Tata Chemicals reported 87% jump in consolidated net profit from continuing operations to Rs 248 crore in Q2 FY22 from Rs 132 crore in Q2 FY21.
The company's income from operations on consolidated basis was Rs 3,023 crore, up by 16% from Rs 2,609 crore of the corresponding quarter of last year. This was mainly due to rebound in Soda Ash volumes in US and India, Tata Chemicals said.
On the segmental front, revenue from Basic Chemistry Products was Rs 2,235 crore (up 22% YoY) while that from Specialty Products was Rs 786 crore (up 3% YoY) in the second quarter,
While the company's consolidated net profit has dropped by 28%, income from operations has risen by 2% in Q2 FY22 as compared with Q1 FY22.
Consolidated gross debt stood at Rs 7,108 crore as on 30 September 2021 as compared to Rs 7,284 crore as on 30 June 2021. Cash & cash equivalents at the end of the September 2020 quarter stood at Rs 2,950 crore as against Rs. 3,293 crore as on 30 June 2021.
Tata Chemicals said that globally, soda ash demand picked up significantly resulting in a tight demand-supply situation Spot prices have correspondingly increased.
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The company benefitted from higher volumes owing to substantial demand recovery for soda ash and improvements in spot prices in the international markets. Challenging environment of increasing input costs & supply chain bottlenecks continued in the market place across geographies, the chemical maker said.
R. Mukundan, managing director & CEO, Tata Chemicals, said, With the re-opening of businesses in all markets, the overall demand environment continues to be positive. While this positive momentum is expected to continue, the supply side environment especially on energy costs and supply chain poses a challenge.
Tata Chemicals is a global company with interests in businesses that focus on basic chemistry products and specialty chemistry products.
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