{"id":4878,"date":"2024-11-07T10:56:12","date_gmt":"2024-11-07T05:26:12","guid":{"rendered":"https:\/\/lakshmishree.com\/news\/?p=4878"},"modified":"2024-11-07T10:56:12","modified_gmt":"2024-11-07T05:26:12","slug":"hindalco-shares-slide-over-6-after-novelis-q2-profit-decline-and-withdrawn-margin-forecast","status":"publish","type":"post","link":"https:\/\/lakshmishree.com\/news\/hindalco-shares-slide-over-6-after-novelis-q2-profit-decline-and-withdrawn-margin-forecast\/","title":{"rendered":"Hindalco Shares Slide Over 6% After Novelis\u2019 Q2 Profit Decline and Withdrawn Margin Forecast"},"content":{"rendered":"\n

Hindalco Industries experienced a significant drop in its share price, falling over six percent during early trading, following a report from its U.S.-based subsidiary, Novelis Inc., revealing a decline in quarterly earnings. Novelis posted an 18% year-on-year decrease in net income, amounting to $128 million for Q2 of FY 2024-25.<\/p>\n\n\n\n

The decline stemmed from a $61 million expense linked to production disruptions at the Sierre plant, as well as increased restructuring and impairment costs, and lower operating performance, according to Novelis\u2019 statement on November 6.<\/p>\n\n\n\n

Despite these challenges, Novelis saw a 4.5% increase in net sales, reaching $4.29 billion, compared to $4.1 billion in the same period last year. However, adjusted EBITDA, impacted by higher aluminum scrap costs, a less favorable product mix, and flood-related setbacks at Sierre, declined to $462 million, with EBITDA per tonne at $489.<\/p>\n\n\n\n

At 9:20 am, Hindalco shares on the NSE were trading at Rs 663.75, down by 6.3% as investors reacted to Novelis\u2019 cautious outlook.<\/p>\n\n\n\n

Following the report, domestic brokerage Emkay Global downgraded Hindalco to \u2018sell\u2019 from \u2018reduce,\u2019 citing uncertainty surrounding the EBITDA\/t growth trajectory. Emkay highlighted concerns over widening scrap spreads, attributed to China\u2019s liberalized scrap import policy, which could weigh on the stock in the short term. Emkay set a price target of Rs 600 per share, projecting a potential downside of 15% from the previous closing.<\/p>\n\n\n\n

In the past year, Hindalco shares have outperformed, rising around 37% compared to a 26% gain in the Nifty 50 index.<\/p>\n\n\n\n

Do you have a news tip for Lakshmishree reporters? Please email us at media@lakshmishree.com<\/a><\/p>\n\n\n\n

Source:\u00a0Moneycontrol<\/a><\/sup><\/sub><\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Hindalco Industries experienced a significant drop in its share price, falling over six percent during early trading, following a report from its U.S.-based subsidiary, Novelis Inc., revealing a decline in quarterly earnings. Novelis posted an 18% year-on-year decrease in net income, amounting to $128 million for Q2 of FY 2024-25. The decline stemmed from a […]<\/p>\n","protected":false},"author":1,"featured_media":4880,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[50],"tags":[639,640],"class_list":["post-4878","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-indian-market","tag-hindalco","tag-novelis-q2"],"_links":{"self":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts\/4878","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/comments?post=4878"}],"version-history":[{"count":1,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts\/4878\/revisions"}],"predecessor-version":[{"id":4881,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts\/4878\/revisions\/4881"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/media\/4880"}],"wp:attachment":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/media?parent=4878"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/categories?post=4878"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/tags?post=4878"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}