Vadodara, January 28, 2025 – Tatva Chintan Pharma Chem Limited (NSE: TATVA, BSE: 543321) has reported a 48% year-on-year (YoY) decline in net profit for Q3 FY25, despite stable revenue growth. The company attributed the decline to higher raw material costs and lower margins in specialty chemicals.
Key Financial Highlights – Q3 FY25 (Consolidated)
| Metric | Q3 FY25 | Q3 FY24 | YoY Change |
|---|---|---|---|
| Revenue from Operations | ₹858.96 crore | ₹842.06 crore | +2.0% |
| Total Income | ₹859.40 crore | ₹854.16 crore | +0.6% |
| Net Profit (PAT) | ₹46.83 crore | ₹90.16 crore | -48.0% |
| EBITDA Margin | 16.2% | 19.8% | -360 bps |
| Earnings Per Share (EPS) | ₹1.38 | ₹3.73 | -63.0% |
- Revenue: ₹2,748.50 crore (+3.3% YoY).
- Net Profit: ₹207.40 crore (-35.5% YoY).
Standalone Performance
- Revenue: ₹839.99 crore (+3.8% QoQ).
- Net Profit: ₹-16.53 crore (loss) compared to ₹65.63 crore profit in Q3 FY24.
- EPS: ₹-0.50 per share.
Key Business Challenges
- Higher Raw Material Costs: Increased input prices impacted margins.
- Inventory Adjustments: Fluctuations in specialty chemicals demand affected profitability.
- Exports Slowdown: Impact of global pricing pressures on chemical exports.
Management Commentary
Chintan N. Shah, Chairman & Managing Director, Tatva Chintan Pharma Chem, stated:"Despite short-term headwinds in raw material costs and export pricing, our long-term strategy remains intact. We continue to invest in R&D and operational efficiencies to enhance profitability."
Strategic Outlook & Future Plans
- Cost Optimization Measures: Focus on supply chain efficiency and operational restructuring.
- Product Diversification: Expanding into high-margin specialty chemicals to counter raw material fluctuations.
- Global Market Expansion: Strengthening U.S. and European market footprint for specialty chemicals.