Vedanta Q1 earnings: Net profit up 54%, revenue at Rs 35,329 crore

Metals and mining company Vedanta reported a 54% increase in net profit for the June quarter of 2024. Profit rose to Rs 5,095 crore in the first quarter compared to a profit of Rs 3,308 crore year-on-year (YoY). Revenue rose 6% to Rs 35,329 crore in Q1 FY25 compared to a revenue of Rs 33,342 crore in Q1 FY24.

Vedanta shares were trading 0.82 per cent higher at Rs 417.05 today amid weak sentiment in the stock market. A total of 9.49 lakh shares of the company changed hands, leading to a turnover of Rs 39.55 crore on the BSE. Vedanta’s market capitalisation stood at Rs 1.62 lakh crore on the BSE.

The mining and metals company’s consolidated EBITDA rose 47% year-on-year to Rs 10,275 crore in the last quarter.

EBITDA margins for the June quarter were 34%, up 1,000 basis points year-on-year. Net debt at the end of the June quarter of FY24 stood at Rs 61,324 crore as on June 30, 2024. The company said net debt/EBITDA ratio was at an industry-leading 1.5 times in 1QFY25 as against 1.9 times in 1QFY24.

Arun Misra, Executive Director, Vedanta said, “Vedanta delivered a strong start to the year with an exceptional EBITDA improvement of 47% and PAT improvement of 54% year-on-year on the back of improved margins and solid cost reduction across operations. Our aluminium and zinc businesses continue to outperform industry benchmarks, consistently positioning in the top quartiles and deciles of the global cost curve. These achievements are a direct result of our strategic focus on costs, reflected in a 20% reduction in total costs year-on-year. Our growth projects are on track and we remain committed to delivering the majority of these projects in FY25.”