Tata Chemicals has reported a muted financial performance for the quarter ended December 31, 2025, as persistent oversupply and weak pricing in global soda ash markets weighed on consolidated results.

 

The company posted consolidated revenue from operations of ₹3,550 crore for Q3FY26, down 1% year-on-year, while EBITDA declined to ₹345 crore from ₹434 crore in the same period last year. Profit after tax (before exceptional items and NCI) slipped to a loss of ₹15 crore compared with a profit of ₹49 crore in Q3FY25. Net debt stood at ₹5,596 crore as of December 31, 2025, excluding leases of ₹772 crore.

 

Commenting on the results, R. Mukundan, Managing Director & CEO, Tata Chemicals Limited, said, “Soda ash markets continue to remain oversupplied, with high inventory levels across most regions. Prices softened further during Q3FY26, reflecting adverse demand - supply dynamics. As a result, the near-term outlook for the soda ash market remains subdued and uncertain, with limited visibility on any immediate improvement.”

 

Despite the challenging environment, Tata Chemicals’ standalone business delivered improved performance, supported by higher volumes and cost discipline. 

 

Mukundan noted, "Despite these headwinds, the Company’s standalone performance has been supported by higher volumes and disciplined cost management, resulting in a resilient operating performance. The reconfiguration of the UK operations has been completed, with a strategic shift toward value-added, non-cyclical products, enhancing business stability.”

 

However, he added that consolidated results continued to face pressure from export markets. "However, the Company’s consolidated performance has been sharply impacted by continuing unsustainable low prices in export markets, mainly in Southeast Asia.”

 

During the quarter, Tata Chemicals announced the acquisition of Novabay Pte. Limited, reinforcing its push into specialty and high-margin chemical businesses. Mukundan said, “The acquisition of Novabay Pte. Limited announced during the quarter aligns well with our strategy to focus on high-margin, specialty chemical businesses and deepen our presence in key global markets. 

 

"It enhances our ability to offer differentiated solutions to customers while reinforcing Tata Chemicals’ long-term growth agenda in value-added products. The transaction is expected to be completed in the Q4FY26, subject to the fulfilment of customary closing conditions.”

 

The board also approved a ₹515 crore investment to set up a greenfield Iodised Vacuum Salt Dried (IVSD) manufacturing facility at Valinokkam in Tamil Nadu, with a capacity of 210 KTPA. Mukundan said the move would strengthen the company’s consumer products portfolio and manufacturing footprint in India.

 

Looking ahead, Tata Chemicals said its focus remains on protecting margins and maintaining financial strength amid ongoing market volatility. 

 

Mukundan stated, "In response to prevailing market conditions, our priorities remain firmly aligned to protecting margins, preserving cash flows, and maintaining balance sheet strength. We continue to adopt a disciplined approach to capacity utilisation, cost control, and capital allocation, ensuring resilience through the current phase of the cycle.”

 

On a standalone basis, revenue rose 3% year-on-year to ₹1,204 crore in Q3FY26, while EBITDA increased 9% to ₹228 crore. Standalone profit after tax from continuing operations (before exceptional items) climbed 21% to ₹87 crore. The company also commissioned new facilities at Cuddalore and Mambattu during the quarter.

 

For the nine months ended December 31, 2025, Tata Chemicals reported consolidated revenue of ₹11,146 crore, down 2%, and EBITDA of ₹1,531 crore, compared with ₹1,626 crore a year earlier. Standalone revenue for the period rose 11% to ₹3,577 crore, while EBITDA jumped 26% to ₹738 crore, driven by higher volumes and cost control measures.