TATA chemicals Q3FY23 results out, Net profit rises 21%

India’s Tata Chemicals on Wednesday reported a 21% jump in its net profit, driven by strong growth in its basic chemistry products segment. The chemical manufacturer posted a consolidated net profit for the three months ended Dec. 31 at 3.91 billion rupees ($47.77 million), compared with 3.11 billion rupees a year ago.

The Indian chemical industry has seen rapid growth and have been one of the few industries that have fully pulled through the COVID-19 pandemic, reaping the benefits of the China-plus-one policy, as many countries looked for alternative sources for chemicals. The basic chemistry products segment, which contributes to more than 80% of the company revenue and includes soda ash, bicarb, salt, jumped 42%, offsetting the 25% rise in input costs, 56% rise in fuel cost.

The Mumbai-based chemical maker posted consolidated revenue from operations of 41.48 billion rupees, up 32% from the previous year. The company’s agri-input manufacturing unit Rallis India posted a 43% fall in its third-quarter net profit in the backdrop of erratic rainfall in the domestic market and headwinds in international business.

Last week, rival Anupam Rasayan posted a 13% rise in its quarterly profit. Shares of the company closed down 1.8% at 956.2 rupees on Wednesday ahead of the results.