31st Jul 2015 06:57
LONDON (Alliance News) - Vedanta Resources PLC Friday reported a dramatic fall in revenue and earnings in its first quarter, as weak commodity prices hit many of its segments.
The FTSE 250-listed multi-commodity company said revenue in the first quarter ended June 30 totalled USD2.95 billion, falling from USD3.06 billion a year earlier, as some of its segments, especially its oil and gas division, reported a drop in earnings due to commodity price declines.
That led to earnings before interest, tax, depreciation and amortisation of USD644.6 million, down 38% from the USD1.04 billion reported a year earlier.
The oil and gas division generated Ebitda of USD215.4 million in the first quarter of the financial year, falling from USD549.9 million a year earlier as revenue tanked to USD413.0 million from USD748.0 million.
That was caused by the fall in oil and gas prices in the period, and a 4% drop in average daily gross production to 209,738 barrels of oil equivalent per day from 217,869 barrels.
Vedanta's zinc business was the biggest contributor to Ebitda in the period, with its Indian zinc operations reporting an Ebitda rise to USD255.4 million from USD230.2 million, as revenue increased to USD558.2 million from USD485.9 million.
Its other zinc businesses outside of India contributed USD37.3 million in Ebitda in the first quarter, falling from USD38.4 million, as revenue dropped to USD139.3 million from USD144.4 million.
Ebitda from Vedanta's copper operations in India and Australia totalled USD82.4 million in the first quarter, rising from USD33.2 million a year earlier, as revenue rose to USD877.4 million from USD797.6 million.
Ebitda from copper operations in Zambia was USD6.0 million, compared to USD28.0 million, despite revenue rising to USD289.9 million from USD287.5 million.
Revenue from iron ore in the quarter dropped 12% to USD75.6 million from USD85.6 million, leading to an Ebitda of USD3.4 million, down from USD3.9 million.
By Joshua Warner; [email protected]; @JoshAlliance
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