Shares of Hindalco Industries Ltd. fell as much as 6.5% on Thursday, October 24, and are the top losers on the Nifty 50 index.

The fall comes on the back of results reported by a company named Constellium, shares of which fell 28% overnight, after the results were reported.

Shipments by Constellium during the quarter declined by 5% from last year and 7% sequentially to 352 KT. Its Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) also declined by 10% from last year and 41% when compared to the June quarter to $127 million.

Constellium's shipments fell on account of poor performance in the automotive and aerospace sector. The company also said that demand remains weak in these two segments.

Demand outlook weakness in the automobile segment is a negative for Hindalco's subsidiary Novellis, which commands a 20% share of Hindalco's volumes and a higher proportion of the company's EBITDA.

Constellium SE is a Paris-based global manufacturer of Aluminium-rolled products, extruded products and structural parts, based on a large variety of advanced alloys.

Shares of Constellium, that are listed in the US, fell by 28% after the results announcement.

Shares of Hindalco Industries are trading 6.6% lower currently at ₹670.4. The stock is currently the top loser on the Nifty 50 index. On a year-to-date basis, the stock is up 10% so far.

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Published on:October 24, 2024, 9:43:03 AM IST