Hindustan Zinc Q2 Results: Hindustan Zinc Ltd reported a 35% increase in net profit for Q2 FY25, reaching ₹2,327 crore, up from ₹1,729 crore in the same period last year. The rise in profits was driven by higher zinc prices, supported by stronger demand prospects from China and global supply concerns.
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The company’s revenue from operations grew by 21% year-on-year to ₹8,004 crore in Q2 FY25, compared to ₹6,619 crore in Q2 FY24. The boost in revenue was primarily due to improved zinc prices, as China’s economic stimulus measures fueled optimism for increased metals demand.
At 2:30 pm on October 18, Hindustan Zinc’s shares were trading 1.35% higher at ₹515 apiece on the BSE. Additionally, the company’s board approved an investment of ₹327 crore for acquiring a minimum 26% equity stake in Serentica Renewable India Private Limited or its affiliates.
Zinc prices saw a year-on-year increase in the September quarter, with China, the top producer and consumer of the metal, announcing stimulus measures to support its economy. This helped improve the outlook for zinc demand, further driving Hindustan Zinc’s growth.
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Moreover, zinc supply constraints from China added upward pressure on prices. Major Chinese smelters agreed to planned production maintenance and delayed the commissioning of new capacity, which contributed to the supply shortage.
Hindustan Zinc continues to dominate the domestic market, holding a 75% share. Its silver business, the company’s second-largest segment, also saw notable growth, with a 20% year-on-year increase in revenue, positioning Hindustan Zinc as one of the top producers globally.
