Tata Chemicals announced on Thursday a 54.67% drop in its consolidated net profit, reporting Rs 194 crore for the second quarter ending September 2024. In the same period last year, the company posted a net profit of Rs 428 crore, as noted in a regulatory filing. Revenue from operations remained largely unchanged at Rs 3,999 crore, compared to Rs 3,998 crore during the corresponding quarter of FY24.
R. Mukundan, Managing Director and CEO of Tata Chemicals, commented that overall demand for soda ash in India was stable; however, certain segments, such as container glass in North America and Europe, faced subdued demand. He highlighted that heavy rainfall in July and August had a negative impact on operations at Mithapur, resulting in lower production compared to the previous quarter, which in turn affected margins.
Despite these challenges, Mukundan pointed out that the company’s performance improved from the previous quarter, driven by increased sales volume and higher soda ash realizations. “Our emphasis remains on engaging with customers and maintaining stable operations while focusing on cost management to ensure steady contribution margins. We continue to collaborate with our customers and stakeholders on our sustainability and digitization initiatives,” he added.
Tata Chemicals Limited, part of the $165 billion Tata Group, is a global leader in chemical production and innovation. Established in 1939, the company is renowned for supplying high-quality chemicals to the glass, detergent, industrial, and chemical sectors. It also excels in crop protection through its subsidiary, Rallis India Limited.
Tata Chemicals is committed to sustainability and technological advancement, continuously evolving its product offerings to meet industry demands. With a strong market presence and a focus on environmental responsibility, Tata Chemicals remains a pivotal player in the global chemical industry, driving progress and growth across multiple sectors.
