Has Tata Chemicals outlived its usefulness for Chandrasekaran?

The R. Mukundan-led company finds itself relegated to being one of the weaker parts of the salt-to-software Tata Group. A lack of fresh ideas isn’t helping either.

Tata Chemicals chief executive officer Ramakrishnan Mukundan sits in a spot of bother.

Less than six months into his contract extension, he’s faced with an unenviable task: reviving growth at the company. But this won’t be easy. 

In the quarter ended 31 March 2024, Tata Chemicals reported a net loss of Rs 841 crore, its first in nine years. The company has seen four straight quarters of revenue decline and margin contraction. And things aren’t likely to get better anytime soon.

Of the seven brokerages covering the stock, five have a “sell” recommendation, with an average target price 20% lower …

Author

Azman Usmani

Azman writes on climate change, ESG, and how a warming world impacts businesses and people alike. Prior to The Morning Context, he led climate coverage at BloombergQuint, where he started his career as a desk writer.

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azman@mailtmc.com

Mumbai