Hindustan Zinc Limited reported its strongest financial performance in FY26, with revenue crossing the ₹40,000-crore mark and EBITDA exceeding ₹20,000 crore. The company delivered a net profit of ₹13,832 crore and earnings per share of approximately ₹33, driven by operational excellence and efficient cost management. This performance was highlighted during the 60th Annual General Meeting (AGM) held on June 29, 2026, via video conferencing.

Operational and Financial Highlights

The company achieved its highest-ever mined metal production of more than 1.1 million tonnes and its second-highest refined metal production of approximately 1.05 million tonnes. Hindustan Zinc recorded a 5-year lowest zinc cost of production, excluding royalty, at $959 per tonne. The EBITDA margin stood at around 54%, while the return on capital employed reached an 18-year high of approximately 67%.

Strategic Expansion and Capex Plans

Hindustan Zinc outlined a clear roadmap to almost double its metal production capacity from 1.1 million tonnes to 2 million tonnes over the next five years. To support this expansion, the Board has approved a capital expenditure programme of approximately ₹40,000 to ₹50,000 crore. The Phase 1 capex of ₹17,000 crore was approved in FY26, which includes a 250,000 tonnes per annum integrated Zinc smelter and India's first Zinc tailing reprocessing plant. The company intends to fund this expansion through internal accruals, maintaining a strong balance sheet while continuing shareholder returns.

Critical Minerals and Sustainability

The company is advancing its 'Hindustan Zinc 2.0' strategy to transform into a future-ready energy transition company. It has secured new mineral blocks for potash, tungsten, and rare earth elements, reinforcing its presence in India's critical mineral ecosystem. Hindustan Zinc aims to extend its mine life beyond 25 years through sustained exploration. On sustainability, the company is transitioning towards 70% renewable energy by FY2028 and has launched ambitious sustainability goals for 2030. It remains the only Indian member of the International Council on Mining and Metals (ICMM).

Hindustan Zinc announced its production numbers for the first quarter ended June 30, 2026, reporting the highest-ever mined metal production for a first quarter for the fifth consecutive year. The company achieved mined metal output of 268 kt, representing a 1% increase compared to the corresponding period in the previous fiscal year. This performance was driven mainly by better grades, according to the production release filed with the exchanges.

Refined metal production reached 260 kt, a 4% increase from the 250 kt recorded in Q1FY26. This growth was supported by capacity unlocked through debottlenecking initiatives at Chanderiya and Dariba, as well as the 160 ktpa roaster at Debari. These gains offset the impact of planned maintenance activities undertaken during the quarter.

Production Highlights

The company's saleable silver production remained stable at 149 tonnes, consistent with the output in Q1FY26. This figure aligns with the lead production volumes for the period. Meanwhile, wind power generation stood at 133 million units, a decrease of 1% year-on-year, which the company attributed to wind velocity and seasonality impacts.

The following table summarises Hindustan Zinc's key production metrics for the quarter:

The refined zinc production included 3.3 kt from Hindustan Zinc Alloys, a 100% subsidiary of Hindustan Zinc. The filing was submitted by Aashhima V Khanna, Company Secretary & Compliance Officer, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.