Hindalco Industries Limited, the Aditya Birla Group metals flagship, on Friday reported its highest ever net profit in Q2 FY22, surpassing all previous quarterly performances.
The company's consolidated PAT surged 783% to Rs 3,417 crore, a multifold rise of nearly nine times year-on-year (YoY).
Its net profit stood at Rs 387 crore in the year-ago period. Consolidated revenue for Q2 was Rs 47,665 crore compared to Rs 31,237 crore in the same period last year, a jump of 53% YoY.
"Our record-breaking performance this quarter is an affirmation of our fully integrated business model, which powers our performance in both upstream and downstream markets," said Satish Pai, Managing Director, Hindalco Industries.
"Hindalco reported standout performances across all business segments: Indian Aluminium Business set a near global industry record by achieving EBITDA margin of 42%. Copper Business delivered the highest-ever quarterly sales in Q2, with both smelters running optimally to meet the robust market demand. Novelis once again achieved a record EBITDA per ton driven by higher volumes and favourable metal prices," he added.
The results were driven by an exceptional performance by Novelis and India Business, supported by favourable macros, strategic product mix, higher volumes, and stability in operations, the company said in a statement.
Novelis recorded quarterly adjusted EBITDA of $553 million (vs $455 million), up 22% YoY, on the back of higher volumes, favourable product mix and metal benefits.
"Novelis continued to report a high quarterly EBITDA, as a result of an upswing in demand for innovative and sustainable aluminium products, high recycled contents and an outstanding operational performance despite challenges in the automotive segment due to the global semiconductor chip shortage impacting the automotive industry," the statement added.
"Our product-rich portfolio strategy continues to deliver results across diverse market scenarios. It encourages us to keep building the downstream asset base and expand our market footprint," Pai further stated.
"The recent Ryker copper rod unit acquisition is in keeping with our downstream capex (capital expenditure) plans announced earlier this year. We also continue to push our ESG (environment, social and governance) agenda and goals to meet our sustainability vision on net neutrality, water positivity, zero discharge and more," he added.
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