Tata Chemicals Limited declared its Consolidated Financial Results for the third quarter ended December 31st, 2017. The Company reported a Consolidated PAT of Rs. 759 Cr as against Rs. 264 Cr for the corresponding period Q3 FY16-17. Income from continuing operations for the quarter ended December 31st, 2017 on consolidated basis at Rs. 2,574 Cr andPAT from Continuing Operations was recorded atRs. 545 Cr, up by 176%.
• Indian Chemicals business delivered a robust performance with improved volumes and realisations across all product categories
• Tata Salt posts robust volumes with growth back on track.
• On a Net Debt basis, TCL is debt free with cash of Rs.1,189 Cr. Focus now moves from Deleveraging to Growth
• Divestment of Urea business to Yara International completed on 12thJanuary 2018
• The Company has executed a BTA with IRC Agrochemicals Pvt Ltd for transfer of the Phosphatic Fertiliser business located at Haldia and the Trading business comprising of bulk and non-bulk fertilisers.
• North American operations continue to maintain steady performance backed byfavourable production volumes and profitability.
• One-off impacts at TCNA due to:
o Actuarial gain on changes to certain Post Retiral Medical Plans; and
o The repeal of Alternative Minimum Tax (AMT) in recent US tax legislation changes, allows recovery of previously unrecognized tax payments
• European operations showed improved efficiencies across all business units. Lower sales of traded ash.
• Magadicontinued improvement in operational performance with higher volumes and improved realisations.
• Rallis India registersstable performance despite market challenges
• Consolidated net debt on 31stDecember 2017 was Rs. 4,128 Cr against Rs5,573 Cr on 31stMarch 2017
R. Mukundan is the Managing Director for Tata Chemicals Ltd
For the quarter under review, I am pleased to report a robust performance from the Indian as well as the Global Chemicals business. Both continue to register improved profitability and efficient operations.
In the Consumer business, Tata Salt remains the market leader. The recent product roll out from the Tata Sampann umbrella brand is receiving a favorable response from consumers. We will continue to direct our efforts towards growing market shares across product categories and furthering customer excellence. Several consumer connect initiatives have also been initiated in that direction.
In the farm business, Rallis India along with Metahelix registered a sound performance in the crop protection business, domestic and internationally. Further, we successfully completed the transfer of the Urea business to Yara International in January this year.
With the results of deleveraging the balance sheet and achieving healthy working capital levels now clearly visible, the Company’s focus now moves from debt reduction to growth.
Our growth strategy remains focused on leadership in Industrial Chemicals Business, and growth in the Consumer Food Business and Specialty Chemicals led by Agrochemicals, Nutraceuticals and Rubber and Polymer Additives