Hindalco Q2 FY27 Results: Net Profit Jumps 59% to ₹7,533 Crore, Revenue Rises 39%

Hindalco Industries, the metals flagship of the Aditya Birla Group, reported an 58.9% year-on-year increase in consolidated net profit to ₹7,533 crore for the second quarter of FY27. The company also recorded a 38.8% increase in revenue from operations to ₹91,708 crore, delivering its highest-ever quarterly revenue and profit as stronger aluminium and copper prices, improved production and a recovery at its US subsidiary Novelis supported performance.

Consolidated EBITDA increased 42% to ₹13,757 crore during the July-September quarter, compared with ₹9,684 crore in the corresponding period last year. The copper business reported record quarterly EBITDA, while the aluminium upstream segment delivered strong growth. Novelis also benefited from the normalisation of operations at its Oswego facility in the United States. The results highlight the contribution of both traditional metal production and higher-value downstream businesses to Hindalco’s earnings.

Hindalco Q2 FY27 Financial Results

Hindalco’s consolidated net profit increased to ₹7,533 crore in Q2 FY27 from ₹4,741 crore in Q2 FY26. Revenue from operations rose to ₹91,708 crore from ₹66,058 crore, representing growth of approximately 39%.

The company’s EBITDA increased 42% year-on-year to ₹13,757 crore. Profit before tax after exceptional items rose 62% to ₹10,594 crore.

The quarter also included exceptional income of ₹284 crore, compared with an exceptional expense of ₹182 crore in the year-ago period. This difference contributed to the increase in reported profit. Excluding the impact of these exceptional items, profit before tax still recorded substantial annual growth.

Financial metric	Q2 FY27	Q2 FY26	YoY change
Revenue from operations	₹91,708 crore	₹66,058 crore	+38.8%
Consolidated EBITDA	₹13,757 crore	₹9,684 crore	+42%
Profit before tax	₹10,594 crore	₹6,540 crore	+62%
Consolidated net profit	₹7,533 crore	₹4,741 crore	+58.9%
Basic EPS	₹33.93	₹21.35	+59%

The company said its integrated business model helped deliver the record performance, with strong contributions from aluminium upstream operations, copper and downstream businesses.

Aluminium Upstream EBITDA Jumps 55%

Hindalco’s aluminium upstream business remained one of the biggest contributors to the quarterly improvement.

The segment reported EBITDA of ₹7,009 crore, an increase of 55% compared with ₹4,524 crore in Q2 FY26. Revenue from the business increased 32.6% to ₹13,364 crore.

Aluminium shipments reached 345,000 tonnes, compared with 341,000 tonnes in the year-ago quarter.

The segment’s EBITDA per tonne increased to $2,125, up 40% year-on-year. Its EBITDA margin stood at approximately 52%.

Hindalco attributed the performance to favourable market conditions, higher shipments and stronger operational performance.

Aluminium prices have also benefited from supply constraints and demand from sectors such as renewable energy, infrastructure and electric vehicles.

The company is continuing to expand its upstream manufacturing capabilities. The second phase of the Aditya aluminium smelter project remains on track to begin metal production in FY28.

Copper Business Reports Record Quarterly EBITDA

Hindalco’s copper business delivered one of the strongest improvements across its operating segments.

Quarterly EBITDA increased 164% year-on-year to a record ₹1,673 crore, compared with ₹634 crore in Q2 FY26.

Revenue from the copper business rose 46.8% to ₹21,374 crore from ₹14,563 crore.

Total copper metal sales increased to 116,000 tonnes from 113,000 tonnes in the corresponding quarter last year. Sales of continuous cast copper rods stood at 96,000 tonnes.

The improvement was supported by higher metal prices and better realisations from by-products.

The copper business is strategically important for Hindalco because it serves India’s growing demand for copper across electrical equipment, power infrastructure, construction and industrial applications.

The company is also investing in copper recycling to expand its capabilities beyond traditional smelting and refining.

Novelis Performance Improves as Oswego Operations Normalise

Novelis, Hindalco’s US-based subsidiary, continued its recovery during the September quarter.

The company reported revenue of $5.94 billion, an increase of 25% year-on-year. Adjusted EBITDA rose 20% to $508 million from $422 million.

Adjusted EBITDA per tonne increased 23% to $553.

Novelis’ performance benefited from the normalisation of operations at its Oswego facility in New York following a fire-related disruption.

The facility’s production returned to normal levels, allowing the company to improve operational performance and meet customer demand.

However, Novelis’ shipments declined to 919,000 tonnes from 941,000 tonnes in Q2 FY26. This indicates that improved profitability was not driven by higher shipment volumes alone.

Hindalco also recorded an exceptional gain of ₹284 crore during the quarter, compared with an exceptional loss of ₹182 crore in the year-ago period. The company’s results included insurance recoveries related to the Oswego fire.

Novelis remains important to Hindalco’s strategy because it operates in higher-value aluminium flat-rolled products and recycling markets, serving sectors such as automotive, beverage packaging and industrial manufacturing.

Aluminium Downstream Business Records Growth

Hindalco’s aluminium downstream business also delivered a strong quarter.

Revenue increased 44.7% year-on-year to ₹5,511 crore, while sales volumes rose 6% to 119,000 tonnes.

The segment reported record quarterly EBITDA of ₹329 crore, up 26% from the previous year.

EBITDA per tonne increased 9% to $289.

The company attributed the improvement to a favourable product mix, premiumisation and higher shipments.

Hindalco is also scaling up several manufacturing facilities, including its aluminium battery foil plant and flat-rolled products facility at Aditya, along with its coated air-conditioning fins plant at Taloja.

These products are relevant to industries such as electric vehicles, battery manufacturing, packaging and consumer durables.

Non-LME-Linked Businesses Contribute Nearly Half of Earnings

An important feature of Hindalco’s quarterly performance was the growing contribution from businesses that are less directly linked to London Metal Exchange (LME) aluminium prices.

The company reported that its non-LME-linked businesses generated EBITDA of ₹6,860 crore, an increase of 50% year-on-year.

These businesses include Novelis, copper and aluminium downstream operations.

Together, they accounted for nearly 50% of Hindalco’s earnings, according to the company.

This diversification matters because metal prices can fluctuate significantly due to changes in global demand, supply disruptions, trade policies and economic conditions.

A broader portfolio of downstream and value-added businesses can help reduce dependence on the price movements of primary metals.

Hindalco’s strategy is to increase the contribution of these businesses through investments in recycling, specialised aluminium products and manufacturing capacity.

Major Expansion Projects to Support Future Growth

Hindalco is continuing to invest in projects intended to strengthen its position across the global metals value chain.

One of the most important developments is the Bay Minette aluminium rolling and recycling facility in Alabama, United States.

The commissioning process is underway. The company is targeting first hot-mill coil production in the fourth quarter of FY27, with commercial shipments expected from the first quarter of FY28.

Other projects include copper recycling, aluminium battery foil, Aditya flat-rolled products and inner-grooved tubes.

The company is also progressing with upstream investments involving aluminium refineries, smelters, copper smelters and coal mines.

These projects are intended to improve production capabilities, expand value-added offerings and support demand from sectors such as electric mobility, packaging, construction and renewable energy.

Debt Position and Financial Leverage

Despite its record quarterly earnings, Hindalco’s consolidated net debt-to-EBITDA ratio increased to 1.80 times as of September 30, 2026, compared with 1.23 times a year earlier.

The increase indicates that financial leverage has risen over the past year, an important consideration as the company continues investing in large manufacturing projects.

Capital expenditure, working-capital requirements and the timing of cash flows from expansion projects will influence the company’s debt position.

Investors will therefore monitor whether stronger operating earnings translate into improved cash generation as the company’s investment programme progresses.

The Bigger Picture

Hindalco’s Q2 FY27 results demonstrate the benefits of its integrated metals business, with aluminium upstream operations, copper and Novelis all contributing to the record quarterly performance. The nearly 50% contribution from non-LME-linked businesses also highlights the company’s effort to diversify its earnings beyond primary metal price movements.

However, the improvement in reported profit also includes a favourable change in exceptional items, while the net debt-to-EBITDA ratio has increased compared with last year. The longer-term performance will depend on commodity prices, operational efficiency, successful execution of expansion projects and the ability to maintain stronger downstream profitability.

Looking Ahead

Hindalco’s immediate priorities include completing the commissioning of Bay Minette, expanding copper recycling and scaling up its aluminium battery foil and flat-rolled products facilities. The company expects these investments to increase the contribution of value-added and non-LME-linked businesses to its overall earnings.

Investors will also monitor Novelis’ operational recovery, aluminium and copper price movements and the company’s debt position. The next few quarters will show whether Hindalco can sustain its record earnings performance while bringing major expansion projects into commercial production.