 "Hindalco hits 23-months high on Novelis good Q2 results")
Hindalco Industries was up 3% at Rs 172 on BSE, its highest level since December 2014, after the company’s wholly owned subsidiary, Novelis Inc has reported good set of numbers for the second quarter ended September 30, 2016 (Q2FY17).
Novelis, the world leader in aluminum rolling and recycling, said adjusted EBITDA ((earnings before interest, taxes, depreciation, and amortization) for Q2FY17 increased to $256 million from $182 million in the prior year period. Excluding metal price lag in both periods, Adjusted EBITDA increased 14% to $270 million.
“The increase was primarily driven by productivity gains, better metal mix, and favorable foreign exchange gains, partially offset by higher employment costs,” Novelis Inc said in a release.
"Our recurring strong EBITDA performance is a result of strategic investments in new capacity, driving positive portfolio mix and efficiency gains through metal input optimization. We are confident this strategy, coupled with plant productivity and asset efficiency, will continue to drive enhanced operational performance and a stronger product portfolio,” said Steve Fisher, President and Chief Executive Officer for Novelis. LINK
Novelis, the world leader in aluminum rolling and recycling, said adjusted EBITDA ((earnings before interest, taxes, depreciation, and amortization) for Q2FY17 increased to $256 million from $182 million in the prior year period. Excluding metal price lag in both periods, Adjusted EBITDA increased 14% to $270 million.
“The increase was primarily driven by productivity gains, better metal mix, and favorable foreign exchange gains, partially offset by higher employment costs,” Novelis Inc said in a release.
"Our recurring strong EBITDA performance is a result of strategic investments in new capacity, driving positive portfolio mix and efficiency gains through metal input optimization. We are confident this strategy, coupled with plant productivity and asset efficiency, will continue to drive enhanced operational performance and a stronger product portfolio,” said Steve Fisher, President and Chief Executive Officer for Novelis. LINK
The board of directors of Hindalco Industries will meet on Saturday, November 12, 2016, to consider the unaudited financial results of the company, for Q2FY17.
“Hindalco’s consolidated EBITDA is estimated to increase 4% QoQ to Rs 3,100 crore, led by Novelis as well as an increase in copper with production normalizing post the shutdown in 1Q,” Motilal Oswal Securities said in Q2 results preview.
“Hindalco’s standalone revenues are forecast to improve by 3.3% YoY with higher aluminium volumes offset by sharply lower aluminium and copper realizations. EBITDA at Rs 1,010 crore would improve by 67% YoY with improved profitability from the aluminium segment due to lower costs. We expect a profit of Rs 220 crore as compared to a loss of Rs 20 crore in Q2FY16,” Antique Stock Broking said in a report.
Thus far in calendar year 2016, the stock outperformed the market by surging 102% from Rs 85, as compared to 5% rise in the S&P BSE Sensex.
At 10:34 am, the stock was up 2% at Rs 171 on BSE, against 0.01% rise in the benchmark index. A combined 9.99 million shares changed hands on the counter on BSE and NSE.
“Hindalco’s consolidated EBITDA is estimated to increase 4% QoQ to Rs 3,100 crore, led by Novelis as well as an increase in copper with production normalizing post the shutdown in 1Q,” Motilal Oswal Securities said in Q2 results preview.
“Hindalco’s standalone revenues are forecast to improve by 3.3% YoY with higher aluminium volumes offset by sharply lower aluminium and copper realizations. EBITDA at Rs 1,010 crore would improve by 67% YoY with improved profitability from the aluminium segment due to lower costs. We expect a profit of Rs 220 crore as compared to a loss of Rs 20 crore in Q2FY16,” Antique Stock Broking said in a report.
Thus far in calendar year 2016, the stock outperformed the market by surging 102% from Rs 85, as compared to 5% rise in the S&P BSE Sensex.
At 10:34 am, the stock was up 2% at Rs 171 on BSE, against 0.01% rise in the benchmark index. A combined 9.99 million shares changed hands on the counter on BSE and NSE.
