Hindalco Industries announces Q2 results

Hindalco Industries Ltd has announced the following Unaudited results for the quarter ended September 30, 2009:

The Company has posted a net profit of Rs 3440.50 million for the quarter ended September 30, 2009 where as the same was at Rs 7199.50 million for the quarter ended September 30, 2008. Total Income is Rs 49744.00 million for the quarter ended September 30, 2009 where as the same was at Rs 58599.50 million for the quarter ended September 30, 2008.

Arising from the announcement of the Institute of Chartered Accountants of India dated March 29, 2008 on Accounting for Derivatives, the Company has decided for early adoption of Accounting Standard (AS) 30 on Financial Instruments Recognition and Measurement, in so far as it relates to derivative accounting, from April 01, 2009. Accordingly net loss arising on fair valuation of outstanding derivatives as on April 01, 2009 has been adjusted against general reserve following transitional provisions. Accounting for all derivatives from April 01, 2009 have been done as prescribed under the AS. Accordingly, net gain / (loss) Rs. (47) crores, Rs. 199 crores and Rs. (31) crores for the quarter ended September 30, 2009 and Rs. (38) crores, Rs. 15 crores and Rs. 287 crores for the six months ended September 30, 2009 have been included under Net Sales, Consumption of Raw Materials and Other Expenditure, respectively, with consequential impact on profit for the quarter and six months ended September 30, 2009. The figures of the current quarter and six months in respect of above items are, therefore, not comparable with those of the corresponding period of the previous year.