Vedanta Limited (Vedanta) helping its parent and group holding company Vedanta Resources to deleverage its balance sheet has started to strain its balance sheet.
Vedanta’s gross debt (consolidated) was up 24.3 per cent year-on-year (YoY) in FY23 and reached a six-year high of Rs 66,628 crore by the end of March. Similarly, its net debt went up 20.3 per cent YoY to Rs 45,706 crore at the end of FY23, up from Rs 38,228 crore a year ago; it was the highest since FY20.
Analysts attributed this to a record dividend payout by the mining and metals major last financial year despite a sharp fall in its earnings and cash flows. The company reported cash & equivalent worth Rs 20,922 crore at the end of March.
TO READ THE FULL STORY, SUBSCRIBE NOW NOW AT JUST RS 249 A MONTH.
Subscribe To Insights
Key stories on business-standard.com are available to premium subscribers only.Already a BS Premium subscriber? Log in NOW
What you get on Business Standard Premium?
- Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
- Pick your 5 favourite companies, get a daily email with all news updates on them.
- Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
- Preferential invites to Business Standard events.
- Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.
Vedanta unit's ability to raise loans reduces liquidity risk for group: S&P
Considering options on Electrosteel: Vedanta Resources' Anil Agarwal
Vedanta's Q3 net profit falls 42%, announces dividend of Rs 12.5 a share
Vedanta dividend: Decision on fifth payout today; check all details here
Volatility in Vedanta Resources bonds rises as group plans to reduce debt
Go First's insolvency flight leaves trail of concerns for aircraft lessors
Lobbying by lessors, faulty Pratt & Whitney engines hurt India: Go First
Statsguru: Six charts explain trouble in India's aviation sector is not new
Ramkrishna-Titagarh consortium scouting for sites for train wheel plant
Poonawalla Fincorp to keep headcount at 3,000 for 5 yrs to build AUM