Hindalco Industries reports a significant boost in first-quarter earnings driven by heightened aluminium demand and cost control, despite mixed profits and ongoing market challenges, setting a positive tone for future growth.
Hindalco Industries has reported a sharp improvement in first-quarter earnings, although published accounts differ on the exact scale of the gain. India News Network said net profit jumped 75% to ₹7,013 crore on sales of ₹51,000 crore, while Hindalco’s own quarterly statement and subsequent business reporting put consolidated profit at ₹4,004 crore, up 30% from a year earlier, with revenue rising 13% to ₹64,232 crore. The company said stronger aluminium demand and tighter cost control helped lift performance across the business.
The clearest gains came from the aluminium division and from Novelis, Hindalco’s US-based subsidiary. Hindalco said upstream aluminium EBITDA rose 17% to ₹4,080 crore, while downstream EBITDA hit a record ₹229 crore, more than double the prior year’s level. Novelis reported shipments of 963 kilotonnes, up 1%, with beverage-can volumes increasing 8%, although separate reporting on the subsidiary showed profit was pressured by higher scrap costs, a weaker product mix and tariff-related headwinds.
Hindalco also highlighted efforts to strengthen its balance sheet and trim expenses. The company said consolidated net debt to EBITDA improved to 1.02 times as of June 30, 2025, from 1.24 times a year earlier. It also set out cost-reduction plans aimed at $100 million in annualised savings by FY26 and $300 million by FY28, while keeping major growth projects such as Bay Minette and India expansion work on schedule.
The results come after a softer March quarter, when Hindalco’s profit fell more than 50% even as sales rose, underlining how volatile metals businesses can be. Against that backdrop, the latest figures suggest the group is benefiting from firmer demand and operating discipline, even if margins remain exposed to commodity prices, input costs and swings in Novelis’ performance. Hindalco said it remains focused on capacity expansion, innovation and sustainability as it positions for further growth.
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