9 C
London
Wednesday, November 30, 2022

Vedanta reports 61% yoy decline in Q2 net profit to ₹1,808 crore

Must read

Gland Pharma announces acquisition of Cenexi Group in Europe for €120 million, shares fall 4.37%

A day after his parent Fosun Pharma said it was looking to sell its majority stake in Gland Pharmathe company has announced its...

Dong Ju keeps seeing Tae Hee behind Chung Ha’s back! WATCH

A lot has happened in Tae Hee's life, but Dong Ju managed to handle the situation. Many twists and turns have come in...

Vikram Kirloskar: The MIT engineer who loved building factories

Vikram KirloskarHis love for engineering brought him to one of the world's best institutes - MIT. As a trainer, his job was...

A great revelation and a dramatic scandal! Who’s to blame? WATCH

As the cast of Kingdom Of Love is about to wrap up their shoot and head home, our protagonists take a serious step towards...
Shreya Christinahttps://londonbusinessblog.com
Shreya has been with londonbusinessblog.com for 3 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider londonbusinessblog.com team, Shreya seeks to understand an audience before creating memorable, persuasive copy.

  • Indian multinational mining company Vedanta reported a 61% year-on-year decline in consolidated net profit to ₹1,808 crore in the September quarter.
  • The mining company reported a 21% year-over-year revenue increase to ₹36,237 crore during the quarter on the back of higher sales volume and strategic hedging gains.
  • EBITDA margin also declined to 25% in the September quarter, from 40% in the same period last year.

Vedanta Friday reported a 61% year-over-year decline in consolidated net profit to ₹1,808 crore in the September quarter.

“Revenues increased 21% year-over-year to ₹36,237 crore as a result of higher sales volume, strategic hedging gains and foreign exchange gains, partially offset by lower raw material prices,” the company said in a stock exchange filing.

Vedanta reported a 24% YoY decline in its EBITDA (earnings before interest, taxes, depreciation and amortization) due to a rise in commodity prices and a decline in output prices. Operating margin was 25% for the quarter, down 40% from the same quarter last year.

The company reported a 94% year-over-year increase in its power and fuel costs, at ₹8,553 crore from ₹4,412 crore a year ago. Borrowing costs also rose 54%, and the company said this was mainly due to an increase in average borrowings. Gross debt rose to 58,597 crore from ₹51,040 crore a year ago.

“We remain well positioned, with a rich diversified asset portfolio, strong balance sheet and cost optimization tools, to face a challenging macroeconomic environment,” said Sunil Duggal, CEO of Vedanta.

Here’s Vedanta’s Q2 FY23 in numbers:

Particularities Q2 FY23 Q1 FY23 Q2 FY22
Revenue ₹36,237 crore ₹38,251 crore ₹30.048 crore
Net profit ₹1.808 crore ₹4.421 crore ₹4,615 crore
EBITDA margin 25% 32% 40%

Source: Company Reports

So far in the current fiscal year, Vedanta has announced an interim dividend of ₹51 per share, which amounts to a total of ₹18,933 crore.

In its filing, the company said its top priorities will be cost leadership, strong balance sheet and optimized capital allocation. Focus areas include full occupancy, improved efficiency and timely execution of growth projects.

The aluminum segment reports a sharp decline despite an increase in production

Vedanta reported a sharp decline in its aluminum business despite a 2% year-over-year increase in production to 5.84 lakh tons.

Earlier this month, the company said mined metal production at Zinc India increased 3% yoy to 2.55 lakh metric tons, while finished steel output increased 11% yoy to 3.25 lakh metric tons.

Segment Q2 FY23 Q1 FY23 Change
Zinc India ₹4.342 crore ₹3,280 crore 32%
Zinc International ₹591 crore ₹299 crore 98%
oil gas ₹2,018 crore ₹1,384 crore 46%
Aluminium ₹761 crore ₹4,647 crore -84%
Buyer ₹15 crores -₹38 crores 139%
iron ore ₹213 crore ₹559 crore -62%
Current ₹141 crore ₹264 crore -47%
others -₹43 crores ₹187 crore -123%
Total EBITDA ₹8,038 crore ₹10,582 crore -24%

Source: Company Reports

ALSO SEE:

The growth story behind half a billion dollar bets on ‘regional’ Indian spice makers

Global Health operating Medanta hospitals to open its IPO of ₹2,205 cr on Nov 3

Elon Musk fires Twitter CEO Parag Agrawal and sets Twitterati on fire

More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest article

Gland Pharma announces acquisition of Cenexi Group in Europe for €120 million, shares fall 4.37%

A day after his parent Fosun Pharma said it was looking to sell its majority stake in Gland Pharmathe company has announced its...

Dong Ju keeps seeing Tae Hee behind Chung Ha’s back! WATCH

A lot has happened in Tae Hee's life, but Dong Ju managed to handle the situation. Many twists and turns have come in...

Vikram Kirloskar: The MIT engineer who loved building factories

Vikram KirloskarHis love for engineering brought him to one of the world's best institutes - MIT. As a trainer, his job was...

A great revelation and a dramatic scandal! Who’s to blame? WATCH

As the cast of Kingdom Of Love is about to wrap up their shoot and head home, our protagonists take a serious step towards...

House is about to pass a bill to avert an impending railroad strike

WASHINGTON — House lawmakers are poised to pass legislation Wednesday to stave off a catastrophic railroad strike that President Joe Biden warned could threaten...