Novelis Inc., the Canadian subsidiary of Hindalco Industries, plans to increase its flat-rolled aluminium capacity in Brazil by 20 per cent to 2.5 lakh tonnes by 2014 on the back of strong demand in the Asian region. It will invest $300 million (Rs 1,300 crore) in a brownfield expansion project at its Pinda unit in Brazil. Novelis has launched specific projects, including debottlenecking initiatives in September, to accelerate profitable growth. It recorded $1.2 billion, including cash of $512 million this quarter. Shipments were up six per cent at 7.37 lakh tones.
Novelis enters into forward metal purchases in tandem with sales contracts that contain fixed metal prices. These purchases directly hedge the economic risk of future metal price fluctuation associated with these contracts. The timing difference between the recognition of unrealised gains and losses on metal derivatives/revenue recognition impacts income before income taxes and net income. Gains and losses on metal derivative contracts are not recognised in segment income until realised.
| Company Name | CMP |
|---|---|
| Hindalco Industries | 940.25 |
| Vedanta | 253.15 |
| Hindustan Zinc | 518.30 |
| Jain Resource Recycl | 328.60 |
| CMR Green Tech | 216.60 |
| View more.. | |
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