Hindalco Industries has recorded a fall of 9.65% in its net profit, which remained at Rs 640 crore owing to lower tax provisioning during the last year.

Country's biggest aluminium manufacturer incurred tax expenses of Rs 139.45 crore in the fourth quarterly period of FY12 as compared to Rs 100.23 crore in the same period last year.

In spite of advanced realization, Hindalco's net sales augmented 10.5% to Rs 7,563 on elevated volumes.

Analysts on an average had anticipated the Aditya Birla Group firm to register a net profit of Rs 496 crore and sales to be about Rs 7,039 crore.

After the company declaring its Q4 outcomes, its shares climbed 1.16% to Rs 117.40, as it registered better-than-anticipated numbers.

EBITDA too was higher than anticipations at Rs 781 crore in January-March quarter, down 5.67% from Rs 828 crore in the same period of FY11.

Mr. D Bhattacharya, Managing Director, Hindalco stated, "Going ahead, the volatile commodity prices and spiralling energy costs post significant challenge for the company."

He further stated that regardless of challenges, Hindalco Industries is sure to lessen cost pressures on the intensities of integration in operations and other operational efficiencies.

Mr. Bhattacharya also stated that Hindalco’s aluminium biz confronted noteworthy increase in costs because of 20% YoY increase in coal price.

Cost of furnace oil was also up by 40% along with increase in price of other raw materials.

On the back of ameliorated efficiencies, Hindalco’s copper biz registered 33% growth in profit before interest and taxes at Rs 802 crore.