The Anil Agarwal-led Vedanta on Tuesday reported a 45 percent year-on-year (YoY) drop in net profit at Rs 2,615 crore for the fourth quarter ended March 2019.

In the corresponding quarter last year, the company posted a net profit of Rs Rs 4,802 crore. CNBC-TV18 Polls had predicted a profit of Rs 1,515 crore for the quarter under review.

Consolidated revenue stood at Rs 23,468 crore for the March quarter, as compared with Rs 27,630 crore in the same period of 2018-19, Vedanta said in a regulatory filing.

EBITDA for Q4 FY19 was at Rs 6,330 crore, 6 percent higher Q-o-Q, primarily due to improved cost of production at aluminium, higher sales at iron ore Karnataka, ESL and Zinc International, partially offset by lower commodity prices, rupee appreciation, lower volumes at Zinc India and write back of liability pursuant to settlement agreement with a contractor at Balco in Q3 FY2019.

For FY19, EBITDA was at Rs 24,012 crore, down 4 percent Y-o-Y, mainly due to the shutdown of Tuticorin smelter, input commodity inflation and higher cost of production at zinc businesses, partially offset by rupee depreciation, volume additions from ESL and ramp up of volume at aluminium. We maintained a robust EBITDA margin of 30 percent for the year (FY18: 35 percent).

Depreciation for Q419 was at Rs 2,258 crore, marginally higher Q-o-Q, primarily due to capitalisation of costs and ore production post commencement of Gamsberg operations. Depreciation and amortisation for FY19 were at Rs 8,192 crore, higher by 30 percent. This was mainly due to change in reserves estimates and reversal of the previously recorded impairment at oil and gas business in Q418, higher charge due to higher ore production at zinc businesses and capitalisation of costs at Gamsberg, and acquisition of ESL.

Exceptional gains for FY19 was at Rs 320 crore mainly due reversal of previously recorded impairment of Rs 261 crore in the KG ONN block of the Oil and Gas business and reversal of a Rs 59 crore charge relating to arbitration of a historical vendor claim pursuant to Supreme Court order in the aluminium business.

The exceptional gain for FY18 was at Rs 2,897 crore primarily because of reversal of previously recorded impairment of Rs 7,016 crore at oil and gas business partially offset by impairment of Iron Ore Goa assets of Rs 2,329 crore due to suspension of mining operations pursuant to Supreme Court order and reclassification of FCTR relating to subsidiary investment companies under liquidation of Rs 1,485 crore.

Navin Agarwal, chairman, Vedanta Limited, said, "FY2019 was a year of production ramp-up alongside robust financials and delivering repeated and industry leading returns to our shareholders. Acquisition of ESL and its successful turnaround, as well as the commencement of the long-awaited Gamsberg project, both, represent significant additions to our operating business portfolio."

Srinivasan Venkatakrishnan, chief executive officer, Vedanta, said, "Looking ahead, FY2020 will be an exciting year of growth in our key businesses – Zinc-Lead-Silver, Oil & Gas and Aluminium, being pursued with a strict capital allocation framework. We have also set stricter HSE standards and will continue our journey towards zero harm by ensuring greater levels of safety and sustainability."

Shares of Vedanta Ltd settled at Rs 163.40 apiece, down 2.07 percent on the BSE.

First Published:May 7, 2019 4:28 PM IST