Vedanta Unveils ₹81,743 Crore Expansion Plan Targeting 18% EBITDA Growth

2 min read     Updated on 28 Aug 2025, 03:09 PM
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Reviewed by
Naman SharmaScanX News Team
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Overview

Vedanta Limited announces a massive expansion plan with ₹81,743 crore in capital expenditure, aiming to significantly boost production capacities across its five business segments. The company plans to increase aluminium smelting capacity to 3.1 MTPA, zinc-lead capacity to 1.38 MTPA, steel capacity to 3.5 MTPA, oil production to 125-150 kboepd, and merchant power capacity to 4.78 GW. Vedanta projects its consolidated EBITDA to grow from $5.19 billion in FY25 to $8.45 billion in the medium term, representing an 18% CAGR. The strategy focuses on vertical integration, cost reduction, and increasing value-added product offerings.

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*this image is generated using AI for illustrative purposes only.

Vedanta Limited , one of India's leading diversified natural resources companies, has announced an ambitious expansion plan across its five business segments, aiming to significantly boost its production capacities and financial performance.

Massive Capital Expenditure

The company plans to invest ₹81,743 crore in capital expenditure projects, with ₹50,747 crore remaining unspent as of the latest update. This substantial investment is expected to drive growth across Vedanta's diverse portfolio of businesses.

Expansion Targets

Vedanta has outlined specific expansion goals for each of its major business segments:

Aluminium

  • Increase smelting capacity from 2.4 MTPA to 3.1 MTPA by FY28
  • Expand alumina refining capacity from 2 MTPA to 6 MTPA by FY28

Zinc-Lead

  • Boost capacity from 1.1 MTPA to 1.38 MTPA by FY29

Steel

  • Grow capacity from 1.7 MTPA to 3.5 MTPA by FY28

Oil Production

  • Increase from current levels of 103 kboepd to 125-150 kboepd

Power

  • Double merchant power capacity from 2.9 GW to 4.78 GW

Financial Projections

Vedanta projects significant growth in its financial performance:

  • Consolidated EBITDA is expected to grow from $5.19 billion in FY25 to $8.45 billion in the medium term
  • This represents a compound annual growth rate (CAGR) of 18%

Strategic Focus

The company's expansion strategy centers on:

  1. Vertical integration
  2. Cost reduction through backward integration into mining operations
  3. Increasing value-added product offerings across segments

Market Position

Vedanta holds strong market positions in key sectors:

  • 3rd largest aluminium producer globally outside China
  • World's largest integrated zinc producer
  • Largest private sector crude oil producer in India

Segment-wise EBITDA Projections

Business Segment FY25 EBITDA ($ bn) Medium Term EBITDA ($ bn)
Zinc, Lead & Silver 2.26 2.70
Aluminium 2.10 4.00
Oil & Gas 0.56 0.70
Iron, Steel & Ferrochrome 0.19 0.65
Power 0.08 0.40

Conclusion

Vedanta's comprehensive expansion plan demonstrates the company's commitment to growth and its confidence in the future demand for its products. By investing in capacity expansion and focusing on vertical integration, Vedanta aims to strengthen its position as a leading player in the global natural resources sector while driving significant financial growth.

As per the LODR data, Vedanta Limited has officially informed the stock exchanges about this presentation on their capital expenditure plans and potential impact on business performance. The company has made this information available on its website, ensuring transparency with its investors and stakeholders.

Historical Stock Returns for Vedanta

1 Day5 Days1 Month6 Months1 Year5 Years
-0.91%-5.31%-4.29%+6.56%-9.23%+226.97%
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Vedanta Declares ₹16 Per Share Second Interim Dividend for FY26

1 min read     Updated on 21 Aug 2025, 11:07 AM
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Reviewed by
Ashish ThakurScanX News Team
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Overview

Vedanta Limited has announced a second interim dividend of ₹16.00 per equity share for FY 2025-26, totaling approximately ₹6,256.00 crore. The record date is set for August 27, 2025. This follows a first interim dividend of ₹7.00 per share paid in June. Vedanta's shares closed at ₹447.10 on NSE, up 0.36%. The company has a significant retail investor base of 20.3 lakh shareholders owning 11.6% of the company.

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*this image is generated using AI for illustrative purposes only.

Vedanta Limited has announced a second interim dividend of ₹16.00 per equity share for the financial year 2025-26, demonstrating its commitment to shareholder returns. This declaration comes as a positive development for investors amidst recent market fluctuations and ongoing corporate activities.

Dividend Details

The company's board has approved a second interim dividend of ₹16.00 per share, which amounts to approximately ₹6,256.00 crore. The record date for this dividend has been set for August 27, 2025. This follows Vedanta's first interim dividend of ₹7.00 per share paid in June of the same financial year.

Recent Dividend History

Vedanta's dividend distribution has been substantial in recent years:

  • In FY25, the company distributed ₹43.50 per share as dividend, totaling over ₹17,000.00 crore in payout.
  • Over the past four financial years, Vedanta has returned more than ₹200.00 per share to its investors.

Shareholder Base

As of the June quarter, Vedanta boasts a significant retail investor base:

Investor Type Number Ownership Percentage
Retail Shareholders 20.3 lakh 11.6%

Stock Performance

Following the dividend announcement, Vedanta's shares closed at ₹447.10 on the National Stock Exchange (NSE), up 0.36 percent.

Conclusion

The announcement of this substantial second interim dividend for FY26 provides a positive signal to shareholders. As Vedanta continues to navigate through various corporate challenges and opportunities, investors will likely keep a close eye on the company's performance and strategic decisions in the coming months.

Investors should note the ex-dividend date and ensure they are registered shareholders by the record date to be eligible for this dividend payment.

Historical Stock Returns for Vedanta

1 Day5 Days1 Month6 Months1 Year5 Years
-0.91%-5.31%-4.29%+6.56%-9.23%+226.97%
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