Tata Chemicals on Monday reported a consolidated net loss of ₹93 crore for the quarter ended December 31, 2025. The company had reported a net loss of ₹53 crore during Q3 FY25.

The company's revenue witnessed a marginal 1.1% decline at ₹3,550 crore during Q3 FY26 as against ₹3,590 crore reported during the year-ago quarter. Tata Chemicals saw a 20.5% dip in its earnings before interest, tax, depreciation and amortisation (EBITDA) at ₹345 crore.

Global oversupply dents margins

The widening loss was primarily attributed to sustained pricing pressure in the global soda ash market. Managing Director & CEO R. Mukundan said that markets remain oversupplied with high inventory levels across most regions. This imbalance caused prices to soften further during the December quarter, sharply impacting consolidated performance, particularly due to "unsustainable low prices" in Southeast Asian export markets.

Additionally, the company recorded an exceptional charge of ₹54 crore during the quarter, which was provided on account of the implementation of the new labour code.

Segment performance mixed

Revenue from the basic chemistry products segment fell to ₹2,887 crore from ₹3,031 crore a year ago, with segment results halving to ₹71 crore. Conversely, the specialty products segment saw revenue growth to ₹667 crore compared to ₹562 crore in Q3 FY25, although it reported a segment loss of ₹21 crore for the quarter.

Moves and future outlook

To combat cyclical volatility, Tata Chemicals completed a reconfiguration of its UK operations, shifting focus toward value-added, non-cyclical products. The company also announced the strategic acquisition of Novabay Pte. Limited to deepen its presence in high-margin specialty chemicals.

Furthermore, the board approved a ₹515 crore greenfield investment for a 210 KTPA Iodised Vacuum Salt Dried (IVSD) facility in Tamil Nadu to strengthen its consumer products portfolio.

Looking ahead, the near-term outlook for soda ash remains "subdued and uncertain". The management stated that its immediate priorities are protecting margins, preserving cash flows, and maintaining balance sheet strength through disciplined cost control and capacity utilisation. As of December 31, 2025, the company's net debt stood at ₹5,596 crore.

The shares of Tata Chemicals ended 2.14% lower at ₹727 apiece on the national stock exchange on Monday. The stock has fallen over 23% in the past year, underperforming the benchmark Nifty 50 index that has risen nearly 7% during the same period.