Tata Chemicals Ltd on Monday reported an 11.8 percent year-on-year (YoY) decline in net profit at Rs 523 crore for the first quarter that ended June 30, 2023.

In the corresponding quarter last year, Tata Chemicals posted a net profit of Rs 593 crore, the company said in a regulatory filing.

In the quarter, consolidated revenue from operations stood at Rs 4,218 crore, up 5.6 percent against Rs 3,995 crore in the corresponding period of the preceding fiscal.

At the operating level, EBITDA increased 2.8 percent to Rs 1,043 crore in the first quarter of this fiscal over Rs 1,015 crore in the corresponding period in the previous fiscal.

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EBITDA margin stood at 24.7 percent in the reporting quarter as compared to 25.4 percent in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

For the quarter, on a standalone basis, the revenue stood at Rs 1,135 crore, as compared to Rs 1,225 crore in the corresponding quarter of last year. Profit after tax (PAT) on a standalone basis stood at Rs 328 crore, as compared to Rs 381 crore for the corresponding quarter of last year.

As on 30 June 2023, consolidated gross debt dropped to Rs 5,873 crore, as compared to Rs 6,296 crore as of March 31, 2023. Also, as on June 30, 2023, cash & cash equivalents stood at Rs 1,544 crore, as compared to Rs 2,398 crore as on March 31, 2023.

Rallis India recorded consolidated revenues of Rs 782 crore for the quarter ended 30 June 2023, a decrease of 9 percent as compared to Rs 863 crore for the corresponding quarter of last year.

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R. Mukundan, managing director and CEO of Tata Chemicals, said the soda ash prices got adversely impacted as many customers delayed their purchasing decisions due to new supplies expected from Inner Mongolia, China.

This was further impacted by slower growth in the Chinese economy post-COVID and softening of industrial production in developed economies and this may persist in the near term, he said.

The results came after the close of the market hours. Shares of Tata Chemicals ended at Rs 1,039.35, down by Rs 7.55, or 0.72 percent on the BSE.

(Edited by : Pradeep John)