Hindalco Industries fell 0.22% to Rs 111.20 at 15:02 IST on BSE after net profit fell 0.56% to Rs 357 crore on 2.29% increase in revenue from operations to Rs 6305 crore in Q2 September 2013 over Q2 September 2012.
The result was announced during trading hours today, 12 October 2013.
Meanwhile, the BSE Sensex was down 163.24 points, or 0.80%, to 20,327.72.
On BSE, 13.03 lakh shares were traded in the counter compared with average volume of 13.42 lakh shares in the past one quarter.
The stock hit a high of Rs 114.40 and a low of Rs 110.05 so far during the day. The stock hit a 52-week high of Rs 137 on 2 January 2013. The stock hit a 52-week low of Rs 83.05 on 7 August 2013.
The stock had underperformed the market over the past one month till 11 November 2013, sliding 2.41% compared with the Sensex's 0.18% fall. The scrip had, however, outperformed the market in past one quarter, rising 22% as against Sensex's 9.06% rise.
The large-cap company has an equity capital of Rs 206.46 crore. Face value per share is Re 1.
Hindalco's EBITDA (earnings before interest, taxes, depreciation and amortization) rose 4.85% to Rs 540 crore in Q2 September 2013 over Q2 September 2012.
Hindalco said that the Q2 result included a non-recurring income of Rs 61 crore and a dividend income of Rs 100 crore from subsidiary companies.
Other income surged 111.39% to Rs 279.82 crore in Q2 September 2013 over Q2 September 2012. It slumped 34.61% over Q1 June 2013. The company said that other income was impacted by lower treasury yield due to liquidity tightening.
Finance costs surged 557.47% to Rs 183.17 crore in Q2 September 2013 over Q2 September 2012. It jumped 23.16% over Q1 June 2013. Hindalco said that finance costs were higher, given higher average borrowing.
The average Aluminium LME in Q2 September 2013 dropped by around 3% and 7% respectively from the levels seen in Q1 June 2013 and in Q2 September 2012. The decline was offset by the depreciating rupee. The performance of copper business has improved significantly compared to Q1 June 2013, the company said in a statement.
In its outlook, Hindalco said the long spell of subdued LME has adversely affected the global aluminium industry and its margins and production levels significantly. Greenfield projects are ramping up as planned, however, EBITDA streams will take time to scale up with delayed access to captive coal. With improving TcRc, copper business is expected to have a stable outlook despite a sharp drop in by-product realization, the company said.
Novelis, the US-based subsidiary of Hindalco Industries, on Monday, 11 November 2013, reported net income attributable to its common shareholder of $23 million for the second quarter of fiscal 2014. Excluding certain tax-effected items, net income was $37 million for the quarter.
Adjusted EBITDA for the second quarter of fiscal 2014 was $228 million compared to $277 million reported for the same period a year ago. Sequentially, adjusted EBITDA improved 12% compared to the $204 million reported in the first quarter of fiscal 2014, in part due to initial success from the company's rolling expansion in South America. Excellent project execution allowed Novelis to meet strong market demand and puts the South America region on track to achieve record shipments this fiscal year, Novelis said in a statement.
Hindalco Industries is the world's largest aluminium rolling company and one of the biggest producers of primary aluminium in Asia. Its copper smelter is the world's largest custom smelter at a single location.
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