Anil Agarwal: Vedanta to invest $1.7B in FY24 for growth projects

21 Jun 2023 CW Team

Agarwal stated that they envision investing an additional $ 1.7 billion in the financial year 2023-24 for growth projects. He also shared details about Vedanta's ongoing projects, including the expansion of aluminium and zinc capacities. The company's oil and gas operations, which contribute significantly to India's production, are diversifying their reserves and resources portfolio with a vision of contributing 50% to India's total oil and gas production.

Regarding the company's performance in the fiscal year ending on March 31, 2023, Agarwal mentioned that Vedanta faced challenges due to a difficult and uncertain macro-environment. Factors such as prolonged geopolitical conflict, subsequent energy crisis, and aggressive monetary policies adopted by central banks influenced the situation. However, despite these challenges, the company achieved excellent operating performance. It reported revenue of Rs 1454.04 billion and EBITDA of Rs 352.41 billion. Vedanta also generated a healthy net-free cash flow of Rs 180.77 billion.

Agarwal emphasised that this all-round performance reflects the company's outstanding portfolio and accomplished leadership team. Vedanta remains committed to responsible growth, ensuring that the communities where they operate thrive and grow alongside them.

The chairman further expressed that the year 2022-23 was remarkable for India. The country surpassed expectations and positioned itself among the world's fastest-growing economies, while many developed nations experienced slower growth and high inflation. India achieved an impressive GDP growth rate of 6.8% in FY2023, following a growth rate of 9.1% in the previous fiscal year.

India's improved outlook can be attributed to the government's focus on self-reliance in manufacturing, minerals, and resources. This emphasis became more significant after the pandemic and the Russia-Ukraine conflict, which created global uncertainties and geopolitical tensions.

Agarwal stated that the combination of manufacturing, infrastructure, energy, and digitalization can continue to drive India's economic growth, unlock new business opportunities, and create jobs. It is expected that India's GDP will double to USD 7.5 trillion between 2022 and 2031, with a substantial increase in manufacturing's contribution.

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Anil Agarwal, Chairman, Vedanta, announced that the company plans to invest $ 1.7 billion in the current financial year to expand its various business operations. In the company's Annual Report for the financial year 2022-23, he mentioned that they had already invested $ 1.2 billion as growth capital expenditure to enhance assets and production. Agarwal stated that they envision investing an additional $ 1.7 billion in the financial year 2023-24 for growth projects. He also shared details about Vedanta's ongoing projects, including the expansion of aluminium and zinc capacities. The company's oil and gas operations, which contribute significantly to India's production, are diversifying their reserves and resources portfolio with a vision of contributing 50% to India's total oil and gas production. Regarding the company's performance in the fiscal year ending on March 31, 2023, Agarwal mentioned that Vedanta faced challenges due to a difficult and uncertain macro-environment. Factors such as prolonged geopolitical conflict, subsequent energy crisis, and aggressive monetary policies adopted by central banks influenced the situation. However, despite these challenges, the company achieved excellent operating performance. It reported revenue of Rs 1454.04 billion and EBITDA of Rs 352.41 billion. Vedanta also generated a healthy net-free cash flow of Rs 180.77 billion. Agarwal emphasised that this all-round performance reflects the company's outstanding portfolio and accomplished leadership team. Vedanta remains committed to responsible growth, ensuring that the communities where they operate thrive and grow alongside them. The chairman further expressed that the year 2022-23 was remarkable for India. The country surpassed expectations and positioned itself among the world's fastest-growing economies, while many developed nations experienced slower growth and high inflation. India achieved an impressive GDP growth rate of 6.8% in FY2023, following a growth rate of 9.1% in the previous fiscal year. India's improved outlook can be attributed to the government's focus on self-reliance in manufacturing, minerals, and resources. This emphasis became more significant after the pandemic and the Russia-Ukraine conflict, which created global uncertainties and geopolitical tensions. Agarwal stated that the combination of manufacturing, infrastructure, energy, and digitalization can continue to drive India's economic growth, unlock new business opportunities, and create jobs. It is expected that India's GDP will double to USD 7.5 trillion between 2022 and 2031, with a substantial increase in manufacturing's contribution. Also read: PMC notice to 200 building sites' developersKandoi Fabrics, director buy two apartments in Mumbai