Vedanta Limited is the only company natural resources company on the list
India CSR News Network
MUMBAI: Vedanta Limited, India’s leading diversified natural resources company, is featured among the top 100 companies in the Asia300 list released by Nikkei Asian Review. With a selection process based on market capitalization, the Nikkei Asian Review analyzes growth, profitability, efficiency and financial soundness of the companies, based on their earnings for the most recent fiscal year.
“It gives us immense pride to represent India’s natural resources sector in Nikkei Asia300 list. Vedanta’s diversified portfolio of low cost and tier-1 assets is at the core of its strong financial performance. I am confident that as we continue to deliver a robust business performance and generate superior returns for all our stake holders, we will be strongly positioned amongst the most prominent companies in the world,” says Mr. Tom Albanese, CEO, Vedanta Limited.
Vedanta is the only company in the natural resources sector to be selected among the top 100. A company’s power ranking is a comprehensive assessment of its overall strength, taking into account five key management indicators of the last 5 years; Revenue, Net profit, Net profit margin, Return on equity and Equity ratio. The Asia300 is Nikkei’s exclusive list of the biggest and fastest-growing companies from 11 economies across the Asian continent.
Vedanta’s Net Debt/EBITDA at 0.4x is the lowest and strongest among Indian and global peers. The company posted a strong free cash flow of Rs. 13,312 crore in FY2017 and reduced gross debt by over Rs. 4,115 crore, up through the fiscal year.
The company announced its highest ever dividend of Rs.7,099 crores during the fiscal year of 2017. Its contribution to the exchequer in FY2017 was around Rs. 40,000 crore, including the special dividends from Hindustan Zinc.
In February 2017, parent company Vedanta Resources plc successfully completed issuance of a $1bn, 5.5 year bond due 2022 at 6.375%. This was concurrent with a tender offer for its 2018 and 2019 bonds, with the aim of extending maturities proactively, well ahead of time.
Ratings agency Crisil (an S&P Company), has upgraded its rating on Vedanta Limited’s long-term bank facilities and debt instrument to ‘AA/Stable’ from ‘AA-/Positive’, citing better than expected operating performance, ramp up in operations and deleveraging of balance sheet.