Vedanta Group firm Hindustan Zinc Ltd (HZL) has posted a 47% year-on-year (YoY) increase in its Q4 FY25 consolidated net profit, reaching ₹3,003 crore. The company attributes this growth to record metal production, lower production costs, and improved market premiums.
Key Financial Highlights
- Revenue Growth: Hindustan Zinc’s revenue from operations rose 20% YoY to ₹9,087 crore, compared to ₹7,549 crore in the same period last year.
- Profit Surge: Net profit jumped from ₹2,038 crore in Q4 FY24 to ₹3,003 crore in Q4 FY25, marking its best-ever fourth-quarter profit.
- Operating Margins: The company’s EBITDA margin improved to 53%, reflecting higher efficiency and cost optimization.
- Zinc Cost of Production: The cost of production for zinc stood at $994 per metric tonne, down 5% YoY, driven by better metal grades, domestic coal availability, and operational efficiencies.
Strategic Developments
- Silver Business Growth: Hindustan Zinc’s silver segment revenue grew 24% YoY, reinforcing its position as the world’s third-largest silver producer.
- Expansion Plans: The company has earmarked $225-$250 million for growth capex in the current financial year.
- Renewable Energy Push: CEO Arun Misra highlighted that renewable energy consumption has increased to 13%, compared to near-zero last year.
Market Performance
Despite strong financial results, Hindustan Zinc’s stock slipped 3.05%, closing at ₹507.50 on the Bombay Stock Exchange (BSE). The company maintains a market capitalization of ₹1,88,153 crore, with promoters holding a 63.42% stake.
With record profits and strategic investments, Hindustan Zinc continues to strengthen its position as a global leader in zinc and silver production.
Stay tuned for more updates on corporate earnings and market trends.
