Hindalco 3Q net rises17.65%

Aditya Birla Group company Hindalco Industries has posted a 17.65 per cent rise in net profit at Rs377.14 crore for the quarter ended 31 December 2017, considering a provision of Rs115 crore based on Supreme Court judgement on mining regulations. The company had posted a net profit of Rs320.56 crore posted for the comparable quarter of last financial year.

The aluminium major's revenue from operations rose 11.17 per cent to Rs11,023 crore during the quarter under review, compared with Rs9,915 crore recorded during the comparable year-ago quarter. The revenue increase was led by macro factors, volumes and by-product realisation, the company said in a statement.

Its EBITDA (earnings before interest, tax, depreciation and amortisation) for the quarter stood rose 15 per cent to Rs1,611 crore, driven by higher volumes in both businesses and supportive macros, partly offset by higher input costs.

Depreciation rose by 7 per cent Y-o-Y, on account of progressive capitalisation. Interest expense for the quarter was lower by 18 per cent due to pre-payment and re-pricing of long term loans.

''Performance across businesses continues to be robust. Stable operations and supportive macros remain the main drivers. Novelis has maintained its market leadership in can, auto segments as well as in recycling operations. Going forward, strong recovery of demand across businesses in India augurs well for Indian operations,'' it said in a statement.

In management view, key risks remain in the form of higher input costs and an oversupplied domestic market. Given the integrated nature of its business model, focus on customer centricity and new value added capacity, Hindalco is well-placed to cater to the demand recovery, it added.

Revenue from aluminium segment for Q3FY18 was up Y-o-Y at Rs5,323 crore, led by higher sales of aluminium metal and increased realisation. The aluminium segment's EBITDA grew by 7 per cent in Q3 FY18 to Rs940 crore, on the back of higher metal prices and volumes, which mitigated the spiralling input costs.

Aluminium metal production was at 323 kilotonne and alumina (including Utkal Alumina) at734 kilotonne in Q3 FY18. VAP (including Wire Rod) production was at 123 kilotonne, up by 3 per cent vis--vis the previous year.