Hindustan Zinc Q1 profit rises 81% to Rs1,876 crore
Mumbai: Hindustan Zinc Ltd on Thursday reported an 80.9% jump in net profit to Rs1,876 crore for the quarter ended June from a year earlier on the back of a 78.8% rise in revenue to Rs5,013 crore.
Earnings before interest, taxes, depreciation and amortization (Ebitda) in the quarter rose by 110.8% from the year ago-quarter as Ebitda margin expanded by over 720 basis points to 47.6%.
Mined metal production rose 84% from the year-ago period to 233 kilo tonne (KT), primarily on account of higher volumes from all mines, higher zinc grade and depletion of opening stock, the Vedanta Group company said in a statement.
A 35% rise in zinc futures and a 26% rise in lead futures traded at the London Metal Exchange (LME) also aided revenue growth.
The company, however, said the cost incurred to produce zinc rose 2% to Rs62,698 crore from the year-ago period because of higher coal and commodity prices and lower acid realization.
Hindustan Zinc said it maintains its volume guidance for the full year with the dollar cost of production being slightly higher than in FY17.
In April, the company had guided that it would end FY18 with zinc-led production at around 950 KT and silver production at over 500 MT.