Vedanta Resources net earnings jump 35%

India-focused mining group, Vedanta Resources Plc, today reported a jump of 35 per cent in earnings to $895.4 million in the October-December quarter of 2010, boosted by robust metal production.

The company had an earnings before interest, tax, depreciation and amortisation (EBITDA) of $662.5 million in the quarter ended December 31, 2009, Anil Agarwal-led Vedanta said in a statement. Vedanta's total revenues increased to $3.07 billion in the third quarter ended December 31 from $2.14 billion in the year-ago period. Thus, registering a growth of 43.5 per cent.

The company attributed its strong quarterly earnings to strong metals prices and higher output. The company has registered a record mined metal production volumes at Zinc-Lead and Copper-Zambia operations. Mined metal production in the third quarter was a record 222,000 tonnes, 11 per cent higher than the corresponding prior period. While the integrated copper cathode production was 34,000 tonnes in the quarter under review, 21 per cent more than the year-earlier.

The London-listed firm's copper business in India was 7 per cent lower at 79,000 tonnes in the third quarter due to a temporary shutdown ordered by the Madras High Court last year.

Third-quarter production of refined zinc, Vedanta's one of the most profitable product, surged 20 per cent to 178,000 tonnes, on account of acquisition of Anglo's Skorpion mine in Namibia. During the nine months period to December, Vedanta's EBIDTA's stood at $2.24 billion, while revenues were $7.65 billion.