Hindalco Limited
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BSE Code:
500440
NSE Code:
HINDALCO
Business Profile
Business Profile
Hindalco Industries (HINDALCO), a flagship company of the Aditya Birla group, is structured into two strategic businesses aluminum and copper. HINDALCO commenced its operations in 1962 with an aluminum facility in Renukoot, Uttar Pradesh. Birla Copper, HINDALCO`s copper division is situated in Dahej, Bharuch district, Gujarat.
The aluminum division`s product range includes alumina chemicals, primary aluminum ingots, billets, wire rods, rolled products, extrusions, foils and alloy wheels. It enjoys a domestic market share of 42% in primary aluminum, 63% in rolled products, 20% in extrusions, 44% in foils and 31% in wheels. To provide value-added products and services, HINDALCO has launched several brands in recent years, which include Aura for alloy wheels, Freshwrapp for kitchen foil and Everlast for roofing sheets. The copper plant produces copper cathodes, continuous cast copper rods and precious metals like gold, silver and platinum group metal mix. Sulphuric acid, phosphoric acid, di-ammonium phosphate, other phosphatic fertilizers and phospho-gypsum are also produced at this plant.
Hindalco Industries has a 51% shareholding in Aditya Birla Minerals which has mining and exploration activities focused at the Nifty copper operation and the Mt Gordon copper operation in Australia. The company has two R&D centers; the Belgaum Research and Development Center in Belgaum, Karnataka and Taloja Research and Development Center in Taloja, Maharashtra. They have been recognized by the Government of India`s Department of Scientific and Industrial Research (DSIR).
Financials
The company announced a marginal rise in standalone net profit for the quarter ended December 2008. During the quarter, the profit of the company rose 0.39% to Rs 5,448 million from Rs 5,427 million in the same quarter previous year. Net sales declined 9.96% to Rs 40,802 million, while total income for the quarter fell 8.94% to Rs 42,306.60 million, when compared with the prior year period. It reported earnings of Rs 3.37 a share during the quarter, registering 23.76% decline over previous year period.
Recent Developments
10-OCT-08
The promoter of the company has IGH Holdings (P) purchased 894,447 equity shares of Hindalco through stock exchanges on Oct. 08, 2008.
Future Plans
The company is doubling the capacity of copper smelter to 500,000 tons per annum. The copper smelter in Dahej will become world`s largest smelter at a single location.
The brownfield expansion from 110,000 TPA to 450,000 TPA at Muri Alumina Refinery in the state of Jharkhand is at an advanced stage. It is expected to commence commissioning by the fourth quarter of FY07.
Phase II of expansion of smelting capacity from 100,000 TPA to 146,000 TPA and the power generation capacity from 267.5 MW to 367.5 MW is moving smoothly. The project is slated to be commissioned by the end of December 2007.
The company is planning a greenfield integrated 1.5 million TPA alumina refining and 325,000 TPA aluminum smelting project in Orissa.