Hindalco Q2 net up 10% at Rs 250.3 cr

BS 200 SCORECARD

Hindalco, the Aditya Birla group major, has reported a 10 per cent increase in its net profit at Rs 250.3 crore for the quarter ended September 30, 2004, compared with a net profit of Rs 227.7 crore, posted for the corresponding quarter of the previous year.

The company reported a 38.2 per cent increase in its net sales at Rs 2,046 crore for the quarter, compared with net sales of Rs 1,480.9 crore recorded in the corresponding period of the previous year.

Debu Bhattacharya, managing director, Hindalco, said, "the margins were impacted due to an unprecedented second cut in the copper import tariffs.

However, the aluminium business has witnessed a very good quarter." The company has outlined an investment of $320 million to increase its alumina capacity from 1.1 million tonne to 1.8 million tonne in the next two years.

The alumina capacity at Muri will be enhanced to 5 lakh tonne per annum by October 2006, from the existisng 1.1 lakh tonne, at an investment of $170 million. The capacity at Belgaum will be increased to 6.5 lakh tonne per annum by July 2007, from the current 3.5 lakh tonne, with an investment of $150 million.

While interest and financing charges declined 5.6 per cent at Rs 39.8 crore, against Rs 42.2 crore, depreciation costs increased 14.8 per cent at Rs 89.3 crore, compared with 77.8 crore, in the corresponding period of the previous year.