Tata Chemicals Ltd has posted a net profit of Rs. 275.40 crore for the quarter ended September 30, 2011 where as the same was at Rs. 127.10 crore for the quarter ended September 30, 2010.

Total Income is Rs. 3652.73 crore for the quarter ended September 30, 2011 where as the same was at Rs. 3011.46 crore for the quarter ended September 30, 2010.

In January 2011, the company, through its wholly-owned overseas subsidiaries, acquired 100% stake of British Salt Limited, UK (“BSL”). Net Profit of the Group after minority interest for the quarter and half-year ended September 30, 2011 includes Rs. 2726 lakhs and Rs. 4949 lakhs respectively (corresponding previous periods include Rs. Nil and for the year ended March 31, 2011 Rs. 1049 lakhs), on account of BSL.

Commenting on the Company’s Q2 FY2012 performance, R Mukundan, Managing Director said:“We are happy to report an extremely strong operational and financial performance given the challenging macro environment. All our businesses have performed well. Particularly encouraging is the performance of our overseas operations in US, UK and Kenya. While input prices remain firm, we continue to see healthy demand outlook for Soda Ash business across markets.”

According to him, all facilities are operating at high capacity utilisation levels.

“The rehook of the ammonia convertor at Babrala is expected to be completed by the end of the current financial year. We are witnessing sustainable improvement in our customised fertiliser business.

“Additionally, the sales of other Agri products increased by over 100% on the back of an expansion in our portfolio of offerings. We continue to widen our expansive urban and rural reach as well as our product offerings.

“We are also encouraged by the healthy performance of our Consumer Products business with Tata Salt maintaining its dominant position with a 64% market share. During the quarter we also launched i-Shakti pulses in Gujarat and Karnataka.Overall, though rising input costs, a depreciating rupee and increasing interest rates continue to exert pressure, our access to low cost resources combined with efficient operations and distribution will enable us to continue to drive sustainable growth.”

Business Highlights

Firm demand environment across major products with stable pricing situation Improving realisations combined with efficient operations offset the pressure exerted from rising input costs Growth across all locations - domestic and international Customised fertiliser witnessing healthy volume growth Expansion of product portfolio enables 100% growth in sales of other Agri inputs i-Shakti Pulses coverage extended to Karnataka and Gujarat

Chemicals

Domestic demand for soda ash stable Performance maintained at Mithapur operations Rising input (imported coal & limestone) costs continue – though partially mitigated through usage efficiency Normalised Soda Ash production at Tata Chemicals Europe – impact of extreme winter tapering Production, sales and realisations at British Salt continue to be robust – brine cavities for gas storage further improve earnings performance Tata Chemicals Magadi’s improved performance driven by higher production and better realisations for both, SAM and PAM despite higher consumption of fuel and energy MRTE initiatives to bring down consumption in next few quarters Higher production volumes combined with renegotiated contracts improve performance at Tata Chemicals North America