Sterlite Industries net jumps 35% on higher volumes
Sterlite also said that its standalone net profit was higher due to adoption of a new accounting standard that segregates debt and equity in a convertible loan instrument.
By ET Bureau | Updated:
MUMBAI: Sterlite Industries, a part of the London-listed Vedanta Resources, posted a 35% rise in consolidated net profit for the fourth quarter ended March 31, 2001, backed by improved performance across all metal segments and higher volumes.
However, in the statement issued after the results, Sterlite also said that its standalone net profit was higher due to adoption of a new accounting standard that segregates debt and equity in a convertible loan instrument, a move that led to recording of lower interest charges.
On a consolidated basis, the net profit rose to 1,925 crore in the January-March quarter, while revenue was up 40% at 10,000 crore in the same period. For the full year also, Sterlite's consolidated net profit grew 25% and revenue rose 23%.
"It's heartening to note that the growth has come from all segments including aluminum, copper, power and is not limited to zinc alone," said Chandrani De of Ambit Capital. "All business had their own reasons for growth and this would comfort investors of Sterlite Industries."
Sterlite Industries scrip was up 4.2% to 186 on BSE. In its explanatory note, Sterlite said that the company had adopted Accounting Standard 30 from March 31, 2008.
Since a convertible debt, issued in October 2009, has been accounted under the standard, the conversion option has been measured at fair value through profit and loss account, while the notes were carried at amortised cost.
However, in the statement issued after the results, Sterlite also said that its standalone net profit was higher due to adoption of a new accounting standard that segregates debt and equity in a convertible loan instrument, a move that led to recording of lower interest charges.
On a consolidated basis, the net profit rose to 1,925 crore in the January-March quarter, while revenue was up 40% at 10,000 crore in the same period. For the full year also, Sterlite's consolidated net profit grew 25% and revenue rose 23%.
"It's heartening to note that the growth has come from all segments including aluminum, copper, power and is not limited to zinc alone," said Chandrani De of Ambit Capital. "All business had their own reasons for growth and this would comfort investors of Sterlite Industries."
Sterlite Industries scrip was up 4.2% to 186 on BSE. In its explanatory note, Sterlite said that the company had adopted Accounting Standard 30 from March 31, 2008.
Since a convertible debt, issued in October 2009, has been accounted under the standard, the conversion option has been measured at fair value through profit and loss account, while the notes were carried at amortised cost.
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