COVID 19 impact: Vedanta’s Q4 FY2020 revenue drops 8% QoQ on lower volume at Aluminium business

Vedanta Limited announced its audited consolidated results for the fourth quarter (Q4) and full year ended 31 March 2020 (FY2020).

Revenue stood at ₹ 19,513 crore in FY2020, lower by 8% sequentially. This was due to lower commodity prices further impacted by COVID-19, lower volume at Aluminium business and lower power sales at TSPL, past exploration cost recovery at Oil & Gas business in Q3 FY2020 partially offset by higher sales volume at Zinc & Iron Ore business and rupee depreciation. For FY2020, revenue was at ₹ 83,545 crore, lower by 8% y-o-y.

Mr Sunil Duggal, Chief Executive Officer, Vedanta said: “The Covid pandemic has hit the world and us in the last quarter of the year. We have taken a pro-active approach to keep our assets and people safe while ensuring optimum operations during these difficult times. During these difficult times, our efforts are aligned to the singular vision of making our communities, the state and nation self-reliant and self-sufficient.”

In FY2020, Aluminium production stood at 1.904 million tonnes. Record alumina production was 1.811 million tonnes, up 21% y-o-y. Alumina cost of production in Q4 FY2020 stood at $258/t.

EBITDA was ₹ 4,844 crore, lower by 26% QoQ.  This was “due to lower commodity prices further impacted by COVID-19, past exploration cost recovery at Oil & Gas business and RPO reversal at Aluminium business in Q3 FY2020, partially offset by improved cost of production at Aluminium and Steel business, lower input commodity prices and rupee depreciation.”

For FY2020, EBITDA was at ₹ 21,060 crore, an increase of 12% y-o-y, mainly on account of lower commodity prices, lower volume and higher cost at Zinc India & Oil & Gas business.

For FY2020, Attributable Profit after Tax (PAT) before exceptional items came in at ₹ 3,993 crore, lower by 42% y-o-y.