Hindalco gains as Novelis successfully commissions casting operations

Hindalco Industries gained 2.34% to Rs 166.40 at 14:05 IST on BSE, after the company's US subsidiary Novelis successfully cast the first production-sized ingot at its 200 million Euro aluminium recycling and casting center in Nachterstedt, Germany.

Meanwhile, the S&P BSE Sensex was up 54.37 points or 0.21% at 25,528.26

On BSE, so far 10.74 lakh shares were traded in the counter, compared with an average volume of 11.34 lakh shares in the past one quarter.

The stock hit a high of Rs 168.85 and a low of Rs 162 so far during the day. The stock hit a 52-week high of Rs 174 on 6 June 2014. The stock hit a 52-week low of Rs 83.05 on 7 August 2013.

The stock had outperformed the market over the past one month till 11 June 2014, gaining 13.11 % compared with the Sensex's 10.78% rise. The scrip also outperformed the market in past one quarter, advancing 38.5% as against Sensex's 16.71% rise.

The large-cap company has an equity capital of Rs 206.46 crore. Face value per share is Re 1.

Hindalco Industries' US subsidiary Novelis announced on Wednesday, 11 June 2014 that it successfully cast the first production-sized ingot - almost 10 meters long - at its 200 million Euro aluminium recycling and casting center in Nachterstedt, Germany.

Located adjacent to the company's existing aluminium rolling mill, the new plant will produce up to 400,000 metric tons of aluminium sheet ingot from recycled material annually, and is projected to be the world's largest aluminium recycling center, Novelis said.

The new recycling center will support the company's drive to significantly expand its recycling activity in Europe, a region in which Novelis is already the leading recycler of used beverage cans. The center will process cans as well as numerous other forms of aluminium scrap from across continental Europe, Novelis said.

We are very pleased with the steady progress on the construction and ramp-up of our recycling center in Nachterstedt, said Erwin Mayr, Senior Vice President of Novelis and President, Novelis Europe. This major investment further highlights our long-term sustainability commitment to dramatically increase the recycled content of our products across all market segments and save valuable natural resources, while enabling our customers to create products with a smaller environmental footprint.

Hindalco Industries' net profit declined 48.5% to Rs 248.15 crore on 19.7% growth in total income to Rs 8647.53 crore in Q4 March 2014 over Q4 March 2013.

Hindalco Industries is the world's largest aluminium rolling company and one of the biggest producers of primary aluminium in Asia. Its copper smelter is the world's largest custom smelter at a single location.

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