For the second quarter in a row, Tata Steel Thursday reported a quarterly net loss for the June-September quarter - its consolidated net loss figures during the quarter stood at of Rs 2,719.8 crore, vis-à-vis the last year same quarter profit of Rs 4,703.6 crore.

Citing weak steel prices, restructuring costs and lower production at its UK-based Corus Group unit as the key reasons for the quarterly loss, Tata Steel also reported a 42.6 percent fall in its consolidated net sales to Rs 25,269.8 crore from the year before figures of Rs 44,050 crore.

However, despite the poorer-than-expected performance during the quarter, Tata Steel, the world's sixth-ranking steel manufacturer, is upbeat about the future. The company, which undertook Rs 911-crore restructuring costs, has said that the market for steel has shown a notable improvement, and its Indian and South East Asian operations have fared well.

As compared to the April-June quarter, the company delivered 17 percent more steel during the July-September quarter, with the figures standing respectively at 5.3 million tonnes and 6.2 million tonnes during the two successive quarters.

Noting the improvement, Kirby Adams, CEO of Tata Steel Europe, said: "Steel demand in Europe and North America has started to recover from exceptionally low levels during Q2. While we expect that trend to continue, the recovery remains fragile, particularly in the UK and in construction markets."