- All time high EBITDA for Q4 FY2021 at
₹ 9,107 Crore, up 88% Y-o-Y
- Strong Financial Performance, Att. PAT (before exceptional
items) at ₹ 7,013 crore
MUMBAI, India, May 13, 2021 /PRNewswire/ -- Vedanta Limited
today announced its audited consolidated results for the fourth
quarter (Q4) and full year ended 31st March 2021 (FY2021).
Financial Highlights
Q4
FY2021
|
FY2021
|
- EBITDA up by 88%
Y-o-Y to ₹ 9,107 crore
- Robust EBITDA
margin1 of 38%
- Att. PAT (before
exceptional items) at ₹ 7,013 crore
|
- EBITDA up by 30%
Y-o-Y, at ₹ 27,341 crore
- Robust EBITDA
margin1 of 36%
- Att. PAT (before
exceptional items) at ₹ 12,151 crore
|
Other Financial
Highlights FY2021
|
- Improved
double-digit ROCE at c.19%
- ND/EBITDA at 0.9x,
maintained at low level
- Net Debt at ₹ 24,414
crore, reduction of 32% compared to 31st December
2020
- Strong liquidity
position with total cash & cash equivalent at ₹ 32,614
crore
- Contribution to the
ex-chequer of ₹ 35,018 crore
|
Operational
Highlights FY2021
|
- Zinc
India
- Record ore
production of 15.5 million tonnes despite disruptions on account of
the pandemic
- Highest ever mined
metal production of 972kt, up 6% Y-o-Y
- Record Silver
production of 706 tonnes
- Zinc
International:
- Gamsberg record
production volume at 145 kt in FY2021, up by 34% Y-o-Y
- Gamsberg cost of
production at $1,288/t, down 11% Y-o-Y
- Oil &
Gas:
- Average gross
operated production of 162 kboepd for FY2021, down 6%
Y-o-Y
- 74 wells hooked up
during FY2021
- New gas processing
terminal commissioned; ramp up underway expected to add ~ 15 kboepd
by Q1 FY2022
- Aluminium &
Power:
- Highest ever
Aluminium production of 1,969kt, with 2.1 Mtpa run rate achieved in
Q4
- Highest ever Alumina
production at 1,841 kt, up 2% Y-o-Y
- Lowest cost of
production in last 7 years at US$ 1,347 per tonne, 20% lower
Y-o-Y
- Iron
Ore:
- Production of
saleable ore at Karnataka at 5 million tons, up 15%
Y-o-Y
- Iron ore sales in
Goa at 2.1 million tonnes in FY2021
- Continued engagement
with the Stakeholders for resumption of Goa mining
- Steel:
- Steel production at
1.19 million tonnes, down 4% due to covid lockdown
- EBITDA Margin at
$95/t, up by ~23%
- Copper
India:
- Due legal process is
being followed to achieve a sustainable restart of the
operations
|
Mr Sunil Duggal, Chief
Executive Officer, Vedanta, said "We are delighted to announce an
outstanding quarter. Our key businesses delivered record
operational performance, maintaining the trajectory of cost and
volumes, driven by structural integration and technology adoption.
Our businesses have shown resilience in uncertain market
environment as we continue with our winning streak, reporting the
highest ever quarterly EBITDA. We are fully supporting our
employees, partners, and communities to navigate through these
tough times. We are well on our path to execute on strategic
priorities to maximize value for stakeholders"
Consolidated
Financial Performance
The consolidated
financial performance of the company during the period is as
under:
|
Particulars
|
Q4
|
%
Change
|
Q3
|
%
Change
|
FY
|
%
Change
|
FY2021
|
FY2020
|
FY2021
|
FY2021
|
FY2020
|
Net
Sales/Income from operations
|
27,874
|
19,513
|
43%
|
22,498
|
24%
|
86,863
|
83,545
|
4%
|
Other Operating
Income
|
332
|
242
|
37%
|
237
|
40%
|
1,158
|
902
|
28%
|
EBITDA
|
9,107
|
4,844
|
88%
|
7,695
|
18%
|
27,341
|
21,060
|
30%
|
EBITDA
Margin1
|
38%
|
28%
|
-
|
39%
|
-
|
36%
|
29%
|
-
|
Finance
cost
|
1,325
|
1,064
|
24%
|
1,321
|
0%
|
5,210
|
4,977
|
5%
|
Investment
Income
|
860
|
611
|
41%
|
771
|
12%
|
3,269
|
2,443
|
34%
|
Exchange
gain/(loss) - (Non operational)
|
(71)
|
(274)
|
-
|
177
|
-
|
129
|
(306)
|
-
|
Profit before
Depreciation and Taxes
|
8,571
|
4,115
|
-
|
7,322
|
17%
|
25,529
|
18,220
|
40%
|
Depreciation
& Amortization
|
2,055
|
2,252
|
(9%)
|
1,912
|
7%
|
7,638
|
9,093
|
(16%)
|
Profit before
Exceptional items
|
6,516
|
1,863
|
-
|
5,410
|
20%
|
17,891
|
9,127
|
96%
|
Exceptional
Items Credit/(Expense)2
|
(773)
|
(17,132)
|
-
|
(0)
|
-
|
(678)
|
(17,386)
|
-
|
Profit
Before Tax
|
5,743
|
(15,269)
|
-
|
5,410
|
6%
|
17,213
|
(8,259)
|
-
|
Tax Charge/
(Credit)
|
(1,699)
|
3,338
|
-
|
1,186
|
-
|
2,334
|
3,005
|
(22%)
|
Tax on
Exceptional items/ (Credit)
|
(187)
|
(6,524)
|
-
|
0
|
-
|
(154)
|
(6,521)
|
-
|
Profit After
Taxes
|
7,629
|
(12,083)
|
-
|
4,224
|
81%
|
15,033
|
(4,743)
|
-
|
Profit After
Taxes before exceptional items
|
8,216
|
(1,475)
|
-
|
4,224
|
95%
|
15,557
|
6,122
|
-
|
Minority
Interest
|
1,196
|
438
|
-
|
925
|
29%
|
3,430
|
1,920
|
79%
|
Attributable
PAT
|
6,432
|
(12,521)
|
-
|
3,299
|
95%
|
11,602
|
(6,664)
|
-
|
Attributable PAT
before Exceptional Items
|
7,013
|
(1,914)
|
-
|
3,299
|
-
|
12,151
|
3,993
|
-
|
Basic Earnings
per Share (₹/share)
|
17.37
|
(33.82)
|
-
|
8.91
|
95%
|
31.32
|
(18.00)
|
-
|
Basic EPS
before Exceptional items
|
18.94
|
(5.17)
|
-
|
8.91
|
-
|
32.80
|
10.78
|
-
|
Exchange rate
(₹/$) - Average
|
72.95
|
72.45
|
1%
|
73.74
|
(1%)
|
74.11
|
70.86
|
5%
|
Exchange rate
(₹/$) - Closing
|
73.30
|
74.81
|
(2%)
|
73.02
|
0%
|
73.30
|
74.81
|
(2%)
|
1.
Excludes custom smelting at Copper India and Zinc India
operations
2.
Exceptional Items Gross of Tax
3.
Previous period figures have been regrouped or re-arranged
wherever necessary to conform to current period's
presentation
|
Revenue
Revenue for Q4 FY2021 was at ₹ 27,874 crore, higher
24% Q-o-Q & 43% Y-o-Y, primarily due to higher volume at
Aluminium business, Zinc India, Iron ore business, higher power
sales at TSPL and improved commodity prices.
Revenue for FY2021 was at ₹ 86,863 crore, higher 4%, mainly
due to higher volume at Zinc India, Aluminium business, Iron ore
& Steel business, higher commodity prices & rupee
depreciation in FY2021. This was partially offset by lower volumes
at Oil & Gas and Skorpion mine being under care and
maintenance, lower power sales at TSPL and lower oil prices.
EBITDA and EBITDA Margin
EBITDA for Q4 FY2021 was at ₹ 9,107 crore, higher 18% Q-o-Q
& 88% Y-o-Y, primarily due to higher volumes at Zinc India,
Aluminium & Iron Ore business and higher commodity & oil
prices in Q4 FY2021, partially offset by higher COP at Aluminium
and steel business majorly due to input commodity inflation.
EBITDA for the FY2021 was at ₹ 27,341 crore, higher 30%,
mainly on account of higher volume at Zinc India, Aluminium &
Iron Ore business and structural reduction in COP at Aluminium
business. This was partially offset by lower oil prices and lower
volumes at Oil & Gas business.
We had a robust EBITDA margin1 of 36% for the
year (FY 2020: 29%)
Depreciation & Amortization
Depreciation & amortisation for Q4 FY2021 was at
₹ 2,054 crore, higher 7% Q-o-Q, primarily due to higher volume
& projects capitalization at Zinc India and capitalization of
pots in Aluminium business.
Depreciation & amortisation for Q4 FY2021 was lower by 9%
Y-o-Y, primarily on account of lower charge at Oil & Gas
business due to impairment of assets in Q4 FY2020, lower charge at
Zinc International due to Skorpion mines under care and
maintenance, partially offset by higher depreciation charge at Zinc
India on account of higher ore production and additional
capitalisation.
Depreciation & amortisation for FY2021 was at ₹ 7,638
crore, lower 16%, primarily on account of lower charge at Oil
& Gas business due to impairment of assets in Q4 FY2020, lower
charge at Zinc International due to Skorpion mines under care and
maintenance, partially offset by higher depreciation charge at Zinc
India on account of higher ore production and additional
capitalisation.
Finance Cost and Investment Income
Finance cost for Q4 FY2021 was at ₹ 1,325 crore, flat
Q-o-Q, higher interest cost due to lower interest capitalisation
offset by repayment of borrowings.
Finance cost for Q4 FY2021 higher 24% Y-o-Y, primarily due to
lower interest capitalisation.
Finance cost for FY2021 was at ₹ 5,210 crore, higher 5%,
primarily due to lower interest capitalisation.
Investment Income for Q4 FY2021 was at ₹ 860 crore, higher
12% Q-o-Q & 41% Y-o-Y, primarily due to increase in
interest income with a change in mix of investments.
Investment Income for FY2021 was at ₹ 3,269 crore, higher
34%, primarily due to increase in interest income with a change in
mix of investments partially offset by lower investment corpus.
Exceptional Items
Exceptional items for Q4 FY2021 was at ₹ 773 crore,
primarily due to provision in Steel business for obtaining
environmental clearance, provision against advances, settlement of
structured investments and CWIP impairment in Aluminium.
Exceptional items during FY2021 were ₹ 678 crore which
pertains to provision in Steel business for obtaining environmental
clearance, provision against advances, settlement of structured
investments and CWIP impairment partly offset by RPO liability
reversal in Aluminium.
Taxes
Tax credit for Q4 FY2021 stood at ₹ 1,886 crore (Q3 FY2021:
Tax charge of ₹ 1,186 crore). The normalized ETR is 28%
(excluding tax on exceptional items and deferred tax asset of
₹ 3,111 crore recognized on carry forward losses in ESL)
compared to 27% in Q3. The normalized ETR for Q4 FY2020 was
49%.
The normalized ETR for FY2021 is 27% (excluding tax on
exceptional items, tax on intra group dividend and deferred tax
asset of ₹ 3,111 crore recognized on carry forward losses in
ESL) compared to 34% in FY2020 which is primarily on account of
change in profit mix and adoption of new tax regime in one of the
major subsidiaries.
Attributable Profit after Tax and Earnings per Share
(EPS)
Attributable Profit after Tax (PAT) before exceptional items for
the quarter was at ₹ 7,013
crore.
For FY2021, Attributable Profit after Tax (PAT) before
exceptional items was at ₹ 12,151 crore.
EPS for the year before exceptional items was at ₹ 32.80
per share compared to ₹ 10.78 per share in FY2020.
Balance Sheet
We have robust cash and cash equivalents of ₹ 32,614 crore.
The Company follows a Board-approved investment policy and invests
in high quality debt instruments with mutual funds, bonds and fixed
deposits with banks. The portfolio is rated by CRISIL, which has
assigned a rating of "Tier-I" (implying Highest Safety) to our
portfolio. Further, the Company has undrawn committed facilities of
c. ₹ 7800 crore as on March 31,
2021.
Gross debt was at ₹ 57,028 crore on 31st
March 2021, decreased by ₹ 2,159
crore Y-o-Y. This was mainly due to repayment of debt at Aluminum
and Zinc Business.
Net debt was at ₹ 24,414 crore on 31st
March 2021, higher by ₹ 2,988
crore Y-o-Y, primarily driven by dividend payment during the year
and inter-company loan (ICL) to VRL, partially offset by strong
cash flow from operations post capex.
- CRISIL Ratings at AA- with stable outlook
- India Ratings at AA- with stable outlook
Key Recognitions
Vedanta has been consistently recognized through the receipt of
various awards and accolades. During the past quarter, we received
the following recognitions:
- Hindustan Zinc ranked 1st position in Asia Pacific
Region in metals and mining sector and 7th Globally in
Environment by the Dow Jones Sustainability Index 2020.
- Hindustan Zinc recognized as 'A' rated company for Climate
Change CDP (Carbon Disclosure Project) is among the top 2 companies
in metals and mining sector across the globe along with Anglo
American Platinum.
- Hindustan Zinc Evolve E-commerce portal received "Best
E-commerce Technology Innovation" award at 21st
Inflection Conference Awards 2020.
- Hindustan Zinc Dariba and Chanderiya Captive Power Plant
received "Water Optimization Award 2020" in the category of Best
water efficient plant <=500 MW & Best Zero Liquid discharge
plant.
- Hindustan Zinc identified as "Responsible Business of the Year"
and awarded with Grant Thornton SABERA Award 2020 for community
development.
- Cairn Oil & Gas Midstream received British Safety Council,
"Sword of Honor"
- Cairn Oil & Gas Won TechCircle Business Transformation
Awards 2020 for Excellence in Digital Execution for Quality
Transformation for the "Next Generation Workplace – Office
365"
- Cairn Oil & Gas Won Sustainability 4.0 Award, the leaders
awards under the mega large business category and the first
runner-up award under the Jury special Mention award on "Recycling
of Produced water for Injection Purpose".
- Vedanta Ltd, Jharsuguda plant received National Energy
Conservation Award for Operational Excellence by Bureau of Energy
Efficiency, Govt of India
- Vedanta Ltd, Jharsuguda plant received Greentech Safety Award
2020 and Greentech Sustainability Award 2020 for Operational
Excellence.
- Balco received Golden Peacock
Award for Sustainability for Operational Excellence.
- Balco Won Gold Medal at the National Awards for Manufacturing
Competitiveness 2019-20 for Operational Excellence.
- Vedanta Aluminium and Power Business received "Gold Award" in
Marketing communication for Aluminium and Internal communication
for Social Media Brand Ambassadors Program at 11th India
PR & Corporate Communication (IPRCCA) Awards.
- ESL Steel won Greentech Safety Award for Corona Protection
Initiatives.
Results Conference Call
Please note that the results presentation is available in the
Investor Relations section of the company website
http://www.vedantalimited.com/investor-relations/results-reports.aspx
Following the announcement, there will be a conference call at
6:30 PM (IST) on May 13, 2021, where senior management will
discuss the company's results and performance. The dial-in
numbers for the call are as below:
Event
|
|
Telephone
Number
|
Earnings conference
call on May 13, 2021
|
India – 6:30 PM
(IST)
|
India:
Local Dial In: +91 7045671221
Toll
free: 1800 120 1221, 1800 266 1221
Universal
access:
+91 22 7115
8015
+91 22 6280
1114
|
Singapore – 9:00
PM (Singapore Time)
|
Toll free
number: 800 101 2045
Toll number:
6531575746
|
Hong Kong – 9:00
PM (Hong Kong Time)
|
Toll free
number 800 964 448
Toll number:
85230186877
|
UK – 02:00 PM (UK
Time)
|
Toll free
number 0 808 101 1573
Toll number:
442034785524
|
US – 9:00 AM
(Eastern Time)
|
Toll free
number 1 866 746 2133
Toll number:
13233868721
|
Online Registration
Link
|
https://services.choruscall.in/DiamondPassRegistration/register?confirmationNumber=1447150&linkSecurityString=4e57c1638
|
Call
Recording
|
Will be
available on Vedanta limited website at following URL:
https://www.vedantalimited.com/Pages/FinancialReports.aspx
|
For further information, please contact:
Investor
Relations
Varun
Kapoor
Director – Investor
Relations
Raksha
Jain
Manager – Investor
Relations
|
Tel: +91 124
476 4096
vedantaltd.ir@vedanta.co.in
|
Communications
Ms. Roma
Balwani
Director -
Communications and Brand
|
Tel: +91 11 4916
6250
gc@vedanta.co.in
|
About Vedanta Limited
Vedanta Limited, a subsidiary of Vedanta Resources Limited, is
one of the world's leading Oil & Gas and Metals company with
significant operations in Oil & Gas, Zinc, Lead, Silver,
Copper, Iron Ore, Steel, and Aluminium & Power across
India, South Africa, Namibia, and Australia. For two decades, Vedanta has been
contributing significantly to nation building. Governance and
sustainable development are at the core of Vedanta's strategy, with
a strong focus on health, safety, and environment. Giving back is
in the DNA of Vedanta, which is focused on enhancing the lives of
local communities. Under the aegis of Vedanta Cares, the flagship
social impact program, Nand Ghars have been set up as model
Anganwadis focused on eradicating child malnutrition, providing
education, healthcare, and empowering women with skill development.
Vedanta and its group companies have been featured in Dow Jones
Sustainability Index 2020, and were conferred Frost & Sullivan
Sustainability Awards 2020, CII Environmental Best Practices Award
2020, CSR Health Impact Award 2020, CII National Award 2020 for
Excellence in Water Management, CII Digital Transformation Award
2020, ICSI National Award 2020 for excellence in Corporate
Governance, People First HR Excellence Award 2020, 'Company
with Great Managers 2020' by People Business and certified as
a Great Place to Work 2021. Vedanta's flagship Nand Ghar Project
was identified as best CSR project by the Government of
Rajasthan. Vedanta Limited is listed on the Bombay Stock
Exchange and the National Stock Exchange in India and has ADRs listed on the New York
Stock Exchange.
For more information, please visit
www.vedantalimited.com
Vedanta Limited
Vedanta, 75, Nehru Road,
Vile Parle (East), Mumbai - 400
099
www.vedantalimited.com
Registered Office:
Regd. Office: 1st Floor, 'C' wing, Unit 103,
Corporate Avenue, Atul Projects,
Chakala, Andheri (East),
Mumbai – 400 093
CIN: L13209MH1965PLC291394
Disclaimer
This press release contains "forward-looking statements" – that
is, statements related to future, not past, events. In this
context, forward-looking statements often address our expected
future business and financial performance, and often contain words
such as "expects," "anticipates," "intends," "plans," "believes,"
"seeks," "should" or "will." Forward–looking statements by their
nature address matters that are, to different degrees, uncertain.
For us, uncertainties arise from the behaviour of financial and
metals markets including the London Metal Exchange, fluctuations in
interest and or exchange rates and metal prices; from future
integration of acquired businesses; and from numerous other matters
of national, regional and global scale, including those of a
political, economic, business, competitive or regulatory nature.
These uncertainties may cause our actual future results to be
materially different that those expressed in our forward-looking
statements. We do not undertake to update our forward-looking
statements.
Logo:
https://mma.prnewswire.com/media/661292/Vedanta_Limited_Logo.jpg