Tag: Hindalco

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Vedanta, Hindalco, NALCO shares tumble after aluminium slide

Shares of major aluminium producers fell sharply on Wednesday after global aluminium prices declined following reports of a US-Iran peace agreement. Vedanta, Hindalco and NALCO dropped up to 5–6% as investors reacted to expectations of improved metal supplies and lower geopolitical risks.

The proposed deal is expected to reduce tensions in the Middle East and could eventually ease concerns over energy and raw material disruptions, factors that had supported aluminium prices in recent months. Analysts said weaker aluminium prices may impact profitability for producers, prompting selling pressure in metal stocks despite broader market strength.

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Hindalco profit drops 51%, announces ₹5 dividend

Hindalco Industries reported a 51% decline in net profit for the fourth quarter of FY26 and announced a final dividend of ₹5 per share. The company posted a profit of ₹2,597 crore during the January–March period, lower than the same quarter last year.

Despite the drop in profit, Hindalco recorded growth in revenue, supported by strong performance in its aluminium and copper businesses. The company said operational issues at Novelis’ Oswego plant in the United States affected earnings during the quarter. Investors will now watch future business performance and market conditions closely.

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Hindalco Q4 profit slides 51% to ₹2,597 cr on Novelis hit

Hindalco Industries reported a steep fall in its consolidated net profit for the fourth quarter of FY26, even as its core business showed strong operational performance across aluminium and copper segments.

The company’s net profit dropped 51% year-on-year to ₹2,597 crore in Q4 FY26, compared with ₹5,283 crore in the same period last year. The decline was primarily due to exceptional charges linked to a fire-related disruption at its US-based subsidiary Novelis, which affected production and led to higher costs during the quarter.

Despite the sharp fall in profit, the company posted strong revenue growth. Revenue from operations rose about 20% year-on-year to ₹78,133 crore, driven by better performance in its India aluminium and copper businesses, along with steady demand in downstream products.

Operating performance remained resilient. Earnings before interest, tax, depreciation and amortisation (EBITDA) increased to ₹11,197 crore, marking a record high for the company. This growth was supported by improved margins in domestic operations and better cost control across key business segments.

On an adjusted basis, profit before exceptional items rose around 10% to ₹5,796 crore, reflecting underlying strength in the business when one-time costs are excluded. The India operations delivered particularly strong results, with record performance across aluminium upstream, downstream, and copper divisions.

The board also recommended a final dividend of ₹5 per equity share for FY26, subject to shareholder approval.

The copper segment also performed well, posting strong quarterly earnings backed by higher realisations and improved by-product recovery. Aluminium downstream volumes improved during the quarter, though some margin pressure remained due to ramp-up costs in newly expanded facilities.

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Hindalco Q3 profit slumps 45% on one-time hit

Hindalco Industries reported a sharp decline in its third-quarter profit, even as its revenue showed healthy growth. The company’s consolidated net profit fell 45% year-on-year to ₹2,049 crore for the December quarter, mainly due to a large one-time expense.

The drop in earnings was caused by an exceptional charge of ₹2,610 crore linked to disruptions at its Oswego aluminium facility in the United States. The plant is operated by Hindalco’s subsidiary Novelis, which faced fire-related disruptions during the quarter. This significantly affected overall profitability.

Despite the fall in net profit, the company’s operational performance remained steady. Revenue from operations rose 14% year-on-year to ₹66,521 crore, supported by improved realisations and stable demand across its aluminium and copper businesses.

When adjusted for the one-time impact, Hindalco’s underlying profit before exceptional items actually increased compared to the same period last year, indicating resilience in its core business operations.

The India business continued to perform well, benefiting from better metal prices and cost efficiencies. The copper segment also contributed positively during the quarter.

The results reflect a mixed quarter for the metals major, strong revenue growth and stable core operations on one hand, but a significant one-off setback affecting reported profit on the other.

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Hindalco to invest ₹21,000 cr in Odisha expansion

Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, has announced a large expansion of its aluminium operations in Odisha, reinforcing the state’s role as a key hub in India’s metals and manufacturing ecosystem. The company will invest ₹21,000 crore to expand capacity at its Aditya Aluminium complex in Sambalpur, alongside commissioning high-value downstream facilities.

The expansion includes a major increase in aluminium smelting capacity by 3.6 lakh tonnes per annum, aimed at meeting rising domestic demand from infrastructure, automotive and energy sectors. As part of the same integrated project, Hindalco has operationalised a 1.7 lakh tonnes per annum Flat Rolled Products (FRP) plant and India’s first battery-grade aluminium foil unit, built at an investment of around ₹4,500 crore.

The battery foil facility is a strategic addition, designed to support up to 100 GWh of lithium-ion battery manufacturing, a critical input for electric vehicles and renewable energy storage. Company officials said this would reduce India’s dependence on aluminium foil imports and strengthen domestic supply chains for the fast-growing EV ecosystem. The expanded FRP capacity is also expected to cut aluminium imports significantly while supplying sectors such as packaging, defence, railways and clean energy.

Odisha Chief Minister Mohan Charan Majhi inaugurated multiple Hindalco projects in Sambalpur, together valued at around ₹26,496 crore. He said the investments would accelerate industrial growth in western Odisha, generate employment and improve skill development in the region. The state government has also announced plans to set up a second World Skill Centre in Sambalpur to prepare local youth for advanced manufacturing roles.

Hindalco Managing Director Satish Pai stated that the Sambalpur expansion is part of a broader ₹37,000 crore investment pipeline in Odisha, aligned with the company’s overall ₹55,000 crore capital expenditure plan across India. These projects span both upstream and downstream aluminium operations and are expected to create nearly 15,000 direct and indirect jobs.

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