Novelis net income drops 23 pc to USD 183 mn in Sep qtr

Novelis Inc, the wholly-owned subsidiary of Hindalco Industries Ltd, on Tuesday reported a 23 per cent fall in net income to USD 183 million for the quarter ended September 30.

The company had posted a net income of USD 237 million in the corresponding period of the previous fiscal, Hindalco Industries said in a BSE filing.

However, the net sales of the company in the July-September quarter increased to USD 4,799 million from USD 4,119 million in the year-ago period, the filing said.

''Net income attributable to its common shareholder decreased 23 per cent versus the prior year to USD 183 million, while net income from continuing operations decreased 23 per cent to USD 184 million,'' the filing said.

The company delivered a solid second quarter despite challenging headwinds from inflation, the stronger US dollar, and reduced metal benefits, with good operational performance that allowed it to capture robust end-market demand in the quarter and increase total shipments, Steve Fisher, President and CEO, Novelis Inc, said.

''Although the current macro-economic environment is uncertain, we believe long-term demand for sustainable, lightweight, infinitely recyclable aluminium remains intact. We continue to progress our transformational investment strategy to grow with our customers, reaching an exciting milestone in the US with the ground-breaking of our new recycling and rolling plant in Alabama last month,'' he added.

The company is a global provider of sustainable aluminium solutions and is into aluminium rolling and recycling.