VEDANTA LIMITED Vedanta Limited
Regd. Office: Vedanta Limited 1st Floor, 'C' Wing,
Unit 103, Corporate Avenue, Atul Projects,
Chakala, Andheri (East),
Mumbai 400093, Maharashtra.
www.vedantalimited.com
CIN: L13209MH1965PLC291394
29th Oct 2021
Vedanta Limited
Consolidated Results for the 2nd Quarter and Half Year ended
30th Sep 2021
Financial
- Record consolidated quarterly Revenue of ₹ 30,048 crore, up 44% Y-o-Y
- Record quarterly EBITDA of ₹ 10,582 crore, up 62% Y-o-Y
- Attributable PAT (before exceptional items) at ₹ 4,644 crore, up 486% Y-o-Y
- Record consolidated Half Year Revenue of ₹ 58,153 crore, up 59%
- Record Half Year EBITDA of ₹ 20,613 crore, up 96%
ESG
- Commits to Net-Zero Carbon by 2050 or sooner
- Pledges US$5 billion over next 10 years to accelerate transition to Net-Zero
- Renewed focus to be the leading ESG performer in the natural resources sector
Operational
- Strong volume performance across business segments
- Sustained margins on strong commodity prices
Capital allocation and Deleveraging
- Net Debt at ₹ 20,389 crore, reduced by ₹ 7,232 crore Y-o-Y
- Net Debt/EBITDA ratio at 0.5x, lowest in last 4 years
- Continues with the track record of rewarding shareholders with an interim dividend of
- 18.5 per share, (₹ 6,855 crore) in Q2 FY2022
Registered Office: Vedanta Limited 1st Floor, 'C' Wing, Unit 103, Corporate Avenue, Atul Projects, Chakala, | Page 1 of 10 |
Andheri (East), Mumbai 400093, Maharashtra, India. | |
CIN: L13209MH1965PLC291394 |
Consolidated Results for the 2nd Quarter and Half Year ended 30 Sep 2021
Mumbai, India: Vedanta Limited today announced its unaudited consolidated results for the second quarter (Q2) and half year ended 30th September 2021.
Financial Highlights
Q2 FY2022
- Revenue of ₹ 30,048 crore, up 44% Y-o-Y
- EBITDA of ₹ 10,582 crore, up by 62% Y-o-Y
- Robust Industry leading EBITDA margin1 of 40%
- Att. PAT (before exceptional items) at ₹ 4,644 crore, up 486% Y-o-Y
Other Financial Highlights
- Strong double-digit ROCE at c.26%
- Net Debt/EBITDA at 0.5x, lowest in last 4 years
- Net Debt at ₹ 20,389 crore, reduction of ₹ 7,232 crore from 30th September 2020
- Strong liquidity position with total cash and cash equivalent at ₹ 30,650 crore
- First Interim Dividend of ₹ 18.5 per share; ₹ 6,855 crore in Q2 FY 2022
- CRISIL has upgraded outlook from 'Stable' to 'Positive' with AA- rating
Mr Sunil Duggal, Chief Executive Officer, said"Vedanta has set its sights on becoming a leader in terms of our ESG performance in the metals & mining sector, with a strong commitment towards achieving Net-Zero Carbon by 2050 or sooner, increasing workplace diversity, and a commitment to improve the quality of life of more than 100 million women & children. We are confident that these goals will also translate into improved financial performance, de-risk the business and create opportunities in the emerging green economy.
We continued our strong growth momentum this quarter as well, reporting record quarterly and half-yearly Revenue and EBITDA. We reported consolidated quarterly Revenue of ₹ 30,048 crore, up 44% Y-o-Y and quarterly EBITDA of ₹ 10,582 crore, up 62% Y-o-Y. Our attributable PAT (before exceptional items) stood at ₹ 4,644 crore, up 486% Y-o-Y. We witnessed steady volume performance across business segments, and sustained margins benefitting from high commodity prices despite a challenging cost environment. We continue to focus on prudent capital allocation and deleveraging. We reduced net debt by ₹ 7,232 crore Y-o-Y. We continue our commitment of rewarding shareholders with interim dividend of INR 18.5 per Share, entailing pay-out of ₹ 6,855 crore. "
Registered Office: Vedanta Limited 1st Floor, 'C' Wing, Unit 103, Corporate Avenue, Atul Projects, Chakala, Andheri (East), Mumbai 400093, Maharashtra, India.
CIN: L13209MH1965PLC291394
Page 2 of 10
Sensitivity: Internal (C3)
Consolidated Results for the 2nd Quarter and Half Year ended 30 Sep 2021
Purpose-led ESG: Transforming For Good
ESG Principles Embedded into Business Decision-Making
- ESG Strategy based on material risks and Group aspirations
- Engagement and discussions with multiple stakeholders including investors, local community stakeholders, regulators, business partners, employees, and contract workers
- High-ambitionprograms to De-risk business & realize emerging opportunities
- 9 aims across three thematic areas: Communities, Planet, Workforce
- Designed to enhance social license to operate, mitigate/eliminate negative impacts, actively participate in the emerging green economy, and align with global commitments around climate change, environmental stewardship, livelihood, equity and human rights.
- Transforming Communities
- Aim 1. Keep community welfare at the core of business decisions.
- Aim 2. Empowering over 2.5 million families with enhanced skillsets
- Aim 3. Uplifting over 100 million women and children through Education, Nutrition, Healthcare and welfare
- Transforming the Planet
- Aim 4 Net-carbon neutrality by 2050 or sooner.
- Aim 5. Achieving net water positivity by 2030
- Aim 6. Innovating for a greener business model
- Transforming the Workplace
- Aim 7. Prioritizing safety and health of all employees
- Aim 8. Promote gender parity, diversity, and inclusivity
- Aim 9. Adhere to global business standards of corporate governance
- Commitments in Place
- Pledge US$5 billion over 10 years to accelerate transition to net-zero carbon
- US$ 0.6 billion (INR 5,000 Crores) pledged towards community and village upliftment in the next 5 years
- 4,000 Nand Ghars to be constructed by 2023 + partnership with Bill & Melinda Gates Foundation for improved health & nutrition outcomes
- Governance in Place
- Board-levelESG Committee
- KPIs linked to ESG performance
- ESG Academy to train leaders across the organization
Registered Office: Vedanta Limited 1st Floor, 'C' Wing, Unit 103, Corporate Avenue, Atul Projects, Chakala, Andheri (East), Mumbai 400093, Maharashtra, India.
CIN: L13209MH1965PLC291394
Page 3 of 10
Sensitivity: Internal (C3)
Consolidated Results for the 2nd Quarter and Half Year ended 30 Sep 2021
Operational Highlights Q2 FY2022
- Aluminium:
- Highest quarterly Aluminium production of 570kt, up 21% Y-o-Y
- Highest quarterly Alumina production of 511kt, up 11% Y-o-Y
- Zinc India
- Record-Highmined metal production of 248kt since UG transition, up 4% Y-o-Y
- Cost of production at $1,124 per tonne, up 22% Y-o-Y
- Zinc International:
- Gamsberg quarterly MIC production of 39 kt, up 10% Y-o-Y
- Gamsberg cost of production at $1,379 per tonne, up 11% Y-o-Y
- Oil & Gas:
- Average gross operated production of 165 kboepd for Q2 FY2022, flat Y-o-Y
- Gas and Condensate discovery 'Jaya-1' in Cambay exploratory well in OALP Block
- Iron Ore:
- Record quarterly pig iron production of 208 kt, up 12% Y-o-Y
- Commercial production started in Sesa-Coke Gujarat
- Steel:
- Steel saleable production at 293 kt, up 12% Y-o-Y
- FACOR:
- Highest Fe Chrome production of 19 kt in Q2 FY22
- Highest EBITDA margin at $655 per tonne, ~14 times Y-o-Y
- Copper India:
- Due legal process is being followed to achieve a sustainable restart of the operations
Registered Office: Vedanta Limited 1st Floor, 'C' Wing, Unit 103, Corporate Avenue, Atul Projects, Chakala, Andheri (East), Mumbai 400093, Maharashtra, India.
CIN: L13209MH1965PLC291394
Sensitivity: Internal (C3)
Page 4 of 10
Consolidated Results for the 2nd Quarter and Half Year ended 30 Sep 2021
Consolidated Financial Performance
The consolidated financial performance of the company during the period is as under:
(In ₹ crore, except as stated)
Particulars | Q2 | % | Q1 | % | H1 | |||||
FY2022 | FY2021 | Change | FY2022 | Change | FY2022 | FY2021 | ||||
Net Sales/Income from operations | 30,048 | 20,804 | 44% | 28,105 | 7% | 58,153 | 36,491 | |||
Other Operating Income | 353 | 303 | 16% | 308 | 15% | 661 | 589 | |||
EBITDA | 10,582 | 6,530 | 62% | 10,031 | 5% | 20,613 | 10,539 | |||
EBITDA Margin | 1 | 40% | 36% | 10% | 41% | (3%) | 40% | 33% | ||
Finance cost | 1,066 | 1,312 | (19%) | 1,182 | (10%) | 2,248 | 2,564 | |||
Investment Income | 579 | 607 | (5%) | 726 | (20%) | 1,305 | 1,624 | |||
Exploration cost write off | 2 | 51 | - | - | 96 | (47%) | 147 | - | ||
Exchange gain/(loss) - (Non operational) | (74) | 30 | - | (50) | 47% | (124) | 24 | |||
Profit before Depreciation and Taxes | 9,970 | 5,855 | 70% | 9,428 | 6% | 19,399 | 9,622 | |||
Depreciation & Amortization | 2,118 | 1,938 | 9% | 2,124 | (0%) | 4,242 | 3,671 | |||
Profit before Exceptional items | 7,852 | 3,917 | - | 7,304 | 7% | 15,156 | 5,951 | |||
Exceptional Items Credit/(Expense) | 3 | (46) | 95 | - | (134) | (66%) | (180) | 95 | ||
Profit Before Tax | 7,806 | 4,012 | 95% | 7,170 | 9% | 14,976 | 6,046 | |||
Tax Charge/ (Credit) | 2,010 | 2,338 | (14%) | 1,935 | 4% | 3,945 | 2,847 | |||
Tax on Exceptional items/ (Credit) | (16) | 33 | - | (47) | (66%) | (63) | 33 | |||
Profit After Taxes | 5,813 | 1,642 | 254% | 5,282 | 10% | 11,095 | 3,165 | |||
Profit After Taxes before exceptional items | 5,842 | 1,581 | 270% | 5,369 | 9% | 11,212 | 3,103 | |||
Minority Interest | 1,197 | 819 | 46% | 1,059 | 13% | 2,257 | 1,308 | |||
Attributable PAT | 4,615 | 824 | - | 4,224 | 9% | 8,839 | 1,857 | |||
Attributable PAT before exceptional items | 4,644 | 792 | 486% | 4,280 | 8% | 8,924 | 1,825 | |||
Basic Earnings per Share (₹/share) | 12.46 | 2.22 | - | 11.40 | 9% | 23.85 | 5.01 | |||
Basic EPS before Exceptional items | 12.53 | 2.14 | - | 11.55 | 9% | 24.08 | 4.93 | |||
Exchange rate (₹/$) - Average | 74.02 | 74.24 | (0%) | 73.76 | 0% | 73.89 | 74.85 | |||
Exchange rate (₹/$) - Closing | 74.21 | 73.63 | 1% | 74.28 | (0%) | 74.21 | 73.63 |
- Excludes custom smelting at Copper business
- Pertains to unsuccessful exploration wells write off Open Acreage Licensing policy (OALP) blocks at Cairn
- Exceptional Items Gross of Tax
Registered Office: Vedanta Limited 1st Floor, 'C' Wing, Unit 103, Corporate Avenue, Atul Projects, Chakala, Andheri (East), Mumbai 400093, Maharashtra, India.
CIN: L13209MH1965PLC291394
Sensitivity: Internal (C3)
Page 5 of 10
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Vedanta Limited published this content on 28 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 October 2021 11:20:31 UTC.
