Hindustan Zinc on Friday reported a 21% drop in its March quarter consolidated net profit to Rs 2,038 crore versus profit after tax (PAT) of Rs 2,583 crore recorded in the corresponding quarter of the last financial year. This was its sixth consecutive quarter of declining profit. The revenue from operations stood at Rs 7,285 crore in the reported quarter, down 12% from Rs 8,281 crore reported in the year-ago period.
However, the Q4FY24 PAT was up on a sequential basis from Rs 2,028 crore in Q3FY24. The revenue also grew from Rs 7,067 crore reported in the previous quarter.
The results were announced during market hours and the stock traded at Rs 397.25 on the NSE at 2:30 pm, down by Rs 7.50 or 1.85%.
For the full financial year, the consolidated PAT stood at Rs 7, 759 crore down from Rs 10,511 crore in the year ago on the back of lower revenue of Rs 28,082 crore in FY2024 versus Rs 33,272 crore in FY2023.
The company filing claimed that the Vedanta subsidiary posted record annual silver and metal productions with strong cost resilience amid lower zinc prices.
Hindustan Zinc is now the third largest silver producer globally, with highest annual silver production, up 5% YoY, the filing stated. The company reportedly holds the second largest zinc reserves and resources globally.The quarterly revenue was up 3% and company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) was up by 2%.
Commenting on the performance, CEO Arun Misra said, “FY 2023-24 has been a year of solid growth for HZL, with mined metal, refined metal, and silver recording its highest historic production levels, supported by a backdrop of fatality-free operations. As part of our strategy, it was driven by our increased focus on silver & metal production and cost optimisation\”.
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