Tata Chemicals Q4 consolidated PAT down 85% at Rs 29 crore

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Mumbai: Tata Chemicals on Monday reported an 85% decline in consolidated profit after tax (PAT) at Rs 29 crore for the quarter ended March 2021.

The consolidated PAT of the company stood at Rs 198 crore for the corresponding period of the previous fiscal, Tata Chemicals said in a statement.

On a consolidated basis, the income from operations rose by 11% to Rs 2,636 crore during the quarter under review compared to Rs 2,378 crore in the corresponding period of 2019-20.

“During the year, we witnessed a sequential improvement in demand and this quarter saw continuation of the same trend.

“With the second wave of COVID-19, our priority will be the health and safety of our stakeholders and we are undertaking several initiatives to cater to the well-being of the employees and communities,” Tata Chemicals Managing Director and CEO R Mukundan said.

The company’s quarterly profits were muted due to one-off effect on the US operations caused by polar vortex leading to sharp rise in gas prices, he noted.

“There was one off in the UK operations due to tax asset write off, re-financing cost. We are witnessing strengthening of Spot soda ash prices which will ease margin pressures sequentially in the coming quarters.

“Going forward, time bound commissioning of capacities in Mithapur and Dahej in Gujarat coupled with growth of Specialty products are critical steps towards transformation of the company,” he added.

For the full year, Tata Chemicals’ consolidated PAT dropped by 58% to Rs 436 crore against Rs 1,028 crore in 2019-20. Income from operations dipped 1.51% at Rs 10,200 crore compared to Rs 10,357 crore. The company’s share on Monday closed at Rs 782.85, down 1.28% on BSE.