Hindustan Zinc is all set to announce its financial results for the October-December quarter on Thursday. The street expects the company to report a weak quarter but the outlook for Q4FY23 is crucial as metal prices have bounced.

On a year-on-year basis, the CNBC-TV18 poll estimates the revenue of Hindustan Zinc for the quarter of the financial year 2023 to decline by 4 percent and the EBITDA is expected to decline by 15 percent. Hindustan Zinc’s profit after tax is estimated to decline by 18 percent.

According to Kotak Securities Hindustan Zinc’s volumes are expected to be lower due to maintenance-related shutdowns and the margins will be impacted by weakness in commodity prices and high-cost fuel inventories.

Further from the financial results today it would be important to look out for management guidance on production and dispatches.

Also read: Govt eyes Coal India, NTPC, Hindustan Zinc and RITES offers for sale over next four months

Another thing to look out for will be clarity on the government sale of Hindustan Zinc's stake and Vedanta management's thoughts on participating in the same.

Hindustan Zinc recently reported an increase in mined metal production for the third quarter that ended on December 31, 2022. The company in a filing to the exchanges said that the total mined metal production in Q3FY23 increased a percent to 2,54,000 tonnes year-on-year from 2,52,000 tonnes in the same period a year ago.

Also read: CCEA clears sale of govt’s 29.5% stake in Hindustan Zinc valued at Rs 38,000 crore

The company's total mined metal for the first nine months of FY23 was up by 5 percent to 7,61,000 tonnes. This is also the highest ever nine months of mined metal production reported by Hindustan Zinc. The spike in production is backed by the company's higher ore production and improved mined metal grades.

However, Hindustan Zinc reported a slip in its integrated zinc, lead, and saleable silver output in the third quarter of the year. While the company's zinc production slipped 2 percent to 2,10,000 tonnes, the saleable silver production was down by 7 percent annually due to lower feed grade at SK Mine in line with the mine plan for the quarter.

Also read: Hindustan Zinc gains after mined metal production increases in third quarter

(Edited by : Abhishek Jha)