Tata Chemicals Q1FY26 net profit rises 81% to ₹316 cr despite weak global demand; revenue dips 2%
Kolkata: Tata Chemicals Ltd on Friday reported a consolidated net profit of ₹316 crore for the quarter ended June 30, 2025 (Q1FY26), up from ₹175 crore a year earlier, supported by lower costs and operational efficiency despite pressure on realisations.
Consolidated revenue from operations declined 2% year-on-year to ₹3,719 crore, largely impacted by the cessation of operations at its Lostock unit in the UK.
However, earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose to ₹649 crore from ₹574 crore in Q1FY25.
On a standalone basis, revenue rose 12% to ₹1,169 crore, while EBITDA grew 15% year-on-year to ₹270 crore. Standalone profit after tax from continuing operations stood at ₹307 crore, a 20% increase from the same quarter last year.
Managing Director and CEO R. Mukundan said market conditions remain fluid due to tariff-related uncertainties and flat global demand in the near term.
However, demand remains stable in India and China, while other parts of Asia and the Americas (excluding the US) are seeing robust activity.
"While near-term market dynamics are challenging, the medium- and long-term outlook is positive, driven by sustainability trends," Mukundan said, adding that the company’s performance reflects “strong operating discipline and cost management” despite pricing pressures.
He added that the company’s growth would be guided by innovation, digitisation, and a continued focus on sustainability through its ‘Project Aalingana’.
Tata Chemicals also reiterated its strategy to expand its core operations and selectively build its specialty portfolio for long-term revenue growth.
As of June 30, 2025, net debt stood at ₹4,972 crore, excluding lease liabilities of ₹760 crore.
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