Tata Chemicals Q3 net up 36% at Rs 223.78 cr

Tata Chemicals today reported 36 per cent rise in net profit at Rs 223.78

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crore for the third quarter ended December 31, following growth across all segments in domestic as well as international markets.

Net profit of the Tata group's fertilisers and chemicals arm was Rs 164.57 crore in Q3, FY 2010-11 .

It posted 32 per cent rise in net sales at Rs 3,854.14 crore during the October-December quarter of 2011-12, compared to Rs 2,910.22 crore in the year-ago period.

"We are delighted to report continuing strong operating and financial performance. All our facilities, both domestic and international, have performed well. Our production and sales volumes have been stable," Tata Chemicals Managing Director R Mukundan told reporters here.

Firm input costs are putting pressure on margins, however, strengthening rupee over the last month has been encouraging, he said.

Mukundan added, "While current demand appears stable, it continues to be influenced by several macro environment factors. I am, however, confident that our access to low cost resources combined with efficient operations and well entrenched and expansive distribution network will enable us to continue to create value and drive growth."

In the chemicals business, the company's Europe operations witnessed improved utilisation, its British Salt performance was robust and there was steady improvement in Magadi operations, he said.

However, production at the company's North America operations moderated due to slow resumption of operations post expansion, Mukundan added.

In consumers products, he said, it continued to maintain leadership position in branded salt at 64 per cent market share in the country.

On fertilisers segment, Mukundan said the expansion of soda ash capacity by 1 lakh TPA at Tata Chemicals North America (TCNA) was concluded.

Tata Chemicals operations at Babrala in Uttar Pradesh are stable and its new ammonia converter will be hooked up in March or April this year, he said.

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