Hindalco Q1 net profit surges 25 per cent: Here are 10 key points

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Hindalco Industries reported on Tuesday, 13 August its Q1 FY25 net profit rose 25 percent on-year to Rs 3,074 crore, missing Street expectations. The Aditya Birla group company said its April-June consolidated revenue from operations rose 7.5 percent to Rs 57,013 crore. A Bloomberg poll of brokerage estimates pegged Hindalco's fiscal first-quarter net profit at Rs 3,428 crore, and consolidated revenue at Rs 56,236.4 crore.

The profit growth comes amid strong performance across its business segments, with the Copper business clocking  EBITDA of Rs 805 crore, up 52 percent YoY, backed by higher average copper prices and robust operations.

Moneycontrol looks at the key highlights from the company’s first-quarter results:

• On a standalone basis. Hindalco net profit stood at Rs 1,471 crore, up 100 per cent YOY, while revenue surged 11 percent at Rs 22,155 crore.
• Consolidated  EBITDA was at Rs 7,992 crore (vs Rs 6,109 crore) in Q1 FY25, up 31% YoY, driven by lower input costs and higher volumes.
• Q1  Aluminium Upstream EBITDA stood at Rs 3,493 crore in Q1 FY25, compared with Rs 1,935 crore for Q1 FY24, up 81 percent YoY supported by lower input costs. Downstream EBITDA was down 19 percent YOY at Rs 110 crore,  impacted by unfavourable product mix and lower realizations.
• Copper business EBITDA in Q1 FY25, up 52 percent YoY on account of higher average copper prices and robust operations.
• Hindalco expects Growth in FY25 to be driven by a revival in private consumption and sustained investment activity.
• Total renewable capacity stands at 173 MW (largely solar and wind), co to add 16 MW Solar in Q2 with another 9 MW solar by Q4 FY25.
• Net debt as of June 30, 2024, stood at Rs 35,530 crore, up from Rs 31,536 crore as of March 31.  Consolidated net debt-EBIDTA was at 1.24 in Q1.
• Novelis reported an adjusted EBITDA of $500 million (vs $421 million), up 19 percent YoY supported by higher shipments and favourable product pricing.
• In India, co focus on Downstream expansion as Silvassa Extrusion ramps up and the Aditya FRP project is expected to commission by FY26 to take downstream capacity to 600 Kt.
• "Our strong Q1 results ride on the back of consistent operational excellence and cost optimization which allowed us to leverage the higher average metal prices,"  said CEO Satish Pai.