Hindalco Industries Limited , the Aditya Birla Group's metals flagship, has announced robust financial results for the second quarter, demonstrating resilience amid global market volatility. The company has also revealed plans for a significant expansion at its Aditya Aluminium unit in Odisha, while reporting an increase in debt levels.

Key Financial Highlights

• Consolidated revenue increased by 13% year-over-year to ₹66,058.00 crore
• Consolidated EBITDA rose 6% to ₹9,684.00 crore
• Profit After Tax (PAT) grew 21% to ₹4,741.00 crore
• Aluminium Upstream business EBITDA surged 22% to ₹4,524.00 crore
• Aluminium Downstream achieved record EBITDA of ₹261.00 crore, up 69%

Segment Performance

Aluminium Upstream

The Aluminium Upstream segment continued its strong performance with an EBITDA of ₹4,524.00 crore, representing a 22% increase year-over-year. The segment maintained industry-best EBITDA margins at 45%, showcasing operational efficiency and cost management.

Aluminium Downstream

The Downstream segment reported an all-time high EBITDA of ₹261.00 crore, marking a significant 69% growth compared to the same quarter last year. This performance was supported by record volumes and an improved product mix.

Copper

Despite headwinds in the global market, the Copper business remained resilient. The segment reported an EBITDA of ₹634.00 crore, aligning with the company's guidance despite lower TC/RCs (Treatment and Refining Charges).

Novelis

Novelis, Hindalco's wholly-owned subsidiary, reported flat shipments compared to the prior year quarter. The segment's Adjusted EBITDA stood at $422.00 million, down 9% year-over-year, primarily due to the impact of tariffs.

Strategic Developments

1. Novelis plans to restart the hot mill operations at its Oswego plant by December 2025.

2. The company aims to implement cost reduction initiatives targeting over $125.00 million in run-rate savings and $300.00 million by specific future dates.

3. Hindalco announced the second phase of Aditya Aluminium expansion, adding 193 KT capacity with a project cost of ₹10,225.00 crore.

4. The company plans to expand capacity at its Aditya Aluminium unit in Odisha. The current capacity stands at 370KT and is fully utilized. Hindalco proposes to increase capacity by 193KT, requiring an investment of ₹10,225 crore.

Debt Levels

Hindalco's consolidated gross debt increased to ₹726.70 billion as of September 30, compared to ₹591.21 billion in the previous year, representing a substantial year-over-year rise. The company's consolidated net debt also grew to ₹414.15 billion from ₹360.33 billion during the same period.

Management Commentary

Satish Pai, Managing Director of Hindalco Industries, stated, "Hindalco continued its growth momentum amid global volatility, delivering strong performance in both volumes and profitability. This performance was driven by robust contribution from India business, disciplined cost management and operational efficiencies across segments."

He further added, "Our integrated business model, prudent capital allocation and focus on cost optimization, continues to enable us to deliver sustained, resilient growth across market cycles."

Sustainability Focus

The company reaffirmed its commitment to sustainability, emphasizing climate action, circularity through waste recycling, water stewardship, and biodiversity protection.

Conclusion

Hindalco's Q2 results demonstrate the company's ability to navigate challenging global market conditions while maintaining strong financial performance. The growth in key segments, coupled with strategic initiatives, expansion plans, and a focus on sustainability, positions Hindalco well for continued success in the metals industry. However, the increase in debt levels highlights the need for careful financial management as the company pursues its growth strategies.

Hindalco Industries Limited , a leading aluminum and copper manufacturing company, is facing multiple challenges as its subsidiary Novelis reported disappointing results, leading to several broker downgrades. Simultaneously, the company has launched a shareholder-focused initiative to help claim unpaid dividends.

Novelis Results and Impact

Novelis, a subsidiary of Hindalco, reported net sales of $4.7 billion, up 10% year-over-year. However, EBITDA declined to $422 million from $462 million previously. The company faced a $54 million negative impact from Trump administration tariffs, nearly double the previous quarter's $28 million hit.

A fire at Novelis' Oswego plant is expected to impact cash flow by $550-650 million and EBITDA by $100-150 million, though 70-80% may be recoverable through insurance. Net debt reached $5.8 billion, the highest level in 21 quarters.

The Bay Minette project costs have escalated from an initial $2.5 billion to $5 billion due to inflation and execution complexities.

Broker Downgrades

Following these results, multiple brokerages downgraded Hindalco:

• Investec cut it to 'sell' with a ₹693 target
• Axis Capital reduced it to 'reduce' with ₹770 target
• Nuvama downgraded to 'hold' with ₹838 target
• Equirus moved to 'reduce' with ₹790 target

Hindalco shares closed 2% lower at ₹830.85, despite gaining 40% year-to-date.

'100 Days Campaign - Saksham Niveshak' Initiative

In a separate development, Hindalco has announced the launch of a '100 Days Campaign - Saksham Niveshak' initiative aimed at helping shareholders claim their unpaid or unclaimed dividends. The campaign, which runs from July 28 to November 6, 2025, is in response to a request from the Investor Education and Protection Fund Authority (IEPFA) of the Ministry of Corporate Affairs (MCA).

Key Objectives of the Campaign

The primary goals of this campaign are:

1. To create awareness among shareholders about updating their details
2. To facilitate the claiming of unpaid or unclaimed dividends before they are transferred to the Investor Education and Protection Fund (IEPF)

Benefits for Shareholders

Participating in this campaign offers several advantages to Hindalco's shareholders:

• Opportunity to update crucial information such as PAN, nomination details, contact information, bank account details, and specimen signatures
• Ensuring timely receipt of future dividend payments through electronic mode
• Preventing the transfer of unclaimed dividends to the IEPF

How Shareholders Can Participate

Hindalco has outlined specific steps for shareholders to update their information and claim unpaid dividends:

For Physical Shareholders

• Submit Form ISR-1 with self-attested KYC documents
• Provide Form ISR-2 with banker's attestation of signature and original cancelled cheque or self-attested bank statement
• Submit Form SH-13 for adding a nominee or Form ISR-3 to opt out of nomination

For Electronic Shareholders

• Update details with respective Depository Participants (DPs)

Submission Methods

Shareholders can submit their documents through various channels:

• By post to MUFG Intime India Private Limited, the company's Registrar & Transfer Agent
• Via email from registered email IDs with digitally signed documents
• Online through MUFG's portal

Deadline and Support

Hindalco urges shareholders to submit their documents by November 6, 2025. For any assistance regarding the campaign, shareholders can reach out to the company at hilinvestors@adityabirla.com .

This proactive approach by Hindalco not only complies with regulatory requirements but also demonstrates the company's commitment to shareholder welfare. By facilitating the claiming of unpaid dividends, Hindalco is ensuring that shareholders receive their rightful returns and strengthening the trust between the company and its investors.