Hindalco Financial Results Q1 FY26: Sustained growth momentum drives strong Q1 performance

Key Highlights

• PAT at ₹4,004 crore, up 30% 
• Aluminium Upstream quarterly EBITDA at ₹4,080 crore, up 17% 
• Industry-best Aluminium Upstream EBITDA margins, at 44%
• All-time high Aluminium Downstream quarterly EBITDA at ₹229 crore, up 108%
• Copper EBITDA at ₹673 crore, in line with guidance
• Novelis’ shipments up 1% at 963 KT with can volumes up 8%
• Novelis’ cost reduction initiatives target $100 million run-rate savings by FY26 and $300 million by FY28
• Key growth projects such as Bay Minette and India expansions remain on track
• Consolidated Net Debt to EBITDA at 1.02x as of June 30, 2025 vs 1.24x a year ago

Hindalco Industries Limited, Aditya Birla Group metals flagship, today reported results for the quarter ended June 30, 2025. Consolidated EBITDA for the first quarter stood at  ₹8,673 crore, up 9% from the same quarter last year, and Net Profit increased to ₹4,004 crore, up 30% over the prior year quarter.  

The robust results were driven by a strong performance by the India business, and a resilient performance by Novelis. India Aluminium Upstream business delivered another standout performance with EBITDA at ₹4,080 crore, up 17%, while Aluminium Downstream achieved a record EBITDA of ₹229 crore, up 108% compared to Q1FY25. Despite headwinds, Novelis reported a 1% increase in shipments driven by beverage can shipments which registered a solid 8 per cent growth over the prior year quarter. 

Commenting on the results, Mr. Satish Pai, Managing Director, Hindalco Industries, said, “After the record profitability of FY25, Hindalco sustained its growth momentum with a strong first quarter performance, driven by operational efficiencies, cost control, and an enhanced product mix.

Aluminium India Upstream business continued to outperform with industry-best EBITDA margins of 44%. Aluminium India Downstream had a stellar quarter and reported its strongest quarterly performance with 2x EBITDA growth. The Copper business delivered a healthy EBITDA in line with our guidance, despite lower TC/RCs. Novelis recorded 1% growth in shipments, driven by all-time high quarterly beverage can volumes and accelerated cost reduction initiatives.

We made significant progress in our downstream growth projects: the 170 KT Aditya FRP project, Aluminium AC fins, and the Copper IGT facility are under commissioning. Looking ahead, our integrated business model, strategic investments and cost discipline, position us well to deliver sustained growth.

On the ESG front, Hindalco continued to advance its sustainability agenda with a strong focus on climate action, waste recycling, water conservation, and biodiversity protection”

Segment-wise Performance for Q1 FY26

Novelis*

• Shipments at 963 KT, up 1%
• Revenue at $4.72 billion, up 13%, driven by higher average aluminium prices
• Adjusted EBITDA at $416 million, down 17% due to the impact of higher scrap prices and tariffs
• Novelis’ cost reduction measures targeting run-rate savings of over $75 million in FY26 are now expected to result in a higher FY26 run-rate savings of over $100 million, while maintaining the $300 million target for FY28.
• Bay Minette and other strategic investments projects are advancing well

*As per US GAAP

Aluminium (India)

Aluminium Upstream:

• Quarterly Upstream revenue at ₹9,331 crore, up 6%
• Aluminium Upstream EBITDA at ₹4,080 crore, up 17%, driven by lower input costs 
• Aluminium Upstream EBITDA per tonne at $1,467, up 15%, with industry-best margins of 44%
   

Aluminium Downstream:

• Sales of Aluminium Downstream at 101 KT, up 6% 
• Downstream revenue at ₹3,353 crore, up 17%
• Record Aluminium Downstream EBITDA at ₹229 crore, up 108% due to higher value addition from products like battery enclosures, high end extrusions from Silvassa and premiumisation of flat rolled products
• Downstream EBITDA per tonne at $264, up 92%

Copper (India)

• Copper metal sales at 124 KT, up 4%
• Copper Continuous Cast Rod (CCR) sales at 104 KT, up 4% 
• Revenue at ₹ 14,886 crore, up 12% 
• Maintained a healthy EBITDA of ₹673 crore; sharply declining TC/RCs offset with higher realisation from Sulphuric acid
• Copper Tubes project progresses to commissioning phase
• Construction of copper recycling project progressing on schedule