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Tata Chemicals (TATACHEM) investor relations material
Tata Chemicals Q3 25/26 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 and 9-month FY26 performance was impacted by global soda ash oversupply, weak demand, and lower realizations, especially in exports, leading to margin pressure and net losses in some geographies.
Operational focus shifted to cost discipline, portfolio resilience, and prioritizing non-cyclical, value-added products, with strategic expansions in India, UK, and Kenya.
Debt increased due to unfavorable market conditions and rupee depreciation, but leverage remains low with a debt-to-equity ratio of 0.31.
Strategic actions included UK plant closure, capacity additions in India and Kenya, and acquisition of Nova Bay Singapore to strengthen the premium bicarb market.
Results were impacted by exceptional items related to plant closure and regulatory changes, including new labor codes.
Financial highlights
Q3FY26 consolidated revenue was ₹3,550 crore, down from ₹3,590 crore in Q3FY25; EBITDA dropped to ₹345 crore from ₹434 crore, with net loss of ₹69 crore for the quarter.
Standalone revenue rose 3% to ₹1,204 crore, and standalone EBITDA increased 9% to ₹228 crore, driven by higher volumes and lower fixed costs.
For 9MFY26, consolidated revenue was ₹11,146 crore and EBITDA was ₹1,531 crore; PAT was ₹520 crore.
Net debt stood at ₹5,596 crore as of Dec 2025, up from ₹4,884 crore in Mar 2025.
Exceptional charges of ₹54 crore (consolidated) and ₹14 crore (standalone) were provided for labor code changes and plant closure costs.
Outlook and guidance
Near-term demand for soda ash is expected to remain flat, with high inventories and weak prices; medium-term growth supported by solar glass and EV sectors.
India shows robust growth, while China and the US face declines due to reduced demand for flat and container glass.
UK operations expected to approach break-even in Q4 and return to profitability next year as fixed cost savings and higher-margin products ramp up.
Capex plans remain focused on India and Asia, with further reductions in capex spending anticipated next year.
The company continues to monitor regulatory changes and expects further updates on labor code impacts.
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