New Delhi
On Thursday, Tata Chemicals announced a nearly 55% decline in its second-quarter profit, impacted by falling soda ash prices and rising freight costs. The company’s consolidated net profit dropped to Rs 194 crore ($23.1 million) for the quarter ending September 30, down from Rs 428 crore the previous year.
Although revenue from operations increased slightly by 0.03% to Rs 3,999 crore, total expenses surged by nearly 7% to Rs 3,803 crore, driven by a nearly 32% rise in freight and forwarding costs. The economic downturn in China and stagnant demand in the EU have adversely affected soda ash prices, which is Tata Chemicals’ core business segment.
