MUMBAI, India, Aug 1, 2018 /PRNewswire/ -- Vedanta Limited
today announced its unaudited consolidated results for the First
quarter ("Q1") ended 30 June
2018.
Financial
Highlights
- Continued strong
financial performance o
Revenues of ₹ 22,206 crore, up 15 % y-o-y
o EBITDA of ₹ 6,529 crore, up 31% y-o-y
o Robust EBITDA margin1 of 34%
o Attributable PAT at ₹ 1,533 crore, up 2% y-o-y
- Strong Balance
Sheet o Net Debt/EBITDA at 1.1x
lowest among Indian peers
o Strong financial position with total cash & liquid
investments of ₹ 35,251 crore
- Others
o Completed acquisition of 90% stake
in Electrosteels Steel Limited (ESL) for ₹ 5,320 crore and new
Board appointed
|
Operational
Highlights
- Oil &
Gas o Average gross
production of 195 kboepd, up 4% y-o-y
o Execution of $2.3bn (gross) growth projects on
track
- Zinc
India: o Mined
metal at 212kt, underground production up 7% q-o-q
- Gamsberg commercial
production to commence in Sept 2018
- Iron Ore: Our
mining allocation at Karnataka doubled to 4.5mt
- Aluminium: Record
quarterly Aluminium production of 482kt and commencement of Odisha
bauxite delivery
- TSPL: Plant
availability of 91%
|
1. Excludes custom
smelting at Copper India and Zinc India operations
|
Mr. Kuldip Kaura, Chief Executive
Officer, Vedanta Ltd, said: "We delivered strong EBITDA and steady
margins this quarter driven by record volumes in aluminium, higher
production in Oil & Gas, as well as, supportive commodity
prices. We are excited about the growth across our portfolio
of Zinc, Aluminium and Oil & Gas. The projects are
advancing well to meet key milestones and we are confident of the
progressive volume uplift in the coming quarters"
Consolidated
Financial Performance
|
The consolidated
financial performance of the company during the period is as
under:
|
(In ₹ crore,
except as stated)
|
|
FY
2018
|
Particulars
(In ₹
crore, except as stated)
|
Q1
|
Q1
|
%
Change
|
Q4
|
%
Change
|
FY
2019
|
FY
2018
|
FY
2018
|
92,923
|
Net Sales/Income from
operations
|
22,206
|
19,342
|
15%
|
27,630
|
(20)%
|
25,470
|
EBITDA
|
6,529
|
4,985
|
31%
|
7,929
|
(18)%
|
36%
|
EBITDA
Margin1
|
34%
|
36%
|
|
38%
|
|
5,783
|
Finance
cost
|
1,546
|
1,626
|
(5)%
|
1,424
|
9%
|
3,574
|
Other
Income
|
418
|
1,089
|
(62)%
|
993
|
(58)%
|
22,955
|
Profit before
Depreciation and Taxes
|
5,156
|
4,356
|
18%
|
7,406
|
(30)%
|
6,283
|
Depreciation
|
1,796
|
1,448
|
24%
|
1,683
|
7%
|
16,672
|
Profit before
Exceptional items
|
3,360
|
2,908
|
16%
|
5,723
|
(41)%
|
(2,897)
|
Exceptional Items
(Credit)/Expense 2
|
-
|
-
|
|
(2,869)
|
|
5,339
|
Tax excluding
DDT
|
1,112
|
675
|
65%
|
2,403
|
(54)%
|
(1,536)
|
Tax – DDT
|
-
|
-
|
|
(1,536)
|
|
2,074
|
Tax - Special
Items
|
-
|
-
|
|
2,050
|
|
13,692
|
Profit After
Taxes
|
2,248
|
2,233
|
1%
|
5,675
|
(60)%
|
12,869
|
Profit After Taxes
before Exceptional
|
2,248
|
2,233
|
1%
|
4,856
|
(54)%
|
11,333
|
PAT (before
Exceptional & DDT)
|
2,248
|
2,233
|
1%
|
3,320
|
(32)%
|
3,350
|
Minority
Interest
|
715
|
732
|
(2)%
|
873
|
(18)%
|
10,342
|
Attributable PAT
after exceptional item
|
1,533
|
1,501
|
2%
|
4,802
|
(68)%
|
9,561
|
Attributable PAT
before exceptional item
|
1,533
|
1,501
|
2%
|
3,956
|
(61)%
|
8,025
|
Attributable (before
exceptional & DDT)
|
1,533
|
1,501
|
2%
|
2,420
|
(37)%
|
28.30
|
Basic Earnings per
Share (₹/sh.)
|
4.13
|
4.04
|
2%
|
12.95
|
(68)%
|
26.17
|
Basic EPS before
Exceptional (₹/sh.)
|
4.13
|
4.04
|
2%
|
10.67
|
(61)%
|
21.96
|
Basic EPS (before
exceptional & DDT)
|
4.13
|
4.04
|
2%
|
6.53
|
(37)%
|
64.45
|
Exchange rate (₹/$) –
Average
|
67.04
|
64.46
|
4%
|
64.31
|
4%
|
65.04
|
Exchange rate (₹/$) –
Closing
|
68.58
|
64.74
|
6%
|
65.04
|
5%
|
1. Excludes custom
smelting at Copper India and Zinc India operations
|
2. Exceptional Items
Gross of Tax
|
3. Previous period
figures have been regrouped or re-arranged wherever necessary to
confirm to current period's presentation
|
Revenues
Revenue in Q1 was up 15% y-o-y on account of higher volumes at
Aluminium, Oil & Gas business, higher availability at TSPL,
currency depreciation and higher commodity prices partially offset
by lower volumes at Zinc India, Zinc International, Iron Ore
business and closure of Tuticorin smelter.
EBITDA and EBITDA Margins
EBITDA for Q1 at ₹ 6,529 crore was
up 31% on y-o-y basis on account of higher volumes at Aluminium and
Oil & Gas business, higher availability at TSPL, higher
commodity prices and currency depreciation. This was partially
offset by lower volume at Zinc India, Zinc International, Iron Ore
and Copper India business, and higher costs due to input commodity
inflation.
EBITDA margin1 during the quarter was at 34% compared
to 36% in Q1 FY2018.
Depreciation & Amortization
Depreciation was at ₹ 1,796 crore,
higher by ₹ 348 crore y-o-y on
account of higher charge at Zinc India due to higher ore
production, higher charge at Oil & Gas business due to non-cash
impairment reversal in Q4 FY 2018 and higher volumes, and
capitalization at Aluminium business.
Finance Cost and Other Income
Finance cost during the quarter was ₹ 1,546 crore, lower by ₹ 80
crore y-o-y mainly due to temporary borrowing at Zinc India
in Q1 FY2018 partially offset by higher interest rates in line with
market rates.
Other income was lower by 62% y-o-y. This was primarily due to
lower investment corpus due to dividend payout and mark-to-market
impact on investments.
Taxes
Tax expense (before Exceptional items and DDT) was at ₹
1,112 crore during the quarter,
resulting in tax rate of 33%.
Attributable Profit after Tax and Earnings per Share
(EPS)
Attributable Profit after Tax (PAT) before exceptional items and
DDT for the quarter was ₹ 1,533
crore.
EPS for the quarter before exceptional items was at ₹ 4.13 per
share.
Our financial position remains strong with cash and liquid
investments of ₹ 35,251 crore. The
Company follows a Board approved investment policy and invests in
high quality debt instruments with mutual funds, bonds and fixed
deposits with banks. The portfolio is rated by CRISIL which has
assigned a rating of "Tier 1" (meaning Highest Safety) to our
portfolio. Further, the Company has undrawn fund based committed
facilities of ~₹ 4,000 crore as on
June 30, 2018.
As on 30 June 2018, gross debt was
at ₹ 65,161 crore and net debt was ₹
29,910 crore higher q-o-q on account
of acquisition of ESL and proactive adjustment of working capital
with borrowings.
Key Recognitions
Vedanta has been consistently recognized through the receipt of
various awards and accolades. During the past quarter, we received
the following recognitions:
- Vedanta Limited recognized for the 'Best Investor Relations
Program' (nominated by the sell-side) and for hosting the 'Second
Best Analyst Day' (overall), in the Basic Materials industry, by
the Institutional Investor Magazine's 2018 all-Asia (ex-Japan) Executive Team rankings
- Vedanta Limited received 'LACP Vision Award' for
developing one of the Top 5 Indian Annual Reports of 2017 and
Silver Award within its industry
- BALCO won the 'Chhattisgarh Gaurav Award' for its contribution
towards the development of the state
- Vedanta Limited - Jharsuguda won AON Hewitt Best Employer Award
for 'Commitment to Engagement'.
- Cairn Oil & Gas won 5th CII Environmental Best
Practices Awards 2018 for most innovative environmental project
with the broader title 'Climate Change & Mitigation'.
- TSPL won 'Srishti Good Green Governance Award' for outstanding
performance in Environment Management.
- SESA Goa received SECONA Shield Award 2018 for Innovative
Practices & Technology.
- HZL won 'Safety Excellence Award 2018' by 'Frost & Sullivan
TERI – Sustainability 4.0' for its Safety Initiatives.
- HZL won 'Best CSR Collective Action Leadership Award' in
India CSR – Leadership Summit
& Awards for its contribution in the field of Community
Development Programs.
Results Conference Call
Please note that the results presentation is available in the
Investor Relations section of the company website
www.vedantalimited.com -
http://www.vedantalimited.com/investor-relations/results-reports.aspx
Following the announcement, there will be a conference call at
6:30 PM (IST) on Tuesday,
31 July 2018, where senior management
will discuss the company's results and performance. The dial-in
numbers for the call are as below:
Event
|
|
Telephone
Number
|
Earnings conference
call on July 31, 2018
|
India – 6:30 PM
(IST)
|
Mumbai main
access:
+91-22-7115-8015
+91-22-6280-1114
Toll free
numbers:
1800-120-1221
1800
266-1221
|
Singapore – 9:00
PM (Singapore Time)
|
Toll free
number
800-101-2045
|
Hong Kong – 9:00
PM (Hong Kong Time)
|
Toll free
number
800-964-448
|
UK – 2:00 PM (UK
Time)
|
Toll free
number
0-808-101-1573
|
US – 9:00 AM
(Eastern Time)
|
Toll free
number
1-866-746-2133
|
For online
registration
|
http://services.choruscall.in/diamondpass/registration?confirmationNumber=5267915
|
Replay of Conference
Call (31 July 2018 to 7 August 2018)
|
India
+91-22-7194-5757
+91-22-6663-5757
Passcode:
20012#
|
About Vedanta Limited
Vedanta Limited is a diversified natural resources company,
whose business primarily involves producing oil & gas, zinc -
lead - silver, copper, iron ore, aluminium and commercial power.
The company has a presence across India, South
Africa, Namibia,
Australia and Ireland.
Vedanta Limited is the Indian subsidiary of Vedanta Resources
Plc, a London-listed company.
Governance and Sustainable Development are at the core of Vedanta's
strategy, with a strong focus on health, safety and environment and
on enhancing the lives of local communities. The company is
conferred with the Confederation of Indian Industry (CII)
'Sustainable Plus Platinum label', ranking among the top 10 most
sustainable companies in India. To
access the Vedanta Sustainable Development Report 2017, please
visit
http://sd.vedantaresources.com/SustainableDevelopment2016-17/
Vedanta Limited is listed on the Bombay Stock Exchange and the
National Stock Exchange in India
and has ADRs listed on the New York Stock Exchange.
For more information, please visit www.vedantalimited.com
Vedanta Limited
Vedanta, 75, Nehru Road,
Vile Parle (East), Mumbai - 400
099
www.vedantalimited.com
Registered Office:
Regd. Office: 1st Floor, 'C' wing,
Unit 103,
Corporate Avenue, Atul Projects,
Chakala, Andheri (East),
Mumbai – 400 093
CIN: L13209MH1965PLC291394
Disclaimer
This press release contains "forward-looking statements" – that
is, statements related to future, not past, events. In this
context, forward-looking statements often address our expected
future business and financial performance, and often contain words
such as "expects," "anticipates," "intends," "plans," "believes,"
"seeks," "should" or "will." Forward–looking statements by their
nature address matters that are, to different degrees, uncertain.
For us, uncertainties arise from the behaviour of financial and
metals markets including the London Metal Exchange, fluctuations in
interest and or exchange rates and metal prices; from future
integration of acquired businesses; and from numerous other matters
of national, regional and global scale, including those of a
political, economic, business, competitive or regulatory nature.
These uncertainties may cause our actual future results to be
materially different that those expressed in our forward-looking
statements. We do not undertake to update our forward-looking
statements.
For further information, please contact:
Communications
Arun Arora
Head Communications
Tel: +91-1244593000
gc@vedanta.co.in
Investor Relations
Rashmi Mohanty
Director –
Investor Relations
Tel: +91-22-6646-1531
vedantaltd.ir@vedanta.co.in
Sneha Tulsyan
Associate Manager – Investor Relations
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SOURCE Vedanta Limited