Hindustan Zinc net grows 17%

CORPORATE SCORECARD

Riding on higher metal prices, the Vedanta group firm Hindustan Zinc (HZL) today reported 17 per cent jump in net profit at Rs 935 crore as its revenues grew by 14 per cent to Rs 2,021 crore.

The company attributed the higher net profits to higher metal volume and prices. "Average zinc prices on the LME (London Metal Exchange) for FY07 was $3,580 as compared with $1,614 during FY06," the company said in a statement after the board meeting held here today. For the FY07, revenues were up by 120 per cent to Rs 8,560 crore and net profit was 202 per cent to Rs 4,442 crore.

The company's shares closed by Rs 12.75 to Rs 667.60 a share.

The Anil Agarwal-owned metal firm said its production for the March quarter and FY07 were 94,856 tonnes and 348,316 tonnes, respectively, an increase of 4 per cent and 23 per cent over the corresponding periods. The increase in production was primarily due to the ramp-up of new hydro smelter at Chanderiya. On its projects, the company said the 170,000 tonnes expansion project at Chanderiya and the corresponding expansion at the Agucha mine were progressing well and on schedule for commissioning in early 2008.

The 88,000 tonnes debottlenecking project at Chanderiya and Debari zinc smelters is also progressing according to schedule.