Hindalco Reports Net Profit Of Rs 321 Crore In Q3, Turns Profitable

Hindalco Reports Net Profit Of Rs 321 Crore In Q3, Turns Profitable
New Delhi: Aditya Birla Group firm Hindalco Industries on Monday reported a standalone net profit at Rs 320.56 crore for the quarter ended December 31, 2016.

The company had clocked a standalone net loss of Rs 32.75 crore in the corresponding quarter of last fiscal, the company said in a regulatory filing.

Its income from operations rose to Rs 9,914.81 crore during the quarter under review from Rs Rs 8,715.94 crore in the year-ago period.

Total expenses of the company also rose to Rs 9,087.54 crore during the said quarter as against Rs 8,352.48 crore in the year-ago quarter.

"Revenues for the quarter were higher by 14 per cent over the previous year, driven by increase in average realisation for both aluminium and copper alongwith weaker rupee and higher aluminium volumes," the company said in the BSE filing.

The company said its EBITDA (Earnings before Interest, Tax, Depreciation and Amortisation) at Rs 1,405 crore was up 64 per cent vis-a-vis Q3 FY16.

The company said, "Depreciation at Rs 358 crore against Rs 312 crore in Q3 FY16 was up due to progressive capitalisation of new projects. Finance charges were Rs 588 crore against Rs 585 crore in Q3 FY16."

Aluminium revenue grew by 9 per cent on the back of strong volume growth and realisation, it said in a statement adding, Copper revenue increased by 19 per cent on account of higher copper realisation, partly negated by lower by-product prices (Sulphuric Acid and Diammonium Phosphate).

It said in addition to Gare Palma IV/4 & Gare PalmaI V/5 coal mines, Kathautia mines commenced operations in February 2017 improving coal security.

"The cost of most inputs continued to remain benign, though prices of crude derivatives increased marginally with a rise in crude prices. Alumina costs were lower as compared to last year," the company said.

It said during the quarter, Alumina production (including Utkal Alumina) at 744 KT was 5 per cent higher vis- a-vis that in Q3 FY16.

Aluminium metal production stood at 320 KT and was up 9 per cent.

"Higher production with stable operations, supportive realisation and lower input cost resulted in a record EBITDA of Rs. 876 crore, an increase of 147 per cent over the corresponding quarter of the previous year," it said.

Providing details about copper business it said Cathode production volumes were flat at 94 KT, CC rod production was lower by 8 KT impacted by lower demand.

The company said it "delivered robust operational performance in a challenging demand scenario and economic environment. Its strong performance was on the back of stable operations and recovery in aluminium prices. High level of imports continue to impact domestic sales volumes. Hindalco remains focused on operational excellence, higher value addition, customer centricity and cash conservation to deliver shareholder value."

The share of the company closed at Rs 185 apiece on the BSE, up 1.65 per cent from the previous close.

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

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