Revenue from operations during the quarter was INR 7,310 Crore, up 8% q-o-q on account of better zinc & silver volumes, higher zinc prices and favourable exchange rates partly offset by lower lead prices and volumes.

Zinc cost of production before royalty (COP) for the quarter stood at $ 1,095 (Rs 91,180) per MT, lower by 4% QoQ (3% lower in Rs terms) and 15% YoY (14% lower in Rs terms). Zinc COP for 9M FY24 was $ 1,142 (Rs 94,448) per MT, down by 10% YoY (7% lower in Rs terms). Cost improvement is majorly on account of better volume, softened coal prices, operational efficiency partly offset by lower acid realisation, further supported by better grades and better linkage coal availability and utilisation year on year

In Q3 FY24, EBITDA was Rs 3,559 crore, up 14%QoQ and down 4%YoY in line with the revenue from operations and cost improvement. EBITDA margin stood at 49% in Q3 FY24.

Mined metal production for the quarter was 271 kt, up 8% sequentially and 7% y-o-y, driven by higher ore production at Rampura Agucha and Sindesar Khurd mines, further supplemented by improved mined metal grades year on year.

Refined metal production for the quarter was 259 kt, up 7% sequentially and 1% y-o-y in line with the plant availability.

Integrated zinc production for the quarter was 203 kt, up 10% sequentially and down 4% y-o-y. Refined lead production for the quarter was 56 kt, down 1% sequentially and up 21% y-o-y on account of pyro operations being operated on lead mode for longer duration as compared to base period to maximize silver production.

Saleable silver production for the quarter was 197 MT, up 9% q-o-q and 22% y-o-y in line with the lead metal production and higher accumulation of WIP in Q2 FY24.

As on 31 December 2023, the company’s gross investments and cash & cash equivalents were Rs 9,743 crore as compared to Rs 11,393 crore at the end of September’23 which was invested in high quality debt instruments. Total borrowings outstanding as on December 2023 was Rs 10,111 crore.

Arun Misra, chief executive officer (CEO), said, “The Company’s sustainable operational progress is reflected in its industry leading compounded annual production growth rate supplemented by safe practices.

On sustainability front, advancing towards our decarbonisation mission, Hindustan Zinc has initiated the deployment of electric and LNG vehicles in its operations for inter-unit movements and finished goods transportation, thereby reducing the Scope 3 emissions.

Sandeep Modi, chief financial officer (CFO), said: “This marks Hindustan Zinc’s fourth consecutive quarter of consistent cost improvement and the lowest cost in last 10 quarters. We continue to remain focused on cost optimisation, operational efficiencies, working capital management, digital improvements and shareholder value maximisation.

During the quarter, Hindustan Zinc has delivered steady margin of c.49%, bolstered by operational milestones and cost reduction. The Company is now in the first decile of the global zinc mining cost curve preserving its cost leadership globally and targets to achieve its designed cost in the near future.”

Hindustan Zinc, a Vedanta Group company, is an integrated producer of zinc, lead and silver. As of September 2023, Vedanta held 64.92% stake in the company.

The scrip rose 1.11% to Rs 315.25 on the BSE.