Hindalco Industries Ltd on Tuesday reported profit for the first quarter of FY25 at Rs 3,074 crore, up 25.3 per cent in comparison to Rs 2,454 crore during the corresponding quarter of FY24. The company said that the profit growth was supported by favourable macros, operational efficiencies and lower input costs. It posted revenue from operations at Rs 57,013 crore, up 7.6 per cent as against Rs 52,991 crore during the same period of previous financial year, on account of better realisations and efficiencies in India operations. Hindalco reported an EBITDA of Rs 7,992 crore in Q1FY25, up 31 per cent YoY, driven by lower input costs and higher volumes.
Satish Pai, Managing Director, Hindalco Industries, said, “Our strong Q1 results ride on the back of consistent operational excellence and cost optimization which allowed us to leverage the higher average metal prices.”
Hindalco Industries’ Q1 performance across business verticals
Novelis: The business vertical recorded total shipments of flat rolled products at 951 KT in Q1FY25 vs 879 KT in Q1FY24, up 8 per cent, supported by normalised demand for beverage packaging sheets. Novelis’ revenue in Q1FY25 stood at $4.2 billion, up 2 per cent YoY, driven by higher average aluminium prices YoY and higher shipments. Net income attributable to the common shareholder, was $151 million in Q1FY25, down 3 per cent YoY due to initial charges associated with flooding at the Sierre plant, Switzerland, caused by unprecedented heavy rainfall in end-June, as well as higher restructuring and unfavorable metal price lag, largely offset by higher Adjusted EBITDA.
Aluminium (India): Hidalco reported quarterly upstream revenue for the business at Rs 8,839 crore in Q1FY25 vs Rs 8,064 crore in the prior year period. Aluminium Upstream EBITDA stood at Rs 3,493 crore in Q1FY25, up 81 per cet YoY supported by lower input costs. Downstream revenue was at Rs 2,868 crore in Q1FY25 vs Rs 2,435 crore in the prior year period. Sales of Downstream Aluminium stood at 96 KT, up 18 per cent YoY.
Copper: Quarterly revenue from the Copper Business stood at Rs 13,292 crore, up 16 per cent YoY, on account of higher shipments and realisation. EBITDA for the Copper Business was at an all-time high of Rs 805 crore in Q1FY25, up 52 per cent YoY backed by higher average copper prices and robust operations. Quarterly Copper metal sales were at 119 KT. Copper Continuous Cast Rod (CCR) sales were at 100 KT in Q1 FY25 (vs 98 KT), up 2 per cent YoY in line with growing market demand for value added products.
Satish Pai said, “The Copper business achieved its highest quarterly EBITDA driven by high domestic sales (especially downstream products), healthy by-product credits and better operational efficiencies following a successful planned shutdown. The Aluminium India Upstream business recorded an 81 per cent growth in EBITDA over the previous year. At 40 per cent, it has registered the highest EBITDA margins globally. Novelis’ EBITDA per tonne at $525, was up 10 per cent YoY, primarily due to increased volumes led by normalized beverage can shipments. Looking ahead, the major capital formation phase of the downstream business is near completion, and from here on, we will explore growth opportunities in the upstream business given our strong cash position.”
Appointments
The Board of Hindalco Industries Limited also inducted Ananya Birla, and Aryaman Vikram Birla as Directors. Commenting on their appointment, Kumar Mangalam Birla, Chairman, Aditya Birla Group, said, “As the metals flagship company of the Aditya Birla Group, Hindalco is driving a greener, stronger, and smarter world through sustainable practices, innovation in materials, recycling, and responsible resource management. Over the years, Hindalco has leveraged its position as the world’s largest aluminium recycling and rolling company to set new benchmarks in sustainability and industry leadership. Hindalco is now in the midst of yet another transformational growth phase, co-creating solutions that will harness the potential of aluminium and copper to drive the global energy transition and support the shift to a low-carbon future. This is, therefore, an appropriate moment for the board to induct Ananya and Aryaman as Directors. Given their strong business acumen and sharp focus on sustainability, I am confident that they will provide valuable perspectives that align with Hindalco’s strategic vision for a sustainable future.”
Ananya Birla and Aryaman Vikram Birla joined the boards of the Group’s flagship companies, Grasim Industries and Aditya Birla Fashion and Retail, in 2023. They were also appointed as Directors on the board of Aditya Birla Management Corporation Pvt Ltd.
The Board also inducted Anjani Kumar Agrawal, Sukanya Kripalu as Independent Directors. In addition, Bharat Goenka has been appointed as CFO (Designate). Bharat Goenka joins the company from Mahindra & Mahindra, wherein he was part of the Group CFO’s office.