Equity Analysis

Profit before tax (PBT) jumped 62.27% YoY to Rs 6,661 crore in Q3 FY25.

EBITDA stood at Rs 11,284 crore in Q3 FY25, registering the growth 30% compared with Rs 8,677 crore posted inQ3 FY24. This growth was driven by structural cost-saving initiatives across businesses and favorable output commodity prices, partially offset by input commodity inflation. EBITDA improved to 34% in Q3 FY25 as against 29% iin Q3 FY24.

In Q3 FY25, depreciation & amortization stood at Rs 2,681 crore, down 5% YoY mainly at Copper and Alum business.

Cash and cash equivalents position remains strong at Rs 21,138 crore.

Arun Misra, executive director Vedanta, said, “We have delivered our highest-ever 3rd Quarter EBITDA of ₹11,284 crore. Our strategic focus on cost optimization and production ramp-up across our key businesses has helped us to continue delivering this outperformance. Notably, we witnessed 58% YoY jump in EBITDA at our Aluminium business and 28% YoY increase in our Zinc India business. We expect this outperformance to continue in the coming quarters driven by our ongoing growth initiatives and business integration projects.”

Ajay Goel, CFO, Vedanta, said, “This quarter marks a stellar performance, delivering the highest Q3 EBITDA of ₹11,284 crore, a remarkable 30% growth year-on-year, with a robust EBITDA margin of 34%. Our PAT stood at ₹4,876 crore, reflecting an exceptional 70% YoY growth, showcasing the resilience of our business. This success has been driven by our focus on cost efficiencies, volume growth, and favourable commodity prices. The recent upgrade in our credit rating, along with a leverage improvement to 1.4x, highlights our financial strength and the market’s confidence in Vedanta’s growth trajectory. Additionally, the demerger process is progressing well, with the shareholders’ and creditors’ meeting scheduled for February 2025.”

Vedanta, a subsidiary of Vedanta Resources, is one of the world's leading oil & gas and metals company with significant operations in oil & gas, zinc, lead, silver, copper, iron ore, steel, and aluminium & power across India, South Africa and Namibia.