Hindalco Industries Q1 Results: Profit Rises On Novelis Boost
Hindalco's Q1 profit rose, aided by the performance of its U.S. subsidiary Novelis.
Hindalco Industries Ltd.'s first-quarter profit rose despite higher costs, aided by the performance of its U.S. subsidiary Novelis Inc.
Profit after tax rose 6.7% over the previous quarter to Rs 4,119 crore in the three months ended June, according to its exchange filing. That surpassed Rs 2,852 crore, the average of analysts estimates for profit compiled by Bloomberg.
The Aditya Birla Group flagship reported its highest-ever net profit despite rising costs and inflationary pressures, according to the filing.
Hindalco Q1 FY23 Key Highlights (Consolidated, QoQ)
Revenue from operations rose 4% to Rs 58,018 crore against the estimate of Rs 49,344 crore.
Ebitda rose 13.7% to Rs 8,640 crore.
Ebitda margin stood at 14.9% versus 13.6%.
The results were driven by an "excellent performance" by Novelis, and a robust performance by aluminium downstream and copper businesses, supported by operational efficiencies and higher volumes, the company said. "Novelis reported its best-ever quarterly EBITDA and EBITDA per ton, primarily due to higher product pricing, favourable product mix and recycling benefits."
Shares of Hindalco pared some gains after the earnings were announced but were still trading 4.85% higher as of 2:27 p.m. compared to an almost unchanged Nifty 50.