Tata Steel's losses for 2014-15, due to disruptions in the iron ore supply in India, are expected to "fade away" in the current fiscal year, credit rating agency Moody's Investors Service said on Wednesday.

The domestic steel giant had reported a consolidated net loss of Rs. 3,925.52 crore for fiscal year ended March 31, 2015 as against a net profit of Rs. 3,594.89 crore in FY14.

The agency said that though the company's results for FY15 "were below expectation", its rating wasn't impacted.

"Tata Steel's FY15 results were affected mainly by disruptions in the iron ore supply in the country, the effects of which we expect will fade away over FY16," Moody's vice president and senior analyst Kaustubh Chaubal said.

Moody's expects Tata Steel's leverage to correct over the next few quarters as the company gets its new shipments from the Kalinganagar plant, uses its stock of imported iron ore and starts mining its own iron ore, among others.

Further, it noted that the company's Southeast Asian operations were affected by weak demand and a contraction in the rebar-scrap spread on the back of a significant increase in imports from China.

"Although we expect Southeast Asian demand to remain steady, the revenue and contribution to Tata Steel's consolidated revenue and EBITDA (earnings before interest, taxes, depreciation, and amortisation) will remain marginal," the agency said.

Tata Steel managing director (India and South East Asia) T V Narendran had earlier said that steel realisations fell sharply during the second half of the year due to the deluge of imports combined with sluggish domestic demand as well as mining disruptions during the year.