Vedanta profit rises 49% to ₹2,348 crore

Revenue, however, drops 10% to to ₹21,126 crore

Vedanta Ltd. has reported a 49% increase in its third quarter net profit to ₹2,348 crore.

The rise in profit was reported despite a 10% drop in revenue to ₹21,126 crore, primarily on lower commodity prices and muted volumes in zinc, oil and gas and copper business, partially offset by exploration cost recovery in oil and gas.

EBITDA rose 10% to ₹6,531 crore, primarily on₹1,276-crore exploration cost recovery in oil and gas segment. EBITDA margin for the quarter stood at 34%.

Srinivasan Venkatakrishnan, CEO, Vedanta, said, “We remain on track to become the world’s largest, long-life integrated zinc-lead-silver producer in two years while maintaining our cost leadership. Our aluminium business continues to benefit from improved integration and systemic cost improvements. In our oil and gas business, the completion of new facilities and hook up of new production wells paves the way for higher volumes ahead.”

Company’s earnings per share for the quarter stood at ₹6.34.

The company had cash and liquid investments of ₹35,205 crore. Gross debt rose by ₹2,691 crore to ₹58,589 crore and net debt by ₹3,303 crore to ₹23,384 crore.

“Our enviable project pipeline across all our key businesses will benefit from the resumption of accelerating growth from India. We look forward to an exciting fourth quarter and the year ahead,” Mr. Venkatakrishnan added.

Vedanta shares on BSE closed down 2.13% to ₹137.95 in a weak Mumbai market on Friday, valuing the company at ₹51,279 crore.