Q4FY23 Preview: Hindalco Industries: Revenue seen at Rs. 55,499 crore, PAT at Rs. 2,399 crore

18 May 2023 , 12:12 PM

Result date: 24^th May, 2023

Recommendation: Buy

Target price: Rs. 505

(Source: IIFL Research)

Hindalco Industries (Hindalco) could witness low-single digit decline in standalone revenue over the year ago quarter, largely due to lower copper and aluminum prices (partly offset by Rupee depreciation). On a consolidated basis, revenue could remain flattish (up 4.7% sequentially).

Hindalco’s EBITDA would be under pressure amid lower aluminum profits partially offset by higher copper profits. Higher input costs at Novelis is another pressure point. Sequentially though EBITDA could surge, riding high on falling energy costs in India as well as Europe.

The company’s Profit After Tax (PAT) could drop 39% sequentially.

Rs Crore	March 2023 estimates	YoY change	QoQ change
Revenue	55,499	0.0%	4.7%
EBITDA	5,684	(22.05)%	58.8%
Profit After Tax	2,399	(39.2)%	119.5%

Source: Brokerage estimates