Vedanta has announced its plans to invest USD 1.7 billion in the current financial year to expand its business operations.
Chairman Anil Agarwal shared this information in the company’s Annual Report for the financial year 2022-23. The company has already invested USD 1.2 billion in growth capital expenditure during the same period to enhance its assets and production.
Agarwal emphasised that Vedanta aims to commit another USD 1.7 billion in the following financial year, FY 2024, towards various growth projects. The company is currently focusing on expanding its aluminum and zinc capacities. Additionally, Vedanta’s oil and gas operations, which contribute significantly to India’s total production, are diversifying their reserves and resources portfolio with the vision of contributing 50 per cent to India’s overall oil and gas production.
Despite operating in a challenging macro-environment marked by prolonged geopolitical conflicts, subsequent energy crises, and aggressive monetary policies, Vedanta reported excellent operating performance in the fiscal year ended 31 March FY23. The company generated a revenue of Rs 1,45,404 crore and an EBITDA of Rs 35,241 crore. Furthermore, Vedanta achieved a healthy net-free cash flow of Rs 18,077 crore.
Agarwal commended the outstanding portfolio and accomplished leadership team for the company’s all-round performance. He reiterated Vedanta’s commitment to responsible growth, ensuring the well-being and growth of the communities in which it operates.
Reflecting on India’s performance, Agarwal described FY 2022-23 as an incredible year for the country. India outperformed and repositioned itself as one of the world’s fastest-growing economies, despite slower growth and high inflation in most developed nations. India recorded an impressive GDP growth of 6.8 per cent in FY23 after achieving 9.1 per cent growth in the previous fiscal year.
Agarwal attributed India’s improved outlook to the government’s pursuit of self-reliance in manufacturing, minerals, and resources. This emphasis on self-sufficiency gained significance in the aftermath of the pandemic and the Russia-Ukraine conflict, which heightened uncertainties and geopolitical tensions globally.
The chairman further highlighted the importance of the manufacturing, infrastructure, and energy sectors, along with a focus on digitalisation, in propelling India’s economic growth, creating new business opportunities, and generating employment. Agarwal projected that India’s GDP would double to USD 7.5 trillion between 2022 and 2031, with a significant increase in the contribution from the manufacturing sector.
