Vedanta Q1 EBITDA halves as price falls hit revenue

Written by Reuters | Updated: Jul 31 2009, 18:21pm hrs
India-focused metals group Vedanta Resources said on Friday that first-quarter core earnings had more than halved after a sharp decline in metals prices.

Vedanta said EBITDA (earnings before interest, tax, depreciation and amortisation) fell to $354.7 million from $739 million a year ago after revenue dropped by a third to $1.36 billion from $2.02 billion.

This compares to a consensus forecast of $344.5 million compiled by the company from 10 analysts.

The falls in earnings and revenue came despite a rise in production.

The London-listed firm said refined zinc production in the three months to end June rose 8.6 percent to 139,000 tonnes, iron ore output rose by 8.3 percent to 4.94 million tonnes while copper cathode output in India rose 14.7 percent to 78,000 tonnes.