Hindalco Industries Ltd on Tuesday released its fiscal fourth quarter earnings with profit at Rs 5,283 crore, posting a jump of 66.45 per cent in comparison to Rs 3,174 crore recorded during the corresponding quarter of FY24. It recorded revenue from operations at Rs 64,890 crore, up 15.89 per cent as against Rs 55,994 crore reported during the fourth quarter of previous financial year. In a regulatory filing, the company said that the outstanding results were driven by a strong performance by the Indian operations, supported by favourable macros and lower input costs.
For the full year, Hindalco reported revenue at Rs 2,38,496 crore, up 10 per cent with an all-time high consolidated EBITDA at Rs 35,496 crore, up 38 per cent.
Satish Pai, Managing Director, Hindalco Industries, said, “Hindalco delivered an all-time high performance in FY25, driven by strong operational resilience, cost discipline, and continued momentum across all our businesses.”
Q4 performance across segments
Novelis:
For the segment, shipments were recorded at 957 KT, up 1 per cent YoY. Revenue, meanwhile, was recorded at $4.6 billion, up 13 per cent driven by higher average aluminium prices. Adjusted EBITDA stood at $473 million, down 8 per cent impacted by higher aluminium scrap prices and operating costs, partially offset by higher product pricing. The segment recorded net income at $294 million, up 77 per cent primarily driven by favourable metal price lag, gains in unrealized derivatives, and a lower income tax provision. Novelis commissioned two recycling centres (UAL, Guthrie) during FY25 to drive increased scrap consumption. “Despite headwinds, Novelis delivered a resilient performance with strong shipments in both the fourth quarter and the full year, led by robust demand for beverage packaging,” the company said in the exchange filing.
Aluminium (India):
Quarterly upstream revenue was recorded at Rs 10,311 crore, up 22 per cent YoY. It posted aluminium upstream EBITDA at Rs 4,838 crore, up 79 per cent YoY driven by lower input costs and favourable macros. Hindalco secured Meenakshi coal mines with an annual capacity of 12 million tonnes, boosting resource securitization.
Sale of aluminium downstream, meanwhile, came in at 105 KT, flat YoY. Downstream revenue stood at Rs 3,595 crore, up 23 per cent YoY. The company recorded aluminium downstream EBITDA at Rs 219 crore, up 52 per cent due to favourable product mix. During the period, 10,000 aluminium battery enclosures were delivered for Mahindra’s e-SUVS – BE 6 and XEV 9e, from Hindalco’s dedicated EV component manufacturing facility in Chakan.
Copper (India): Copper metal sales were at 135 KT, flat YoY. It recorded Copper Continuous Cast Rod (CCR) sales at 109 KT, up 12 per cent. Revenue for the segment came in at Rs 14,565 crore, up 8 per cent. It maintained a healthy EBITDA of Rs 614 crore, despite sharply declining TC/RCs.
“Our Aluminium Upstream business in India remained a strong anchor, complemented by robust growth in the downstream business. The Copper business achieved a record EBITDA backed by strong value added product sales. Despite tighter scrap spreads, Novelis delivered a resilient performance through increased beverage can shipments. Hindalco is poised to enter a phase of accelerated growth backed by robust resource security in bauxite and coal and strengthened by strategic investments across Aluminium and Copper. Our copper smelter expansion, e-waste recycling and copper value-added products, are progressing steadily, while in Specialty Alumina, we are scaling up with a differentiated, high-value portfolio,” Satish Pai said.
Dividend announcement
The company board recommended a dividend of Rs 5 per equity share of Rs 1 each for the financial year ended March 31, 2025, subject to the approval of Shareholders at the ensuing Annual General Meeting of the Company.
Acquisition announcement
The company board approved the acquisition of 100 per cent equity stake in EMMRL, a wholly owned subsidiary of Essel Mining & Industries Limited (EMIL) for a consideration of Rs 48 lakh along with net debt value of Rs 1131 crore. EMMRL is the lease holder of the Bandha coal block.
“The company’s strategic objective is to double down its upstream capacities. The proposed acquisition aims to meet the company’s strategic objective of securing resources for its aluminium smelters. As Bandha coal block has resources of ~197 Million Tonne mineable reserves, mine-life of around 45 years and a location of about 20 Kms (aerially) from company’s Mahan power plant and smelter, it builds a sustainable coal supply chain for the foreseeable future with all three modes of transport, namely, rail, road, and conveyor possible and provides fuel security,” it informed the exchanges.