Vedanta Limited: Consolidated Results for the Third Quarter Ended 31 December 2016

MUMBAI, Feb. 14, 2017

Financial Highlights

• Revenues of Rs. 19,320 crore, up 23% q-o-q
• EBITDA of Rs. 6,002 crore, up 29% q-o-q and up 83% y-o-y
• Robust EBITDA margins¹ of 39%, reflecting benefits from higher commodity prices and volume ramp-up
• Attributable PAT at Rs. 1,866 crore,  up 4.5 times y-o-y and 49% higher q-o-q
• Delivered cumulative cost and marketing savings of $545 mn over the last 7 quarters, ahead of plan to deliver $1.3 bn in four years
• Free cash flow of Rs. 1,801 crore, driven by strong operating performance
• Gross debt reduction of Rs. 1,828 crore and net debt reduction of Rs. 447 crore during the quarter
• Strong financial position with total cash and liquid investments of Rs. 53,452 crore

Operational Highlights

• Zinc India: Mined metal production up 44% q-o-q in line with mine plans; environment clearances received for expansion of Zawar and Sindesar Khurd mines
• Aluminium: Smelters continue to ramp-up; third line of the 1.25 mtpa Jharsuguda-II smelter commenced ramp up in December 2016
• Power: 1,980MW TSPL plant availability at 77%
• Oil & Gas: Mangala EOR production at 55 kboepd; Rajasthan production impacted by planned shutdown
• Iron ore: Achieved annual mining production cap in January; received additional mining allocation in Goa for FY2017

1.  Excludes custom smelting at Copper India and Zinc India operations

Tom Albanese, Chief Executive Officer, Vedanta Limited, said: "Volume ramp-up and cost efficiencies across our operations, aided by higher commodity prices, have significantly driven up EBITDA y-o-y. Our financial position remains robust and we continue to strengthen our balance sheet by maximising free cash flow and reducing debt. With our focus on simplifying the group structure, the Vedanta Limited and Cairn India merger is expected to be completed in the first quarter of CY 2017."

Consolidated Financial Performance