Tata Chemicals shares struggle after poor results and weak guidance
The companys share on the BSE is trading down 1.03 per cent to Rs 1,028.65 at 9:23 AM today (August 8). In the last five trading sessions, Tata Chemicals has lost 1.75 per cent of its value against a 0.14 per cent slide in the Nifty 50 during the same period.
Tata Chemicals shares faced selling pressure on Tuesday, a day after the company reported a set of quarterly numbers that fell short of analysts' estimates.
The stock of the Tata group chemical maker declined as much as 3.3 per cent to Rs 1,005.1 apiece on BSE.
The stock has been struggling since the company slashed the price of soda ash last week.
It seems its poor first-quarter results, released post-market hours on Monday, have added insult to injury.
At Tuesday's intraday low, the stock took it losses to four per cent in two trading sessions.
Tata Chemicals Q1 results
Tata Chemicals reported a 12 per cent decline in net profit to Rs 523 crore for the quarter ended June compared with the corresponding period a year ago.
Its revenue grew/contracted to Rs xxxx for the first quarter of the current financial year.
The company's soda ash volume fell 9.3 per cent.
"The softening of industrial production in developed economies may persist in the near term," the company said.
The company last month slashed soda ash price by Rs 1,800. In the current financial year, the company has cut the price of soda ash by 18 per cent.
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