Hindalco Q1 results: Net profit rises 25% YoY to ₹3,074 crore, revenue grows 8%

The increase in net profit, due to operational efficiencies and lower input costs, marked a 25.2% jump as compared ₹2,454 crore clocked in the April-June quarter of the previous fiscal year.

The consolidated revenue for the first quarter stood at ₹57,013 crore, up 8% year-on-year (YoY) on account of better realisations and efficiencies in India operations.

After the results were out, Hindalco shares edged lower on the bourses. At 3:25 pm, the scrip was trading 1.46% lower at ₹620.15 apiece on the NSE. The decline could be linked to the net profit missing the estimates, analysts said.

Although the net profit in Q1FY25 climbed 25.2% YoY to ₹3,074 crore, it was lower than the estimate of ₹3,428 crore, as shared by the analysts tracked by Bloomberg.

Total income up 7% YoY

The company's total income during the quarter under review rose to ₹57,437 crore, up 7% over ₹53,382 crore in the year-ago period.

"Hindalco reported an EBITDA of ₹7,992 crore (vs ₹6,109 crore) in Q1FY25, up 31% YoY, driven by lower input costs and higher volumes," the statement said.

"Our strong Q1 results ride on the back of consistent operational excellence and cost optimisation which allowed us to leverage the higher average metal prices.

"The copper business achieved its highest quarterly EBITDA driven by high domestic sales (especially downstream products), healthy by-product credits and better operational efficiencies following a successful planned shutdown," Satish Pai, Managing Director, Hindalco Industries said.

The Aluminium India Upstream business recorded an 81% growth in EBITDA over the previous year, he said.

"Looking ahead, the major capital formation phase of the downstream business is near completion, and from here on, we will explore growth opportunities in the upstream business given our strong cash position," he explained.

The company said its copper business delivered a new record-breaking performance in the first quarter, with EBITDA at an all-time high of ₹805 crore, up 52% YoY, backed by higher average copper prices and robust operations.

A $26 billion metals powerhouse, Hindalco is the world's largest aluminium company by revenues, and the world's second largest Copper rods manufacturer (outside China).

Hindalco operates across the value chain, from bauxite mining, alumina refining, coal mining, captive power plants and aluminium smelting to downstream rolling, extrusions, and foils. Along with its subsidiary Novelis, Hindalco is the global leader in flat-rolled products and the world's largest recycler of aluminium.

Hindalco is the country's largest copper producer, serving more than half the nation's copper requirements. Its copper facility in Gujarat, comprises a copper smelter and refinery complex,downstream facilities, and a captive jetty.

Hindalco's global footprint spans 52 manufacturing units across 10 countries.