Hindustan Zinc Ltd reported a decent June quarter performance despite the impact of the second wave of covid. Firm base metal prices helped offset rising costs and the sequential decline in production.
The stock was up more than 2% in early trade on Friday. Mined metal production at 221,000 tonne rose 9% year-on-year on a low base, but declined 23% sequentially.
Consequently, zinc and lead productions were down 4% and 21% sequentially respectively but were 20% and 9% higher year-on-year.
Even silver production declined 21% sequentially. Support came from zinc prices that averaged $2916 a tonne on the London Metal Exchange (LME) and were up 49% year-on-year and 6% sequentially.