|
Hindustan
Zinc consolidated net sales increased 26.63% to Rs 8797 crore in Q4FY22
compared to Q4FY21 led by higher zinc volumes & zinc LME prices as well as
favourable exchange rates while partly offset by lower lead & silver
volumes. Over the year, zinc & lead LME prices were up 36.5% & 15.7%
respectively. Sales of Zinc, Lead and Silver segment has gone up 28.16% to Rs
8,587.00 crore (accounting for 99.70% of total sales). Sales of Wind Energy segment has gone up
4.00% to Rs 26.00 crore (accounting for 0.30% of total sales).
Operating
profit margin has jumped from 55.78% to 56.41%, leading to 28.05% rise in
operating profit to Rs 4,962.00 crore.
Employee cost decreased from 2.41% to 2.12%. Other expenses rose from 42.56% to
42.91%. Selling and administration
expenses rose from 12.68% to 13.05%.
Power and Oil fuel cost rose from 6.66% to 8.52%.
Other
income fell 6.10% to Rs 277 crore. PBIDT
rose 25.64% to Rs 5239 crore. Provision
for interest fell 49.62% to Rs 66 crore.
Profit before interest, tax and other unallocable items (PBIT) have
jumped 31.59% to Rs 4,224.00 crore. PBIT
of Zinc, Lead and Silver segment rose 31.77% to Rs 4,214.00 crore (accounting
for 99.76% of total PBIT). PBIT of Wind
Energy segment fell 16.67% to Rs 10.00 crore (accounting for 0.24% of total
PBIT).
PBIT
margin of Zinc, Lead and Silver segment rose from 47.73% to 49.07%. PBIT margin of Wind Energy segment fell from
48.00% to 38.46%. Overall PBIT margin
rose from 47.73% to 49.04%.
PBDT
rose 28.08% to Rs 5173 crore. Provision
for depreciation rose 17.24% to Rs 816 crore. Profit before tax grew 30.33% to
Rs 4,357.00 crore. Provision for tax was
expense of Rs 1429 crore, compared to Rs 862 crore. Effective tax rate was 32.80% compared to
25.79%.
Net
profit attributable to owners of the company increased 18.02% to Rs 2,928.00
crore.
Promoters’
stake was 64.92% as of 31 March 2022 compared to 64.92% as of 31 March 2021.
Promoters pledged stake was 86.05% as of 31 March 2022 compared to 22.83% as of
31 March 2021.
Commenting on the
performance, Mr Arun Misra, CEO, said: “Hindustan Zinc delivered bestever annual mined metal
production & touched the record one million tonne mark this year. Our
production of refined metal was also highest ever. With the exit run-rate for
refined metal at 1.2mtpa, we are fully geared for another stellar performance
this year. Our focus is to produce more and more of world-class value-added
zinc alloy products with the use of latest technology & equipment.
Hindustan Zinc is committed to decarbonize its mining operations and deliver on
its ESG road map to achieve net zero by 2050.”
Mr Sandeep Modi, Interim
CFO, said: “Hindustan
Zinc delivered record breaking performance with highest-ever annual Revenue,
EBITDA & PAT. With stringent cost & cash conversion discipline, we
continue to deliver industry leading returns, while investing towards a
sustainable business. With ongoing asset optimization & integration
initiatives as well as proactive measures towards combating input commodity
inflation, we will continue to produce essential resources for the world &
thereby create long lasting value for all stakeholders.”
Operational Performance
Mined
metal production for the quarter was at 295 kt, up 2.6% y-o-y on account of
higher ore production at Rajpura Dariba, Sindesar Khurd & Rampura Agucha
mines. Sequentially mined metal production grew by 17.2% on account of higher
ore production from Rajpura Dariba, Rampura Agucha, Sindesar Khurd & Zawar
mines supported by better mining grades.
For
the full year, we had our best ever mined metal production of 1,017 kt, up 4.6%
Y-o-Y. The one million mark was crossed for the first time owing to higher ore
production across all our locations.
Integrated
metal production for the quarter was 260 kt, up 1.6% y-o-y, while remaining
almost flat sequentially. Quarterly production was supported by better plant
& mined metal availability and improved operating parameters. Integrated
zinc production was 211 kt, up 8.1% y-o-y and was 1.3% lower sequentially.
Integrated lead production for the quarter was 49kt, up 4.7% sequentially but
was down 19.3% y-o-y as Pyro plant at CLZS was
run in the Zinc-Lead mode in place of Lead-only mode.
For
the full year, overall refined metal production was 967 kt up 4.0% y-o-y on
account of better plant & concentrate availability.
Integrated
silver production was 162 MT, down 20.2% y-o-y & 6.2% sequentially in line
with lead metal production. For the full year, silver production was 8.3% lower
y-o-y to 647 MT in line with the lower lead metal production and reduction of
silver WIP.
Full year results
analysis
Net
sales of Hindustan Zinc have increased 30.10% to Rs 29440 crore. Sales of
Zinc,Leadand Silver segment has gone up 30.51% to Rs 28,624.00 crore
(accounting for 99.42% of total sales).
Sales of Wind Energy segment has gone up 19.42% to Rs 166.00 crore
(accounting for 0.58% of total sales).
Operating
profit margin has jumped from 51.58% to 55.11%, leading to 39.01% rise in
operating profit to Rs 16,225.00 crore.
Employee cost decreased from 3.39% to 2.42%. Other expenses fell from 44.48% to
42.99%. Selling and administration
expenses rose from 12.32% to 12.34%.
Power and Oil fuel cost rose from 7.74% to 8.25%.
Other
income fell 33.15% to Rs 1216 crore.
PBIDT rose 29.28% to Rs 17441 crore.
Provision for interest fell 24.87% to Rs 290 crore. Loan funds declined from Rs 7,201.00 crore as
of 31 March 2021 to Rs 3,124.00 crore as of 31 March 2022. Inventories rose to Rs 1,953.00 crore as of
31 March 2022 from Rs 1,425.00 crore as of 31 March 2021. Sundry debtors were higher at Rs 716.00 crore
as of 31 March 2022 compared to Rs 406.00 crore as of 31 March 2021. Cash and bank balance declined from Rs
9,376.00 crore as of 31 March 2021 to Rs 5,763.00 crore as of 31 March
2022. Investments rose to Rs 15,052.00
crore as of 31 March 2022 from Rs 12,957.00 crore as of 31 March 2021 .
Profit
before interest, tax and other unallocable items (PBIT) has jumped 44.76% to Rs
13,505.00 crore. PBIT of Zinc,Leadand
Silver segment rose 44.90% to Rs 13,405.00 crore (accounting for 99.26% of
total PBIT). PBIT of Wind Energy segment
rose 28.21% to Rs 100.00 crore (accounting for 0.74% of total PBIT).
PBIT
margin of Zinc,Leadand Silver segment rose from 42.18% to 46.83%. PBIT margin of Wind Energy segment rose from
56.12% to 60.24%. Overall PBIT margin
rose from 42.27% to 46.91%.
PBDT
rose 30.87% to Rs 17151 crore. Provision
for depreciation rose 15.25% to Rs 2917 crore.
Fixed assets increased to Rs 19,240.00 crore as of 31 March 2022 from Rs
18,369.00 crore as of 31 March 2021. Intangible assets declined from Rs 361.00
crore to Rs 231.00 crore.
Profit
before tax grew 34.61% to Rs 14,234.00 crore. Provision for tax was expense of
Rs 4471 crore, compared to Rs 2594 crore.
Effective tax rate was 31.71% compared to 24.53%.
Net
profit attributable to owners of the company increased 20.66% to Rs 9,629.00
crore.
Promoters’
stake was 64.92% as of 31 March 2022 compared to 64.92% as of 31 March 2021.
Promoters pledged stake was 86.05% as of 31 March 2022 compared to 22.83% as of
31 March 2021.
Cash
flow from operating activities increased to Rs 12,691.00 crore for year ended
March 2022 from Rs 10,567.00 crore for year ended March 2021. Cash flow used in
acquiring fixed assets during the year ended March 2022 stood at Rs 2,998.00
crore compared to Rs 2,481.00 crore during the year ended March 2021.
The
scrip is currently trading at Rs 344
|
Hindustan Zinc : Consolidated Results
|
|
Particulars
|
2203 (03)
|
2103 (03)
|
Var.(%)
|
2203 (12)
|
2103 (12)
|
Var.(%)
|
|
Net Sales
|
8,797
|
6,947
|
27
|
29,440
|
22,629
|
30
|
|
OPM (%)
|
56.4
|
55.8
|
|
55.1
|
51.6
|
|
|
OP
|
4,962
|
3,875
|
28
|
16,225
|
11,672
|
39
|
|
Other Inc.
|
277
|
295
|
-6
|
1,216
|
1,819
|
-33
|
|
PBIDT
|
5,239
|
4,170
|
26
|
17,441
|
13,491
|
29
|
|
Interest
|
66
|
131
|
-50
|
290
|
386
|
-25
|
|
PBDT
|
5,173
|
4,039
|
28
|
17,151
|
13,105
|
31
|
|
Depreciation
|
816
|
696
|
17
|
2,917
|
2,531
|
15
|
|
PBT
|
4,357
|
3,343
|
30
|
14,234
|
10,574
|
35
|
|
Share of Profit/(Loss) from Associates
|
0
|
0
|
-
|
0
|
0
|
-
|
|
PBT before EO
|
4,357
|
3,343
|
30
|
14,234
|
10,574
|
35
|
|
EO Income
|
0
|
0
|
-
|
-134
|
0
|
-
|
|
PBT after EO
|
4,357
|
3,343
|
30
|
14100
|
10574
|
33
|
|
Taxation
|
1,429
|
862
|
66
|
4471
|
2594
|
72
|
|
PAT
|
2,928
|
2,481
|
18
|
9629
|
7980
|
21
|
|
Minority Interest (MI)
|
0
|
0
|
-
|
0
|
0
|
-
|
|
Net profit
|
2,928
|
2,481
|
18
|
9629
|
7980
|
21
|
|
EPS (Rs)*
|
#
|
#
|
|
23.0
|
18.9
|
|
|
Notes
|
|
* EPS is on current equity of Rs 845.06 crore, Face value of Rs
2, Excluding extraordinary items.
|
|
# EPS is not annualised
|
|
bps : Basis points
|
|
EO : Extraordinary items
|
|
Figures in Rs crore
|
|
Source: Capitaline Corporate Database
|
|
Hindustan Zinc : Consolidated Segment Results
|
|
|
% of (Total)
|
2203 (03)
|
2103 (03)
|
Var.(%)
|
% of (Total)
|
2203 (12)
|
2103 (12)
|
Var.(%)
|
|
Sales
|
|
Zinc, Lead, Others
|
86
|
7,551
|
5,350
|
41
|
83
|
24,418
|
17,550
|
39
|
|
Silver Metal
|
12
|
1,036
|
1,350
|
-23
|
14
|
4,206
|
4382
|
-4
|
|
Wind Energy
|
0
|
26
|
25
|
4
|
1
|
166
|
139
|
19
|
|
Revenue from operations
|
98
|
8,613
|
6,725
|
28
|
98
|
28,790
|
22,071
|
30
|
|
Other Operating Income
|
2
|
184
|
222
|
-17
|
2
|
650
|
558
|
16
|
|
Total Operating Income
|
100
|
8,797
|
6,947
|
27
|
100
|
29,440
|
22,629
|
30
|
|
PBIT
|
|
Zinc, Lead, Others
|
78
|
3,315
|
1,972
|
68
|
72
|
9,667
|
5400
|
79
|
|
Silver Metal
|
21
|
899
|
1,226
|
-27
|
28
|
3,738
|
3851
|
-3
|
|
Wind Energy
|
0
|
10
|
12
|
-17
|
1
|
100
|
78.00
|
28
|
|
Total PBIT
|
100
|
4,224
|
3,210
|
32
|
100
|
13,505
|
9,329
|
45
|
|
Less : Interest
|
|
66
|
131
|
-50
|
|
290
|
386
|
-25
|
|
Add: Other un-allcoable
|
|
199
|
264
|
-25
|
|
885
|
1,631.00
|
-46
|
|
PBT
|
|
4,357
|
3,343
|
30
|
|
14,100
|
10,574
|
33
|
|