Vedanta Ltd, the Indian unit of diversified energy group Vedanta Resources PLC, reported a doubling of quarterly consolidated profit on Tuesday, as higher zinc prices helped the company to reap improved margins.
Consolidated profit came in at Rs 1,525 crore ($236.76 million) in the quarter ended June 30, with profit from zinc operations in India rising three-fold to Rs 1,815.
The rise in zinc profits was offset by losses in the company's power and iron ore operations during the quarter.
Shares of Vedanta, which produces zinc, lead, copper, iron ore, aluminium and oil and gas, gained more than four percent shortly after the results were announced. The stock closed up 3.7 per cent at Rs 274.25 on the National Stock Exchange.
Analysts on average expected the company to post a consolidated profit of Rs 1,631, according to Thomson Reuters data.
"We see robust market outlook in zinc and aluminium in India and globally," Tom Alabanese, chief executive officer of Vedanta said in a conference call.
Revenue from Vedanta's zinc operations in India accounted for 23 per cent of the total consolidated revenue from operations which came in at Rs 19,342, the company said.