In This Article:
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Mined Metal Production: 265,000 tonnes in Q3, up 3% sequentially; 784,000 tonnes for nine months.
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Refined Metal Production: 259,000 tonnes in Q3; 783,000 tonnes for nine months.
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Silver Production: Expected 700-710 tonnes for the year.
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Zinc Cost of Production (COP): USD 1,041 per tonne in Q3, down 5% YoY.
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Revenue: INR 8,614 crore in Q3, up 18% YoY; INR 24,996 crore for nine months, up 17% YoY.
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EBITDA: INR 4,539 crore in Q3, up 28% YoY; INR 12,649 crore for nine months, up 26% YoY.
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Profit After Tax: INR 2,678 crore in Q3, up 32% YoY; INR 7,350 crore for nine months, up 28% YoY.
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EBITDA Margin: 53% in Q3, up 400 bps YoY.
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Free Cash Flow (pre CapEx): INR 2,628 crore in Q3; INR 9,664 crore for nine months.
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Market Share in India: 77%.
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Total Shareholder Return: 62% (INR 181 per share).
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Market Capitalization Increase: INR 64,000 crore during the financial year.
Release Date: January 28, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Hindustan Zinc Ltd (BOM:500188) achieved its highest ever mined and refined metal production on a nine-month basis.
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The company recorded zero fatalities this quarter, highlighting a strong safety culture.
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Hindustan Zinc Ltd (BOM:500188) was recognized as a global leader in sustainability among 248 metals and mining companies.
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The company achieved a 32% year-on-year growth in profit after tax, driven by cost reduction and operational excellence.
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Hindustan Zinc Ltd (BOM:500188) maintained a healthy market share of 77% in the domestic zinc market.
Negative Points
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Refined metal production was slightly down sequentially due to maintenance activities.
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The company faced challenges in obtaining visas for Chinese partners, impacting operational efficiency.
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Silver production guidance may not be met due to changes in mine sequencing and plant shutdowns.
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Renewable energy usage in the total energy mix was lower than expected, at 15% instead of the targeted 25-30%.
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There were design inefficiencies in the fumer, affecting production capacity, though improvements are underway.
Q & A Highlights
Q: Can you quantify the hedging gain for this quarter and any fresh exposures taken? A: We logged a hedging gain of INR58 crore in the nine months, with INR64 crore in other comprehensive income to flow into Q4. The open quantity is around 14,000 tonnes of zinc, and no fresh exposures were taken this quarter. - Sandeep Modi, CFO
Q: What was the impact of maintenance-related shutdowns on production? A: The shutdowns resulted in a loss of approximately 5,000 to 6,000 tonnes of metal production. - Arun Misra, CEO