Hindustan Zinc Q2 Results: Profit Rises 34.6%, Meets Estimates

Hindustan Zinc Ltd.'s profit rose during the second quarter of fiscal 2025, in line with analysts' estimates.

The integrated zinc producer's net profit increased 34.6% year-on-year to Rs 2,327 crore in the quarter ended Sept. 30, 2024, according to an exchange filing on Friday. That compares with the Rs 2,251.3 crore consensus estimate of analysts polled by Bloomberg.

The Vedanta-group company's revenue rose 21.5% to Rs 8,252 crore as compared to Rs 6,791 crore in the corresponding quarter of the previous fiscal. Analysts at Bloomberg estimated revenue to be around Rs 7,899.38 crore.

The company reported a 31.3% rise in earnings before interest, taxes, depreciation, and amortisation of Rs 4,123 crore, as against Rs 3,139 crore for the same quarter of the previous fiscal.

The firm's consolidated margin expanded to 49.96% from 46.2% in the same period last year.

• Revenue rose 21.5% to Rs 8,252 crore (Bloomberg estimate: Rs 7,899.38 crore).

• Ebitda rose 31.3% to Rs 4,123 crore (Bloomberg estimate: Rs 3,945.7 crore).

• Margins expanded 374 basis points to 49.96%.

• Net profit rose 34.6% to Rs 2,327 crore (Bloomberg estimate: Rs 2,251.3 crore).

The company reported an exceptional loss of Rs 83 crore for the quarter and half year ended September 2024.

Shares of the company fell as much as 2.79% to Rs 494 apiece intraday before closing 0.33% lower at Rs 506.50 apiece. This compares to a 0.42% advance in the NSE Nifty 50.

The stock has risen 59.63% on a year-to-date basis and 61.69% in the last 12 months. Total traded volume in the day stood at 1.7 times its 30-day average. The relative strength index was at 46.92.

Out of 12 analysts tracking the company, one maintains a 'buy' rating, one recommends a 'hold,' and 10 suggest a 'sell,' according to Bloomberg data. The average 12-month consensus price target implies a downside of 22.3%.