Curated by Gurdeep Singh, Amritsar, Punjab
Hindalco Industries reported its strongest quarterly financial performance to date for the July–September period, with consolidated revenue and net profit reaching new highs. Revenue from operations rose 39% year on year to ₹91,708 crore, while profit after tax increased 59% to ₹7,533 crore. Consolidated EBITDA, a measure of operating earnings before interest, tax, depreciation and amortisation, climbed 42% to ₹13,757 crore.
The result reflects gains across Hindalco’s aluminium, copper and downstream operations, alongside improving production at its US-based subsidiary Novelis. The headline profit growth also needs context: the quarter included a net exceptional gain of ₹284 crore, which the company attributed to insurance recoveries related to the fire at Novelis’ Oswego facility. A year earlier, the comparable quarter had recorded a net exceptional expense of ₹182 crore. The year-on-year profit comparison therefore captures both stronger business performance and a swing in these exceptional items.
Indian aluminium operations lead earnings
Hindalco’s India aluminium upstream business delivered one of the quarter’s largest contributions. Revenue in the segment rose 33% to ₹13,364 crore and EBITDA advanced 55% to ₹7,009 crore. Shipments increased to 345,000 tonnes from 341,000 tonnes a year earlier. The business recorded an EBITDA margin of 52%, helped by firmer market conditions, higher volumes and operational performance.
Downstream aluminium also improved. Sales increased 6% to 119,000 tonnes, revenue reached ₹5,511 crore—up 45%—and quarterly EBITDA grew 26% to a record ₹329 crore. Hindalco credited a richer product mix, premiumisation and increased shipments. Its battery-foil, flat-rolled products and coated air-conditioning-fin components are being scaled up, while the company expects the second phase of its Aditya smelter to begin producing metal in FY28.
Copper earnings hit a quarterly high
The India copper business generated revenue of ₹21,374 crore, 47% higher than in the year-ago quarter. Metal sales rose 2% to 116,000 tonnes, while sales of copper continuous-cast rod were broadly steady at 96,000 tonnes. EBITDA surged 164% to ₹1,673 crore, the segment’s highest quarterly level. Better realisations for by-products, including sulphuric acid, contributed alongside operating performance and domestic demand; the company also identified one-time gains within the segment’s drivers.
Novelis resumes normal Oswego production
Novelis reported quarterly revenue of US$5.94 billion, up 25%, and adjusted EBITDA of US$508 million, a 20% increase. Adjusted EBITDA per tonne improved to US$553 from US$448 a year earlier. Shipment volume, however, declined to 919,000 tonnes from 941,000 tonnes. The figures suggest stronger earnings per tonne even as total shipments remained below the prior-year level.
Production at the Oswego hot mill in New York has returned to normal levels and is being aligned with demand. Hindalco said commissioning work is under way at the Bay Minette facility in Alabama, with the first hot-mill coil targeted for the fourth quarter of FY27 and commercial shipments expected from the first quarter of FY28. The facility is a major expansion project whose contribution will depend on commissioning and ramp-up.
Debt and execution remain important to watch
Alongside record earnings, Hindalco’s consolidated net-debt-to-EBITDA ratio stood at 1.80 times at September 30, compared with 1.23 times a year earlier. This is a higher leverage measure and will be relevant as the group advances Bay Minette and other capacity additions. Investors will also be watching metal-price movements, input costs and whether recent improvements in Novelis’ operations can be sustained.
Hindalco said the quarter added 173 megawatts of renewable capacity, taking its installed renewable-energy capacity to 643 MW. Its near-term projects include copper and e-waste recycling, aluminium battery foil, flat-rolled products and inner-grooved tubes. These investments are intended to widen the contribution from value-added and other businesses whose earnings are less directly linked to London Metal Exchange prices.
For the September quarter, the overall picture is one of record group-level earnings, led by a powerful upstream aluminium result and a new high in copper profitability, with Novelis showing better operating performance after disruption at Oswego. The next test will be converting ongoing project spending into steady production while managing the higher debt ratio and the normal volatility of metals markets.
Sources: Hindalco Q2 FY27 media release and investor presentation filed with NSE; Hindalco investor results page; Reuters report on the quarterly results and insurance recovery.
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