Hindalco Q3 Results Review - Subdued Performance; Outlook Positive: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Motilal Oswal Report.Hindalco Industries Ltd.'s consolidated net sales rose 6% YoY (down 5% QoQ) to Rs 532 billion, 6% above our estimate of Rs 501 billion. Sales were driven by record-high production at the aluminum upstream vertical and better copper realizations.Consolidated Ebitda fell 52% YoY and 34% QoQ to Rs 35 billion, 39% below our estimate of Rs 58 billion. Ebitda was impacted by rising input costs, an adverse forex impact and unfavorable macros. Copper Ebitda rose 40% YoY to Rs 5.5 billion, significantly above our estimate, led by higher volumes of cold coil rods, higher realisations and better treatment/refining charges. India aluminum sales volume rose 7% YoY to 349 thousand tonne, while copper sales volume was down 1% YoY at 109 kt. Trial production has started at the new 34 kt aluminum extrusion facility at Silvassa. Hindalco's adjusted profit after tax was down 60% YoY and 38% QoQ at Rs 14 billion due to a decline in Ebitda and higher interest expenses. For nine months-FY23, sales rose 20% YoY to Rs 1,673 billion, while Ebitda/profit after tax declined 18%/20% to Rs 173 billion/Rs 77 billion..Click on the attachment to read the full report:.Hindalco Q3 Results: Profit Misses Estimates On Lower Margin, Cost Pressures.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Hindalco Q3 Results Review - Subdued Performance; Outlook Positive: Motilal Oswal

. Sales were driven by record-high production at the aluminum upstream vertical and better copper realizations

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