26th Apr 2007 16:29
Vedanta Resources PLC26 April 2007 PRESS RELEASE 26 April 2007 Hindustan Zinc Limited Results Vedanta Resources plc's subsidiary company Hindustan Zinc Limited ("HZL") declaredfourth quarter and full year results today. These results are prepared in accordancewith Indian GAAP and denominated in Indian currency, the Rupee. The text of HZL's press release is attached. Hindustan Zinc Limited Net Profit for FY 2007 leaps 202% to Rs. 4,442 Crore Mumbai, 26 April 2007: Hindustan Zinc Limited today announced financial resultsfor the fourth quarter ("Q4") and year ended 31 March 2007 ("FY 2007"). Revenuesand net profit for Q4 were Rs.2,021 crore and Rs.935 crore respectively, an increase of 14% and 17% over the corresponding prior periods. For FY 2007, revenues and net profit were Rs.8,560 crore and Rs.4,442 crore respectively, an increase of 120% and 202%year on year. Financial Summary (in Rs crore, except as stated) Q4 (Unaudited) FY (Audited) 06-07 05-06 % Change 06-07 05-06 % Change---------------------------------------------------------------------------------------------Net Sales/Income from operations 2,021 1,776 14% 8,560 3,890 120%Cash Profit (PBDT) 1,472 1,293 6,610 2,370Net Profit 935 802 17% 4,442 1,472 202%EPS (Rs.) 22.12 18.99 105.12 34.85Production - Mined Metal(MT) Zinc 121,423 125,318 -3% 504,956 472,194 7% Lead 17,562 16,607 6% 67,364 59,677 13%Production - Refined Metal (MT) Zinc 94,856 91,588 4% 348,316 282,668 23% Lead 14,757 11,075 33% 50,187 24,727 103%--------------------------------------------------------------------------------------------- For Q4 and FY 2007, mined metal production was 121,423 tonnes and 504,956 tonnesrespectively. Refined metal production for Q4 and FY 2007 was 94,856 tonnes and348,316 tonnes respectively, an increase of 4% and 23% over the correspondingprior periods. The increase in production was primarily due to the ramp-up of new hydro smelter at Chanderiya. The company exported 70,301 dry metric tonne ("dmt") and 313,299 dmt of zinc andlead concentrate during Q4 and FY 2007 respectively. The increase in net profits in Q4 and FY 2007 was on account higher metal volumeand higher prices. Average zinc LME for FY 2007 was $3,580 as compared with$1,614 during FY2006. Progress of projects The 170,000 tonne expansion project at Chanderiya and the correspondingexpansion at the Agucha mine are progressing well and are on schedule forcommissioning in early 2008. The 88,000 tonne debottlenecking project atChanderiya and Debari zinc smelters is also progressing as per schedule. During Q4, the company commissioned a 38.4 MW wind energy farm. The work on theremaining 84 MW wind energy project is on schedule and is expected to becompleted as scheduled duringFY 2008. About HZL HZL is India's only integrated producer of zinc and among the world's leadingintegrated producers. Its zinc capacity is currently 400,000 tpa with itssmelter operations situated in Chanderiya, Debari and Visakhapatnam. HZL haslead-zinc mines in Dariba, Rampura Agucha, and Zawar. HZL has nearly 6,363employees. The company is a subsidiary of Vedanta Resources plc. For further information, please contact: Sumanth Cidambi [email protected] Director - Investor Relations Tel: +44 20 7659 4732 / +91 22 6646 1531Vedanta Resources plc HINDUSTAN ZINC LIMITED Registered Office: Yashad Bhawan, Udaipur - 313004 Highlights Quarter ended 31 March 2007 Year ended 31 March 2007-------------------------------------------------------------------------------------------Turnover Rs. 2,021 crore Up 14 % Turnover Rs. 8,560 crore Up 120 %Net Profit Rs. 935 crore Up 17 % Net Profit Rs. 4,442 crore Up 202 %Earnings per Rs. 22.12 Earnings per Rs. 105.12share share • 170,000 tpa zinc smelter project at Chanderiya and corresponding expansion projects at Agucha Mine are progressing as per schedule for commissioning in early 2008. AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 31 MARCH, 2007 (Rs. in crore, except as stated)--------------------------------------------------------------------------------------------------------- P A R T I C U L A R S Nine months ended Fourth quarter ended Year ended 31 December 31 March 31 March 2006 2007 2006 2007 2006---------------------------------------------------------------------------------------------------------1. Net sales / Income from 6,539 2,021 1,776 8,560 3,890 operations2. Other Income 157 74 37 231 1163. Total Expenditure 1,532 621 517 2,153 1,589a) (Accretion) / Decretion (99) 42 50 (57) (43) to stockb) Mining and Manufacturing 769 271 247 1,040 987 Expensesc) Mining Royalty 493 151 100 644 274d) Staff costs 191 69 52 260 206e) Administrative, selling 178 88 68 266 165 and other expenses4. Profit before 5,164 1,474 1,296 6,638 2,417 depreciation and amortisation, interest and taxation (PBDIT)5. Interest 26 2 3 28 476. Cash Profit (PBDT) 5,138 1472 1,293 6,610 2,3707. Depreciation and 111 45 38 156 141 amortisation8. Profit before taxation 5,027 1,427 1,255 6,454 2,2299. Provision for Taxation - Current (Net) 1,491 461 366 1,952 624 - Deferred 29 31 87 60 13310. Net Profit 3,507 935 802 4,442 1,47211. Paid up Share Capital 423 423 423 423 423 (Face value Rs. 10/- each)12. Reserves excluding 7,205 3,007 Revaluation Reserve13. Basic and Diluted EPS (Rs.) 83.00 22.12 18.99 105.12 34.8514. Aggregate of Non-promoter Shareholding - Number of Shares 14,82,16,469 14,82,16,469 14,82,16,469 14,82,16,469 14,82,16,469 - Percentage of shareholding 35.08 35.08 35.08 35.08 35.08--------------------------------------------------------------------------------------------------------- NOTES: 1) The above results were reviewed by the Audit Committee and approved at the meeting of the Board of Directors held on 26 April, 2007. 2) Investment in equity shares of a power company has been considered as an intangible asset. This has resulted in an additional amortisation charge of Rs. 4.67 crore for the year ended 31 March, 2007 (2006: Rs. 4.67 crore). 3) The Company is engaged in the business of mining and smelting of zinc and lead operations, which is a single segment as defined by Accounting Standard 17 - "Segment Reporting" issued by The Institute of Chartered Accountants of India. The company has entered into wind energy business, however, its operations for the year is within the threshold limit stipulated under AS-17 "Segment Reporting" and hence it is not disclosed as a separate reportable segment. 4) Investor complaints outstanding at the beginning of the quarter were nil, number of complaints received and resolved during the quarter ended 31 March, 2007 were 2 and 2 respectively. Outstanding number of complaints at the end of the quarter was nil. 5) The Board of Directors at their meeting held on dated 20 January, 2007 has declared and paid an interim dividend @ 25 % i.e. Rs.2.50 per equity share and has now recommended a final dividend @ 25 % i.e. Rs. 2.50 per equity share. 6) Figures for nine months period and quarter / year ended have been regrouped / rearranged to correspond with current year ended figures wherever necessary. By Order of the Board Date: 26 April 2007 M S MehtaPlace: Mumbai CEO and Whole-time Director This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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