Hindustan Zinc Q4 net profit up 53%

Vedanta group firm Hindustan Zinc ltd (HZL) today reported 53.29% jump in net profit at Rs 2,165.81 crore for the January-March quarter on the back of higher revenues and rupee depreciation.

The company had clocked net profit of Rs 1,412.84 crore in the fourth quarter of 2011-12 fiscal.

Total income from operations was up 24.67% to Rs 3,908.65 crore during Q4, 2012-13, vis-a-vis Rs 3,135 crore in the same quarter in 2011-12, the company said.

"The increase was primarily on account of increased silver sales and INR depreciation, partially offset by lower metal prices and Zinc volumes," the company said.

It recorded highest-ever silver production in Q4 and the income from the business rose 49% to Rs 611 crore.

Zinc sales in Q4 were up 25% at Rs 2,655 crore, while lead business was up 7% at Rs 443 crore. Mined metal output was up 16% at 260,000 tonne.

During the quarter, the company's expenditure went up by 16.52% to Rs 1,914.56 crore.

HZL Chairman Agnivesh Agarwal said: "Our record performance has set the tone for future. We are now focusing on our next phase of growth, which will reinforce our global leadership and maintain our low-cost positioning."

For the entire 2012-13 fiscal, HZL reported 24.85% jump in its net profit at Rs 6,899 crore. The company had clocked net profit of Rs 5,526 crore in 2011-12.

Total income from operations was up 11.35% to Rs 12,699.84 crore, vis-a-vis Rs 11,405 crore in 2011-12.

HZL's income from silver business rose by 70% to Rs 2,093 crore during 2012-13 due to 69% increase its production at 408 tonnes.

However, sales from Zinc business was flat at Rs 8,289 crore during the year while lead business was up 31% at Rs 1,497 crore in FY 13. Production of mined metal was up 5% at 870,000 tonnes.

HZL also reported a decline of 35% in tax expenses to Rs 920.64 crore in the year.

During the fiscal, the company's expenditure went up by 15.44% to Rs 6,865.24 crore.

"The total dividend for FY 2013 is 155%, Rs 3.10, against FY 2012 dividend of 120% and is the highest ever dividend proposed by the company," it said.

The company said it will increase mined metal production capacity to 1.2 million tonne per annum (MTPA).

"Rampura Agucha underground mine and Kayad mine produced development ore in the second half of FY 2013 and will start commercial production in FY 2014," it added.

As on March 31, HZL had cash and cash equivalents of Rs 21,479 crore.

HZL scrip closed at Rs 118.75 on the BSE, up 4.21% from the previous close.