
On 10th February 2021, the metals Flagship Company of Aditya Birla Group, Hindalco Industries reported a consolidated profit after tax at INR 1,877 crore for the Q3 ended 31st December’20, which is up by 77% Y-o-Y and 385% consecutively. Hindalco posted a consolidated profit of INR 1,062 crore in Q3 FY20 and INR 387 crore in Q2 FY20.

Novelis and India Aluminium business drove the group’s strong performance, supported by higher volumes and better product mix, lower input costs, stability in operations and cost-saving actions.
“The consolidated revenue from operations leapt by 20% to INR 34,958 crore in Q3 FY21 when compared to INR 29,197 crore in the same period previous year”, Hindalco Industries said in a regulatory filing.
Consolidated business EBITDA surged by 40% Y-o-Y to INR 5,242 crore compared to INR 3,733 crore in the year-ago period, pulled by the ever since best quarterly performance by Novelis and a sharp recovery in all relevant markets in India Aluminium business.
The profit after tax of the India business stood at INR 495 crore, rise by 90% Y-o-Y and 51% sequentially. The EBITDA of Aluminium India business remained at INR 1,323 crore, growth by 27% Y-o-Y, while EBITDA margin upgraded to 25%, up 593 bps (Basis Points) Y-o-Y.
On 31st December’20, the consolidated net debt to EBITDA ratio improved significantly to 3.09x from a peak of 3.83x on 30th June’20.
Novelis Inc., a subsidiary of Hindalco Industries, recorded its best-ever quarterly adjusted EBITDA of $501 million (vs $343 million), up 46% Y-o-Y, on the back of higher volumes and improved margins. Revenue was $3.2 billion (vs $2.7 billion), up 19% Y-o-Y, due to higher shipments, global aluminium prices and market premiums.
While commenting on the Q3 earnings, Satish Pai, Managing Director, Hindalco Industries Ltd., said, "Our Q3 results flag a return to the business at pre-COVID levels with resurgent demand globally. Novelis achieved record shipments, driven by strong demand across product end markets. The India Business delivered an excellent performance with Aluminium value-added products continuing to record higher volumes. Along with market performance, we have strengthened our balance sheet which shows in a significant improvement in the consolidated net debt to EBITDA ratio. The inclusion of the Aleris business has positively impacted the overall top line and EBITDA, with the realisation of synergies at $54 million on a run-rate basis in Q3.”
"Our performance is a reflection of our sustainability-led approach to business. Hindalco has been recognised as the world's most sustainable aluminium company in the 2020 DJSI CSA ranking," he added.
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