Tata Steel’s ROCE Trends Signal Efficiency Gains as Expansion Momentum Builds

Tata Steel’s ROCE Trends Signal Efficiency Gains as Expansion Momentum Builds

Tata Steel has been quietly reshaping how it uses capital, and it’s starting to show in the numbers. Over the last five years, the company’s Return on Capital Employed (ROCE) has climbed sharply even though the capital base has stayed largely flat. ROCE, which measures how much profit a business earns from the capital it uses, has moved up to 7.8% over the past twelve months (₹150 billion EBIT on a base of about ₹1.9 trillion). That’s still belo…