saurabh Agrawal T. V. Narendran Koushik Chatterjee Parvatheesam Kanchinadham
Partner Non-Executive Non-Executive Chief Executive Officer Executive Director Company Secretary &
Membership Number 042190 Director Director & Managing Director & Chief Financial Officer Chief Legal Officer
DIN: 02449088 DIN: 02144558 DIN: 03083605 DIN: 00004989 (Corporate & Compliance)
ACS: 15921
Mumbai, May 5, 2021

344 Integrated Report & Annual Accounts 2020-21 | 114th Year Consolidated 345
 Performance About Stakeholders Statutory Financial
Leadership Strategy Capitals Governance
Snapshot Tata Steel and Materiality Reports Statements

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (CONTD.)

for the year ended March 31, 2021 for the year ended March 31, 2021

A. Equity share capital C. Other equity (Contd.)

(₹ crore) (₹ crore)
Balance as at Changes Balance as at Retained Items of other Other Share Other equity Non- Total
April 1, 2020 during the year March 31, 2021 earnings [refer comprehensive consolidated application attributable to controlling
1,144.95 52.66  1,197.61 note 21A, income reserves money pending the owners interests
page 392] [refer note 21B, [refer note 21C, allotment of the Company
page 393] page 394] [refer note 21D,
(₹ crore) page 397]
Balance as at Changes Balance as at Balance as at April 1, 2019 14,056.43 7,612.15 43,836.56 - 65,505.14 2,364.46 67,869.60
April 1, 2019 during the year March 31, 2020
Profit/(loss) for the year 1,556.54 - - - 1,556.54 (384.08) 1,172.46
1,144.94  0.01 1,144.95 Other comprehensive income
4,459.24 10.39 - - 4,469.63 13.20 4,482.83
for the year
B. Hybrid perpetual securities Total comprehensive income for
6,015.78 10.39 - - 6,026.17 (370.88) 5,655.29
(₹ crore) the year
Balance as at Changes Balance as at Issue of Ordinary Shares - - 0.03 (0.04) (0.01) 192.80 192.79
April 1, 2020 during the year March 31, 2021 Equity issue expenses
(5.31) - - - (5.31) - (5.31)
2,275.00  (1,500.00) 775.00 written (off )/back
Dividend(i) (1,488.13) - - - (1,488.13) (18.42) (1,506.55)
(₹ crore) Tax on dividend (297.40) - - - (297.40) - (297.40)
Balance as at Changes Balance as at Distribution on
April 1, 2019 during the year March 31, 2020 (266.15) - - - (266.15) - (266.15)
hybrid perpetual securities
2,275.00 - 2,275.00 Tax on distribution on hybrid
66.97 - - - 66.97 - 66.97
perpetual securities
C. Other equity Transfers within equity 14.28 (6.63) (7.65) - - - -
(₹ crore) Additions relating to acquisitions - - 584.24 - 584.24 219.91 804.15
Retained Items of other Other Share Other equity Non- Total Disposal of group undertakings - - (0.56) - (0.56) 181.47 180.91
earnings [refer comprehensive consolidated application attributable to controlling Adjustment for changes in
note 21A, income reserves money pending the owners interests 31.35 - - - 31.35 (31.35) -
ownership interests
page 392] [refer note 21B, [refer note 21C, allotment of the Company
page 393] page 394] [refer note 21D, Application money received - - - 0.04 0.04 - 0.04
page 397] Other movements - - - - - 48.61 48.61
Balance as at April 1, 2020 18,127.82 7,615.91 44,412.62 - 70,156.35 2,586.60 72,742.95 Balance as at March 31, 2020 18,127.82 7,615.91 44,412.62 - 70,156.35 2,586.60 72,742.95
Profit / (loss) for the year 7,490.22 - - - 7,490.22 699.57 8,189.79
(i) Dividend paid during the year ended March 31, 2021 is ₹10.00 per Ordinary share (face value ₹10 each, fully paid up) and
Other comprehensive income for
(7,627.26) 418.37 - - (7,208.89) (2.12) (7,211.01) ₹2.504 per Ordinary Share (face value ₹10 each, partly paid up ₹2.504 per share) (March 31, 2020: ₹13.00 per Ordinary Share
the year 
of face value ₹10 each, fully paid up and ₹3.25 per Ordinary Share of face value ₹10 each, partly paid up ₹2.504 per share).
Total comprehensive income for
(137.04) 418.37 - - 281.33 697.45 978.78
the year
Issue of Ordinary Shares - - 3,185.84 - 3,185.84 - 3,185.84 D. Notes forming part of the consolidated financial statements Note 1-52
Equity issue expenses
(1.96) - (1.36) - (3.32) - (3.32)
written (off )/back In terms of our report attached For and on behalf of the Board of Directors

Dividend(i) (1,144.75) - - - (1,144.75) (5.78) (1,150.53) sd/- sd/- sd/- sd/- sd/- sd/-
For Price Waterhouse & Co Chartered Accountants LLP N. Chandrasekaran Mallika Srinivasan O. P. Bhatt Peter Blauwhoff Deepak Kapoor Aman Mehta
Distribution on hybrid
(242.34) - - - (242.34) - (242.34) Firm Registration Number: 304026E/E-300009 Chairman Independent Director Independent Director Independent Director Independent Director Independent Director
perpetual securities Chartered Accountants DIN: 00121863 DIN: 00037022 DIN: 00548091 DIN: 07728872 DIN: 00162957 DIN: 00009364
Tax on distribution on hybrid
60.99 - - - 60.99 - 60.99 sd/- sd/- sd/- sd/- sd/- sd/-
perpetual securities Russell I Parera V. K. Sharma Saurabh Agrawal T. V. Narendran Koushik Chatterjee Parvatheesam Kanchinadham
Partner Non-Executive Non-Executive Chief Executive Officer Executive Director Company Secretary &
Transfers within equity (139.39) 138.68 0.71 - - - - Director Director & Managing Director & Chief Financial Officer Chief Legal Officer
Membership Number 042190
Adjustment for changes in DIN: 02449088 DIN: 02144558 DIN: 03083605 DIN: 00004989 (Corporate & Compliance)
(46.63) - - - (46.63) (7.83) (54.46) ACS: 15921
ownership interests Mumbai, May 5, 2021
Application money received - - - 3.78 3.78 - 3.78
Other movements - - 14.91 - 14.91 (0.76) 14.15
Balance as at March 31, 2021 16,476.70 8,172.96 47,612.72 3.78 72,266.16 3,269.68 75,535.84

346 Integrated Report & Annual Accounts 2020-21 | 114th Year Consolidated 347
 Performance About Stakeholders Statutory Financial
Leadership Strategy Capitals Governance
Snapshot Tata Steel and Materiality Reports Statements

CONSOLIDATED STATEMENT OF CASH FLOWS CONSOLIDATED STATEMENT OF CASH FLOWS (CONTD.)

for the year ended March 31, 2021 for the year ended March 31, 2021

(₹ crore) (₹ crore)
Year ended Year ended Year ended Year ended
March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020
A. Cash flows from operating activities: C. Cash flows from financing activities:
Profit/(loss) before tax 13,843.69 (1,380.44) Proceeds from issue of equity shares (net of issue expenses) 3,238.95 187.53
Adjustments for: Proceeds from long-term borrowings (net of issue expenses)  9,800.61 8,907.35
Depreciation and amortisation expense 9,233.64 8,707.67 Repayment of long-term borrowings  (29,168.25) (7,937.37)
Dividend income (41.42) (35.08) Proceeds/(repayments) of short term borrowings (net)  (10,008.99) 7,666.32
(Gain)/Loss on sale of non-current investments (0.27) (2.01) Payment of lease obligations (1,283.92) (1,028.99)
(Gain)/loss on sale of property, plant and equipment including intangible Proceeds from divestment of stake in subsidiary 21.06 -
(148.03) 4.36
assets (net of loss on assets scrapped/written off ) Amount received/(paid) on utilisation/cancellation of derivatives 31.34 10.78
Exceptional (income)/expenses 1,043.16 4,929.58 Repayment of Hybrid Perpetual securities  (1,500.00) -
(Gain)/loss on cancellation of forwards, swaps and options 2.72 1.26 Distribution on Hybrid Perpetual securities  (266.25) (265.76)
Interest income and income from current investments (508.02) (1,547.11) Interest paid (6,803.69) (7,419.26)
Finance costs 7,606.71 7,580.72 Dividend paid (1,150.53) (1,506.55)
Foreign exchange (gain)/loss (2,375.23) 982.07 Tax on dividend paid - (308.67)
Share of profit or loss of joint ventures and associates (327.34) (187.97) Net cash from/(used in) financing activities  (37,089.67) (1,694.62)
Other non-cash items 210.08 (974.62) Net increase/(decrease) in cash and cash equivalents (2,085.87) 3,943.75
14,696.00 19,458.87 Opening cash and cash equivalents(ii) 7,732.34 3,270.30
Operating profit before changes in non-current/current assets and Effect of exchange rate on translation of foreign currency cash and cash
28,539.69 18,078.43 (114.39) 518.29
liabilities equivalents
Adjustments for: Closing cash and cash equivalents (Refer note 16, page 386)(ii) 5,532.08 7,732.34
Non-current/current financial and other assets 178.35 4,631.12
Inventories 45.68 1,561.94
(i) Includes ₹84.81 crore (2019-20: ₹112.75 crore) received in respect of deferred consideration on disposal of subsidiary and
joint venture.
Non-current/current financial and other liabilities/provisions 16,267.28 (1,996.86)
16,491.31 4,196.20 (ii) Opening cash and cash equivalents includes ₹190.38 crore (2019-20: ₹294.77 crore) and closing cash and cash equivalents
Cash generated from operations 45,031.00 22,274.63 includes Nil (2019-20: ₹190.38 crore) in respect of subsidiaries classified as held for sale.
Income taxes paid (net of refund) (704.32) (2,105.91) (iii) Significant non-cash movements in borrowings during the year include:
Net cash from/(used in) operating activities 44,326.68 20,168.72
(a) addition on account of subsidiaries acquired during the year Nil (2019-20: ₹121.71 crore) and reclassified from held for
B. Cash flows from investing activities:
sale ₹534.10 crore (2019-20: Nil)
Purchase of capital assets (6,978.59) (10,398.00) (b) reduction on account of subsidiaries disposed off and liquidated Nil (2019-20: ₹182.28 crore)
Sale of capital assets 444.63 385.73
(c) exchange loss (including translation) ₹76.65 crore (2019-20: ₹4,095.03 crore)
Purchase of non-current investments (70.64) (61.83)
Sale of non-current investments  - 121.21 (d) amortisation/effective interest rate adjustments of upfront fees ₹606.55 crore (2019-20: ₹498.76 crore)
(Purchase)/sale of current investments (net)  (3,560.04) (766.15) (e) net addition to lease obligations ₹1,536.59 crore (2019-20: increase ₹4,080.85 crore)
Repayment of loans given 25.78 8.16
Principal receipts under sublease  101.04 67.72 (f) gain on refinancing treated as modification of existing borrowings Nil (2019-20: ₹1,169.66 crore).
Fixed/restricted deposits with banks (placed)/realised  223.80 (138.18)
D. Notes forming part of the consolidated financial statements Note 1-52
Interest received  266.28 202.57
Dividend received from associates and joint ventures  92.85 56.02 In terms of our report attached For and on behalf of the Board of Directors
Dividend received from others  42.03 46.64 sd/- sd/- sd/- sd/- sd/- sd/-
Acquisition of subsidiaries/undertakings - (4,432.74) For Price Waterhouse & Co Chartered Accountants LLP N. Chandrasekaran Mallika Srinivasan O. P. Bhatt Peter Blauwhoff Deepak Kapoor Aman Mehta
Firm Registration Number: 304026E/E-300009 Chairman Independent Director Independent Director Independent Director Independent Director Independent Director
Sale of subsidiaries/undertakings(i) 89.98 378.50 Chartered Accountants DIN: 00121863 DIN: 00037022 DIN: 00548091 DIN: 07728872 DIN: 00162957 DIN: 00009364
Net cash from/(used in) investing activities (9,322.88) (14,530.35)
sd/- sd/- sd/- sd/- sd/- sd/-
Russell I Parera V. K. Sharma Saurabh Agrawal T. V. Narendran Koushik Chatterjee Parvatheesam Kanchinadham
Partner Non-Executive Non-Executive Chief Executive Officer Executive Director Company Secretary &
Membership Number 042190 Director Director & Managing Director & Chief Financial Officer Chief Legal Officer
DIN: 02449088 DIN: 02144558 DIN: 03083605 DIN: 00004989 (Corporate & Compliance)
ACS: 15921
Mumbai, May 5, 2021

348 Integrated Report & Annual Accounts 2020-21 | 114th Year Consolidated 349