Tata Chemicals Sees 72% Decline in Q1 Profit

Tata Chemicals reported a 72% decrease in its consolidated net profit to Rs 150 crore for Q1 of FY25, driven by lower income and higher expenses. Despite stable demand for soda ash and steady sales volumes, increased total expenses hurt profitability.

Tata Chemicals on Monday reported a significant 72% decline in its consolidated net profit to Rs 150 crore for the first quarter of this fiscal year. The downturn is attributed to lower income and heightened expenses.

Compared to the previous year's net profit of Rs 532 crore, the current figures show a sharp decrease. Specifically, net profit from continuing operations also fell to Rs 175 crore from Rs 578 crore. Total income dropped to Rs 3,836 crore in the April-June period of 2024-25 from Rs 4,267 crore in the previous year, according to a regulatory filing.

Total expenses rose to Rs 3,621 crore from last year’s Rs 3,527 crore. R Mukundan, Managing Director & CEO, stated that global demand for soda ash remains stable, aiding sales volumes and prices. However, the company is focusing on cost management, customer engagement, and sustainability initiatives to navigate the challenging economic landscape.