Hindustan Copper Unveils Rs 2,000 Crore Capex Plan For Next Five To Six Years

Hindustan Copper Ltd.'s share price spiked 6.46% on Friday after the company announced its capex plans of Rs 2,000 crore in the next five to six years, as per the company's presentation.

The company also announced plans to acquire new copper deposits in India and abroad, alongside seeking a memorandum of understanding with Indian PSUs to expand its mining portfolio.

Hindustan Copper also noted that it is looking at collaboration with Chile's Codelco, the world's largest copper producer, for capacity building.

In its first quarter of the current financial year, Hindustan Copper Ltd.'s consolidated net profit went down 29%; the firm posted a net profit of Rs 134 crore in the June quarter as compared to Rs 190 crore in the year-ago period.

Revenue also fell by 29.4%, coming in at Rs 516 crore compared to Rs 731 crore previously. Despite the declines, the margin improved to 41% from 36.5%. Ebitda saw a 20.5% decrease, reaching Rs 212 crore against Rs 267 crore in the prior period.

The scrip rose as much as 7.21% to Rs 266.50 apiece. It pared gains to trade 6.82% higher at Rs 265.88 apiece, as of 11:04 a.m. This compares to a 0.31% advance in the NSE Nifty 50 Index.

It has declined 15.46% in the last 12 months. Total traded volume so far in the day stood at 9.4 times its 30-day average. The relative strength index was at 69.

There are no analysts tracking the company as per Bloomberg data.