 "Hindustan Zinc Q1FY25 results: Net profit rises 19% to Rs 2,345 cr")
Vedanta group firm Hindustan Zinc Ltd (HZL) on Friday reported 19.3 per cent rise in consolidated net profit at Rs 2,345 crore for June quarter FY25 due to higher EBITDA.
The company had posted a net profit of Rs 1,964 crore for the year-ago period.
Income rose to Rs 8,398 crore from Rs 7,564 crore in the year-ago period, HZL said in a filing to BSE.
Earnings before interest, taxes, depreciation, and amortization (EBITDA) in the quarter rose 17 per cent to Rs 3,946 crore from Rs 3,359 crore in the year-ago period.
Revenue from operations during the quarter was Rs 8,130 crore, up 12 per cent YoY on account of better metal volume and metal and silver prices, further supported by a strong dollar and partly offset by lower silver volume, the company said.
The mined metal production in the quarter was 263,000 tonne, up two per cent YoY on account of improved mined metal grades.
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The refined metal production recorded the highest ever first quarter production at 262,000 tonne, up one per cent YoY.
"We have expedited the commencement of our renewable energy power delivery with the receipt of the first flow of renewable energy power from Serentica 180 MW solar project in May 2024.
"Further, we are set to accelerate our sustainability journey through contribution towards economic prosperity and environmental responsibility, and diversification by catering to high-end sectors responsibly with our strategic partnerships for utilising waste streams for extracting saleable products and supplying for next-generation nickel zinc batteries," company's CEO Arun Misra said.
As part of strategic hedging, the company said it has sold forward 90,000 tonne of zinc production for FY25.
"Ascertaining HZL's global cost leadership, we have suppressed the cost of production for the quarter at $ 1,107 per tonne, clocking a figure lower than last three financial years. With a holistic focus on operational cum financial excellence, we expanded the margins during the quarter, along with a commendable increase in the domestic primary zinc market share," CFO Sandeep Modi said.
Hindustan Zinc is the world's second-largest integrated zinc producer and the third-largest silver producer. The company supplies to more than 40 countries and holds a market share of about 75 per cent of the primary zinc market in India.