Latest news with #AluminaRefinery
Business Standard
22-05-2025
- Business
- Business Standard
NALCO gains as Q4 PAT soars 105% YoY to Rs 2,078 crore
National Aluminium Company (NALCO) added 1.84% after the company reported a 104.59% surge in standalone net profit to Rs 2,078.37 crore in Q4 FY25, compared with Rs 1,015.83 crore in Q4 FY24. Revenue from operations jumped 47.18% YoY to Rs 5,267.83 crore in the quarter ended 31st March 2025. Profit before tax stood at Rs 2,759.64 crore in Q4 FY25, up 101.51% as against Rs 1,369.48 crore reported in the same period a year ago. Total expense declined 3.18% year on year to Rs 2,633.80 crore during the quarter. The cost of raw materials consumed stood at Rs 578.51 crore (down 15.01% YoY), while employee benefits expense was at Rs 413.25 crore (down 19.38% YoY) during the period under review. The companys revenue from chemicals was at Rs 2,536.66 crore (up 59.77% YoY) and income from aluminum stood at Rs 3,250.26 crore (up 32.68% YoY) during the period under review. Shri Brijendra Pratap Singh, CMD, stated that the companys growth gained significant momentum in the third and fourth quarters of FY25, as reflected in its robust financial performance and strong revenue growth. Enhancing efficiency, optimizing costs, and the unwavering commitment of our employees have played a pivotal role in enabling NALCO to maintain competitive pricing in a dynamic market environment. Furthermore, our strategic focus on process improvements has fostered a motivated, performance-driven workforce, he said. With aluminium prices firming up and demand steadily increasing, NALCO is well-positioned to sustain its growth trajectory. Looking ahead, Shri Singh reaffirmed the companys commitment to long-term sustainable growth through strategic expansions, including the 5th Stream expansion of the Alumina Refinery, the operationalization of the Pottangi Bauxite Mines, and the proposed expansion of the existing Smelter Plant and Captive Power Plant. These initiatives are expected to provide a strong foundation for sustainable and resilient growth, further strengthening NALCOs position in the global aluminium sector. National Aluminium Company (NALCO) manufactures and sells Alumina and Aluminium.
Yahoo
12-05-2025
- Business
- Yahoo
Companhia Brasileira de Aluminio SA (BSP:CBAV3) Q1 2025 Earnings Call Highlights: Strong ...
Revenue: BRL 2.3 billion, driven by increased aluminum prices and Real devaluation. Net Income: BRL 335 million for the quarter. Adjusted EBITDA: BRL 430 million, nearly 3x higher than Q1 2024, with an 18% margin. Sales Volume: 120,000 tons sold in the quarter. Debt Reduction: Net debt to EBITDA ratio decreased from 7.89 in March 2024 to 2.15 in March 2025. CapEx: Focused on maintenance and modernization, with future increases expected for Alumina Refinery maintenance. Cash Flow: Negative BRL 163 million due to seasonal working capital investment. Energy Contracts: New 14-year contract for 50 megawatts, competitive pricing in dollars. Aluminum Liquid Cost: Increased due to higher energy costs and alumina price rise by 16%. Warning! GuruFocus has detected 6 Warning Signs with BSP:CBAV3. Release Date: May 09, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Companhia Brasileira de Aluminio SA (BSP:CBAV3) reported strong financial results with a net income of BRL 335 million for the first quarter of 2025. The company successfully reduced its leverage from a net debt to EBITDA ratio of 7.89 in March 2024 to 2.15 in March 2025, indicating improved financial health. CBA's Alumina Refinery demonstrated excellent carbon performance, with emissions significantly lower than the industry average, highlighting its commitment to sustainability. The company was included in the S&P Global Sustainability Yearbook 2025 and the B3 ISE portfolio for the third consecutive year, recognizing its sustainable practices. CBA's domestic market demand remains strong, particularly in the automobile and urban mobility sectors, contributing to positive growth. The cost of production has increased due to higher energy prices and the rising cost of alumina, impacting profitability. There is uncertainty in the global market due to geopolitical tensions and tariff discussions, which could affect aluminum prices and demand. The company faces challenges with energy contracts, as higher costs have negatively impacted the energy business results. CBA's cash flow was negative for the quarter, primarily due to seasonal investments in working capital. The global aluminum market remains volatile, with concerns about the impact of U.S. tariffs and potential redirection of aluminum volumes to Europe. Q: How do you see the cost of production evolving over the next quarters, and what impact will it have on the company given the current aluminum price trends? A: Camila Silva, CFO, explained that the cost of production is expected to see higher impacts starting in the second quarter, with a recovery towards the end of the year. The cost of inputs like soda and coal tar pitch has increased, but favorable exchange rates may help mitigate some of these costs. The energy business is expected to improve due to strategic energy sales and new competitive contracts. Q: What is the company's target for leverage, and how does it plan to manage it moving forward? A: Camila Silva stated that the company aims to reduce its net debt to EBITDA ratio to 1.5 times. The recent improvement in leverage was due to strong EBITDA and favorable exchange rates. The company plans to continue prioritizing deleveraging by using cash flow to repay more expensive debt, which will also improve financial results. Q: How did the company manage the impact of U.S. tariffs on its aluminum exports? A: CEO Luciano Alves explained that while there was a reduction in sales to the U.S., the company compensated by increasing sales in the domestic market and to Europe. The tariffs are a challenge for clients who must manage the additional costs, but CBA has maintained its market position by diversifying its sales. Q: Can you provide insights into the energy contracts and their impact on the company's financials? A: Camila Silva noted that the company has secured long-term energy contracts with competitive pricing, which are expected to stabilize costs until 2028. The company is optimistic about its energy portfolio due to full reservoirs and high energy prices, which provide flexibility and opportunities for maximizing margins. Q: What are the expectations for aluminum prices and market demand in the near future? A: Luciano Alves mentioned that while the aluminum price has been volatile, it remains at a healthy level around $2,350 per ton. The market is influenced by geopolitical tensions and tariffs, but the company expects stable demand in the domestic market and is prepared to adapt to global market changes. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
