Hindalco Industries Limited · NSE:HINDALCO
Hindalco Industries — Q1 FY2025 Earnings Presentation
40 slides from Hindalco Industries's earnings presentation, Aug 13, 2024
Slide 1: Stock exchange filing cover letter for investor presentation
August 13, 2024 BSE Limited National Stock Exchange of India Limited Luxembourg Stock Exchange Scrip Code: 500440 Scrip Code: HINDALCO Scrip Code: US4330641022 Sub: Investor Presentation of the Board Meeting of Hindalco Industries Limited (‘the Company’) Ref: a. Regulation 30 (read with schedule III
Slide 2: Earnings Presentation 13 Aug 2024
I N D U S T R I E S L I M I T E D EARNINGS 13 Aug 2024 PRESENTATION 1
Slide 3: Safe Harbour
SAFE Harbour Certain statements in this report may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the company’s operations incl
Slide 4: Sustainability Updates
Q1 FY25 EARNINGS SUSTAINABILITY Updates 3
Slide 5: Recycling of industrial wastes for a circular economy
Recycling of industrial wastes for a Sustainability updates circular economy Hindalco Sustainability Initiatives 97% of total waste 138% of bauxite residue The Sahaas MSW (Municipal Solid Waste) recycled & reused and 106% of Ash was Management project in Belagavi has been in Q1 FY25 recycled and re-
Slide 6: Initiatives to conserve precious water resources
Hindalco has taken various initiatives to Sustainability updates Hindalco Sustainability Initiatives conserve precious Water Resources Desalination Zero Liquid Water Positivity: Water Recycling: 4.6 project and Discharge Projects: 1st CII GreenCo million m³ of Tertiary Water (15/19 plant sites Water
Slide 7: Protecting Biodiversity
Sustainability updates Hindalco Sustainability Initiatives At Hindalco, our unwavering commitment to Protecting Biodiversity is intricately woven into our sustainability targets. GREENBELT AND BIODIVERSITY A pilot project for the In FY24, a total Hindalco is now an removal of invasive of 4,10,355 tr
Slide 8: Shift to Green Energy across Hindalco
We are rapidly making the shift to Sustainability updates Hindalco Sustainability Initiatives Green Energy across Hindalco 173 MW 25 MW 100 MW 300 MW Total renewable 16 MW Solar - to 100 MW Target to capacity stands at be operational by Hybrid (with reach 300 MW 173 MW (largely Q2 FY25, with storage
Slide 9: Health and Safety of Hindalco's workforce
Sustainability updates Health and Safety of Hindalco’s workforce is Hindalco Sustainability Initiatives crucial to fostering a thriving and successful organisation Safety Large scale Awareness Reward and recognitions enhancements and Drive with title Several safety awards Focusing on monitoring syst
Slide 10: Quarterly Financial Snapshot
Q1 FY25 EARNINGS QUARTERLY Financial Snapshot 9
Slide 11: Financial Snapshot YoY (Q1 FY25 vs Q1 FY24)
Financial Snapshot Consolidated Financial Performance YoY (Q1 FY25 vs Q1 FY24 ) Novelis, Aluminium and Copper Businesses Change Particulars UOM Q1 FY24 Q1 FY25 All Businesses Consolidated (₹ Crore) YoY Shipments KT 879 951 8% Revenue $ Billion 4.09 4.19 2% Q1 FY25 Business Segment EBITDA $ Million 4
Slide 12: Economy & Industry Updates
Q1 FY25 EARNINGS ECONOMY & Industry Updates 11
Slide 13: Global Economy
Global Economy Economy & Industry Updates Global GDP GDP Growth (% YoY) Global GDP growth resilient, projected at 3.2% in 2024 and 3.3% in 2025 from 3.3% -0.1 5.4 4.3 3.5 3.5 3.6 3.5 3.4 3.9 3.6 2.9 6 3.5 3.3 3.2 3.3 in 2023 (IMF, July 2024) CY09 CY10 CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY2
Slide 14: Indian Economy
Indian Economy Economy & Industry Updates Domestic GDP GDP Growth (% YoY) 10.3 8.5 8.3 8.3 8.7 8.2 8 7.4 7 7 7.2 Sustained growth 6.6 6.4 momentum, FY25 5.5 growth projected at 3.9 4.2 7.2%. (RBI) FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25F -6.6 Outlook Risk
Slide 15: Global Aluminium Demand & Supply Balance
Global Aluminium Demand Economy & Industry Updates & Supply Balance Global Aluminium Industry ( In Million Tons) Production Consumption Metal Balance 40.0 4% 40.0 4% 35.8 35.4 34.5 34.2 35.0 35.0 30.0 30.0 25.0 25.0 3% 2% 20.0 17.9 20.0 17.9 18.2 0.3 17.4 21.8 21.1 20.5 20.2 0.3 15.0 15.0 -0.5 -0.3
Slide 16: Industry demand for Domestic Aluminium
Industry demand Economy & Industry Updates for Domestic Aluminium Domestic Aluminium Industry ( In Kilo Tons) 1173 1163 1130 1147 1335 1266 1220 1319 In Q1 FY25, the domestic demand is likely to reach 263 284 1,319 Kt 266 266 (15% growth 218 196 213 211 YoY) primarily led 504 342 463 by strong 453 4
Slide 17: Aluminium Flat Rolled Products
Industry demand Economy & Industry Updates Aluminium Flat Rolled Products Aluminum FRP Industry Global FRP Demand is estimated to grow by ~4% ex-China in CY24. Beverage Packaging Automobile Specialty Aerospace CAGR 4% - CY23-31 (Ex China) CAGR 7% (CY23-28) Growth Rate @Global GDP% CAGR 5% (CY23-30)
Slide 18: Global Copper Demand & Supply Balance
Global Copper Demand & Supply Balance Economy & Industry Updates ( In Million Tons) Global Copper Industry Production Consumption Metal Balance 16.0 3.% 2% 14.0 13.1 12.7 12.5 12.7 12.0 10.0 7.3 3% -1% 7.1 7.0 7.1 0.1 0.3 8.0 6.7 6.6 1.5 1.6 5.6 5.8 6.2 6.4 5.6 -0.2 5.6 -0.4 6.0 0.8 0.6 3.9 3.8 3.6
Slide 19: Domestic Refined Copper Demand
Domestic Refined Copper Demand Economy & Industry Updates (In Kilo Tons) Domestic Copper Industry 225 In Q1 FY25, 196 201 198 201 market demand 190 194 187 increased by 67 ~4% YoY at 54 56 54 201 kt vs 194 45 49 57 64 KT in Q1 FY24 while share of domestic suppliers increased to 73% from 71% 158 147
Slide 20: Consolidated Financial Performance
Q1 FY25 EARNINGS Consolidated Financial Performance 19
Slide 21: Key Metrics
Key Metrics Consolidated Financial Performance Revenue (₹ Crore) EBITDA (₹ Crore) 57,013 7,992 55,994 52,991 7,201 6,109 Q1 FY24 Q4 FY24 Q1 FY25 Q1 FY24 Q4 FY24 Q1 FY25 PBT after Exceptional Items (₹ Crore) Profit after Tax (₹ Crore) 3,174 3,074 4,848 4,136 2,454 3,317 Q1 FY24 Q4 FY24 Q1 FY25 Q1 FY2
Slide 22: Debt & Leverage: Net Debt to EBITDA
Debt & Leverage Consolidated Financial Performance Consolidated Debt (₹ Crore) Particulars (Consolidated) 30-Jun-23 30-Sep-23 31-Dec-23 31-Mar-24 30-Jun-24 Gross Debt 57,382 56,578 53,402 54,501 54,019 Treasury Balance 18,919 18,965 18,566 22,965 18,489 Net Debt 38,463 37,613 34,835 31,536 35,530 TT
Slide 23: Novelis Performance
Q1 FY25 EARNINGS Novelis Performance 22
Slide 24: Operational Performance
Operational Performance Novelis Performance Novelis has made significant progress across all it’s business segments Expansion projects on track* Shipments at 951 Kt New 240 Kt Severe Rhone river ,up 8% YoY driven by automotive recycling flooding event in Valais, normalized demand and casting center
Slide 25: Financial Performance
Financial Performance Novelis Performance Adjusted EBITDA ($ Million) Adjusted EBITDA per tonne ($/tonne) In Q1 FY25, up 19% YoY, significant improvement was driven by higher volumes Q1 FY25, up 10% YoY and favourable product pricing 540 514 500 525 421 479 Q1 FY24 Q4 FY24 Q1 FY25 Q1 FY24 Q4 FY24 Q1
Slide 26: Aluminium Upstream Performance
Q1 FY25 EARNINGS Aluminium Upstream Performance 25
Slide 27: Aluminium: Upstream
Aluminium: Upstream Aluminium : Upstream Performance Operational and Financial Performance Shipments (KT) Revenue (₹ Crore) In Q1 FY25 down 4% YoY In Q1 FY25 up 10% YoY due to higher average aluminium prices 341 337 8,839 329 8,469 8,064 Q1 FY24 Q4 FY24 Q1 FY25 Q1 FY24 Q4 FY24 Q1 FY25 EBITDA (₹ Cror
Slide 28: Aluminium Downstream Performance
Q1 FY25 EARNINGS Aluminium Downstream Performance 27
Slide 29: Aluminium: Downstream
Aluminium: Downstream # Aluminium : Downstream Performance # includes Flat Rolled Products, Foils & Extrusions Operational and Financial Performance Shipments (KT) Revenue (₹ Crore) In Q1 FY25, up 18% YoY on account of market recovery In Q1 FY25, up by 18% YoY on account of higher volumes 2,920 2,86
Slide 30: Copper Performance
Q1 FY25 EARNINGS Copper Performance 29
Slide 31: Copper Performance
Copper Performance Copper Business Operational and Financial Performance Shipments: Metal (KT) Shipments: CC Rods (KT) In Q1 FY25 metal shipments was at 119 KT up 1% YoY in Q1 FY25, up 2% YoY 135 100 98 98 118 119 Q1 FY24 Q4 FY24 Q1 FY25 Q1 FY24 Q4 FY24 Q1 FY25 Revenue (₹ Crore) EBITDA (₹ Crore) in
Slide 32: Key Takeaways
Q1 FY25 EARNINGS Key Takeaways 31
Slide 33: Key Take Aways
Key Take Aways Summary India Business • Focus on Resource securitization A strong balance sheet, • 57% of the 300 MW target by first half of an enabler for organic • Focus on Downstream growth CY 2025, achieved, expansion as Silvassa with total Extrusion ramps up and Renewables reaching Aditya FRP p
Slide 34: Thank You
I N D U S T R I E S L I M I T E D For Further Queries Please Contact : Registered Office Thank Subir Sen, Investor Relations 21st Floor, One Unity Centre, Senapati Bapat Marg, Prabhadevi, Mumbai – 400013 You Telephone +91 22 6662 6666 E mail: hilinvestors@adityabirla.com Website: www.hindalco.com Te
Slide 35: Consolidated: Key Financials
Consolidated : Key Financials Financials Consolidated Change QoQ Particulars (₹ Crore) Q1 FY24 Q4 FY24 Q1 FY25 YoY % Change % Revenue from Operations 52,991 55,994 57,013 8% 2% Earning Before Interest, Tax, Depreciation & Amortisation (EBITDA) Novelis* 3,456 4,270 4,170 21% -2% Aluminium Upstream 1,
Slide 36: Hindalco (India) Business: Key Financials
Hindalco (India) Business : Key Financials Financials Hindalco (India) Business YOY QoQ Particulars (₹ Crore) Q1 FY24 Q4 FY24 Q1 FY25 Change % Change% Revenue from Operations 20,230 22,929 22,750 12% -1% EBITDA Aluminium - Upstream 1,935 2,709 3,493 81% 29% Aluminium - Downstream 135 144 110 -19% -2
Slide 37: Aluminium (India) Business: EBITDA and Sales Reconciliation
Aluminium (India) Business : EBITDA and Sales Reconciliation Financials Hindalco (India) Business Aluminium Business EBITDA Particulars (in Rs Cr) Q1 FY24 Q4 FY24 Q1 FY25 EBITDA - Upstream 1,935 2,709 3,493 EBITDA - Downstream 135 144 110 Intersegment Profit /(Loss) Elimination (Net) # (1) (2) (230)
Slide 38: Production Trends
Operational Performance Production Trends Hindalco (India) Business Aluminium Upstream (KT)* Aluminium Downstream# (KT)* In Q1 FY25, flat YoY In Q1 FY25, up 19% YoY 100 101 331 332 330 84 Q1 FY24 Q4 FY24 Q1 FY25 Q1 FY24 Q4 FY24 Q1 FY25 Copper Cathode (KT) 109 Copper Rods** (KT) In Q1 FY25, up 20% Yo
Slide 39: Production – Alumina
Production – Alumina Operational Performance Hindalco (India) Business Alumina* (KT) 966 963 855 Q1 FY24 Q4 FY24 Q1 FY25 • Total Alumina production was up 13% YoY • Of this production at Utkal Alumina refinery at 646 KT in Q1 FY25, up 12% YoY *Hydrate as Alumina 38
Slide 40: Q1 FY25: Earnings Concall
Q1 FY25 : Earnings Concall Earnings Conference Call is scheduled at 4:00 PM (IST) on August 13, 2024. The dial in numbers for the call are given below Location: ACCESS NUMBER Universal Access (India) Primary Number (+) 91 22 6280 1303 Secondary Number (+) 91 22 7115 8204 International TollFree Numbe
Hindalco Industries — Q1 FY2025 Earnings Presentation on 6ix