Tata Steel shares climbed more than 4% on Wednesday after the company outlined an ambitious capital expenditure plan of Rs 15,000 crore for FY26, as reported by The Economic Times.

At around 10:30 am, shares of the company were trading 4.41% higher at Rs 156.10 on the BSE. The rally was sparked by fresh optimism following disclosures from top company officials about the scale and focus of Tata Steel’s expansion plans.

Tata Steel CEO and MD TV Narendran and CFO Koushik Chatterjee told ET that nearly 80% of the proposed capex will be channelled into projects across India. That translates to Rs 11,000 crore earmarked for domestic operations, with Rs 1,900 crore going to the UK and the remainder set aside for initiatives in the Netherlands.

The investment plan sheds light on Tata Steel’s strategy to aggressively scale up its production capabilities, particularly in India. Key domestic projects include a 5 million tonnes per annum blast furnace at Kalinganagar and an Electric Arc Furnace in Ludhiana.

Internationally, the company has received planning permission to begin work on its EAF project at Port Talbot in the UK, with ground activities scheduled to begin in July 2025.

Investors were also encouraged by Tata Steel’s strong March quarter earnings.

The steelmaker reported a consolidated net profit of Rs 1,301 crore for Q4FY25, more than double the Rs 611 crore it posted in the same quarter last year. The result beat Street estimates, which had pegged profit at around Rs 1,062 crore. Revenue, however, declined 4.2% year-on-year to Rs 56,218 crore.

However, it may be noted that over the past year, the stock has been under pressure, falling nearly 5.5%. But recent momentum has been positive. Tata Steel has gained more than 14% year-to-date and is up over 14% in the last month alone.