The Business Bytes
New Delhi, August 2, 2024 (TBB Bureau): Hindustan Zinc Ltd (HZL) on Friday announced a remarkable 19.4 per cent increase in net profit, reaching Rs 2,345 crore for the April-June quarter (Q1) of the current financial year (FY25), up from Rs 1,964 crore in the corresponding peiod of the previous fiscal (FY24).
The company’s revenue from operations saw an 11 per cent rise, amounting to Rs 7,893 crore compared to Rs 7,111 crore in the corresponding quarter of the previous financial year. This growth was fueled by higher metal volume and improved silver prices. The EBITDA for the quarter stood at Rs 3,946 crore, marking an 18 per cent year-on-year increase.
Breaking down the figures, the zinc, lead, and others segment generated Rs 6,421 crore in revenue for Q1. The silver segment reported a revenue of Rs 1,427 crore, while wind energy posted Rs 45 crore. HZL, which commands approximately 75 per cent of the domestic market share, recorded a 14 per cent rise in zinc sales for the first quarter. Additionally, the company, now the world’s third-largest silver producer, saw a 10 per cent growth in silver sales, buoyed by favorable market prices.
Arun Misra, CEO of Hindustan Zinc Ltd, highlighted the company’s impressive start to the fiscal year. “We have started the year on a strong note, recording our highest-ever first quarter mined and refined metal production, leveraging strong metal prices during the quarter. We have expedited the commencement of our renewable energy power delivery with the receipt of the first flow of RE power from the Serentica 180 MW solar project in May 2024,” said Misra.
Looking ahead, Misra revealed plans for diversification into high-end sectors. “We are exploring strategic partnerships to utilize waste streams for extracting saleable products and supplying materials for next-generation nickel-zinc batteries,” he added.
Hindustan Zinc Ltd’s robust performance in Q1 underscores its strategic growth initiatives and solidifies its position as a leading player in the mining sector.
