Hindalco reports over 16 per cent drop in PBT at Rs8,433 crore

01 Jun 2011

Hindalco Industries Ltd, flagship company of the Aditya Birla Group, has reported a 16.25 per cent fall in its profit before tax, at Rs8,433 for the year ended 31 March 2011, against a PBT of Rs10,069 crore in the previous year.

Consolidated revenue of the company, however, grew 19 per cent year-on-year to Rs72,078 crore, its highest-ever. The company attributes the gains to strong volumes, improved mix and higher commodity prices.

The record performance of the current year also reflected the inherent strength of the company's low-cost business model, operational excellence, superior product mix and a balanced and de-risked portfolio, a company release said.

Profit before depreciation, interest and taxes stood at Rs8,433 crore as against Rs10,069 crore in FY10, which included Rs2,736 crore ($578 million) of unrealised gains on derivatives in FY10, as against unrealised loss of Rs291 crore ($64 million) in FY11.

Adjusted consolidated EBITDA rose by 25 per cent (31 per cent in dollar terms) compared to FY10, the release said.

Interest expenses of the company during the year increased to Rs1,839 crore, from Rs1,104 crore last year, mainly due to one-time cost related to the refinancing of $4.8 billion Novelis debt issuance in Deccember 2010 and consequent higher interest in the fourth quarter of fiscal 2010-11.