Hindustan Copper Eyes INR 10,000 cr Turnover by FY24
State-run Hindustan Copper is looking to achieve a turnover of Rs 10,000 crore by the financial year 2023-24 through capacity expansion, a top company official said.
The company earlier this month had also announced its plans to spend Rs 5,500 crore to expand its production capacity by six times from 3.6 million tonnes per annum (mtpa) at present to 20 mtpa by FY24.
"We aim to achieve a turnover of Rs 10,000 crore by FY24 through capacity expansion," Hindustan Copper chairman and managing director Santosh Sharma told reporters here. The company had clocked a turnover of Rs 1,700 crore in FY18, which will be increased to Rs 3,000 by FY20 and to Rs 10,000 crore by FY24 following completion of the expansion plans, he said. Of the Rs 5,500 crore planned capex, around 50 percent will be funded through internal accruals, Rs 1,200 crore through equity and the remaining through debt over a period of six years, according to Sharma.
Hindustan Copper at present meets 4 percent of the country's copper requirement, and Sharma said the Rs 300-crore Gujarat copper project will soon become operational and add 50,000 tpa capacity by March next year. Earlier this month, the government approved a fresh equity issue of 15 percent by HCL to fund capex plan.
Consequently, the government's shareholding in HCL will come down from 76.05 percent to 66.13 percent. Commenting on mines expansion plan, Sharma said, the company has reopened two mines in Jharkhand and Rajasthan and is looking to open more mines in near future, which will provide direct employment to 9,300 people.
"The company's mine expansion will further gain momentum as major tenders for mine construction and production is expected to be floated soon," he added. Meanwhile, Hindustan Copper posted around the three-fold rise in profit at Rs 35.21 crore for June quarter. Its net sales stood at Rs 397.69 crore, while the EBDITA margin was at 29 percent.
The company's shares ended 1.25 percent up at Rs 64.65 apiece on the BSE today, against 0.41 percent decline in the benchmark.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)