Hindalco Industries recorded a jump of 783% in consolidated net profit to Rs 3,417 crore in Q2 FY22 from Rs 387 crore in Q2 FY21.
Consolidated revenue for the second quarter stood at Rs 47,665 crore as against Rs 31,237 crore in the same period last year, up 53% YoY.
EBITDA was Rs 8,048 crore in Q2 FY22, up by 56% from Rs 5,171 crore in Q2 FY21. Consolidated net debt to EBITDA ratio improved further to 1.93x on 30 September 2021 compared to 2.59x on 31 March 2021.
Hindalco said that the results were driven by an exceptional performance by Novelis and India Business, supported by favorable macros, strategic product mix, higher volumes, and stability in operations.
Novelis recorded quarterly adjusted EBITDA of $553 million, up 22% YoY, on the back of higher volumes, favourable product mix and metal benefits. Novelis achieved an Adjusted EBITDA per ton of $571 in Q2 FY22, compared to $493 in the prior year, an increase of 16% YoY.
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Revenue was $4.1 billion, up 38% YoY, due to higher shipments, global aluminium prices and market premiums. Total shipments of flat rolled products (FRPs) were at 968 Kt, up 5% YoY, with strong demand across end-product markets particularly beverage packaging and specialty products, partially offset by continued headwinds in the automotive industry on account of the semiconductor chip shortage.
Aluminium India's EBITDA was at an all-time high of Rs 3,247 crore in Q2 FY22, compared with Rs 1,188 crore for Q2 FY21, an increase of 173% YoY, primarily due to favourable macros, improved product mix, higher volumes and better operational efficiencies. EBITDA margins reached more than a decade high of 42% and continue to be among the best in the industry. Revenue was Rs 7,812 crore in Q2 FY22 as against Rs 4,796 crore in the prior year period.
Aluminium India business recorded metal production of 322 Kt as against 307 Kt in the corresponding quarter. Aluminium metal sales were up 12% YoY at 338 Kt as against 303 Kt in the prior year.
Hindalco's both copper smelters ran optimally during the monsoon quarter. Copper cathode production was at 100 Kt in Q2 FY22, higher by 38% YoY. Overall copper metal sales were at 110 Kt in Q2 FY22, higher by 47% YoY.
EBITDA for the business stood at Rs 352 crore compared to Rs 242 crore in Q2 FY21, up 45% YoY on the back of higher volumes, better operational efficiencies and improved by-product realisations.
Revenue from the Copper business was Rs 9,587 crore this quarter, up 101% YoY, primarily due to higher global prices of copper.
Satish Pai, managing director, Hindalco Industries, said: Our record-breaking performance this quarter is an affirmation of our fully integrated business model, which powers our performance in both upstream and downstream markets.
Our product-rich portfolio strategy continues to deliver results across diverse market scenarios. The recent Ryker copper rod unit acquisition is in keeping with our downstream capex plans announced earlier this year."
Hindalco Industries, the metals flagship company of the Aditya Birla Group, is the world's largest aluminium rolling and recycling company, and a major copper player. It is also one of Asia's largest producers of primary aluminium.
The scrip rose 3.04% to end at Rs 467.70 on the BSE today.
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