GHCL Ltd Faces 37% Profit Dip Amid Global Trade Challenges

GHCL Ltd, India's second-largest soda ash producer, reported a 37% drop in consolidated net profit to Rs 106 crore for Q3 FY26, citing higher expenses and global trade uncertainties. Despite competitive pressures and import influx, the firm upheld its margins and is advancing key diversification projects.

GHCL Ltd, known as India's second-largest soda ash producer, announced a significant decline in their consolidated net profit by 37%, reaching Rs 106 crore for the third quarter of the fiscal year 2025-26. This downturn comes amid rising expenses and is a stark contrast to the Rs 168.42 crore profit recorded in the same quarter last year, according to their latest regulatory filing.

Despite the downturn, GHCL Ltd has maintained its industry-leading margins due to stringent cost management and enhanced operational efficiencies. The company's Managing Director, R S Jalan, noted that the domestic soda ash market is currently facing substantial challenges due to an influx of cheap imports and aggressive global pricing strategies.

The company also reported progress on its diversification projects, which are nearing completion despite minor delays due to heavy monsoons in Gujarat. Meanwhile, the firm concluded a Rs 300 crore share-buyback program, maintaining strategic financial maneuvers even in a volatile market.

(With inputs from agencies.)