Hindustan Zinc (500188) Q4 00/01 earnings summary

Executive summary

• FY 2000-01 delivered record turnover of Rs. 1,613.05 crore and PBT of Rs. 282.22 crore, up ~6% and ~55% YoY, respectively.

• Zinc production reached a record 148,092 tonnes; performance was rated “Excellent” under the Ministry of Mines MoU.

Financial highlights

• Turnover was Rs. 161,304.81 lakh vs Rs. 151,559.81 lakh; PBT Rs. 28,221.99 lakh vs Rs. 18,217.14 lakh.

• Net profit after tax rose to Rs. 16,921.99 lakh from Rs. 9,042.14 lakh; EPS was Rs. 4 vs Rs. 2.14.

• Operating profit was Rs. 28,319.75 lakh; interest expense fell to Rs. 247.17 lakh from Rs. 1,045.53 lakh.

• Sales turnover included Rs. 155,468.01 lakh in sales and Rs. 5,836.80 lakh of own consumption; other income was Rs. 7,906.56 lakh.

Outlook and guidance

• A 100,000-tonne-per-year greenfield zinc smelter at Kapasan received Government approval; implementation was expected to start after disinvestment, with private land acquisition pending.

• An 850-tonne-per-day DAP joint venture was in feasibility and contractor-selection stages; both were expected to conclude in FY 2001-02.

• The 500 kg/day polymetallic-nodule pilot plant was under construction, with operations planned in FY 2001-02 to test the recovery process.

• Sindesar Khurd was being developed as a 1,000-tonne-per-day replacement mine; pre-production development was in progress.