PRIYABRAT BISWAL

BHUBANESWAR, OCTOBER 28, 2026

Vedanta Aluminium Metal Ltd (VAML) on Wednesday reported a 105 per cent year-on-year increase in profit after tax (PAT) to Rs 6,187 crore for the September quarter of FY27, driven by higher production, improved product mix and enhanced cost competitiveness.

The company's revenue from operations rose 41 per cent to Rs 22,066 crore in the second quarter, while earnings before interest, taxes, depreciation and amortisation (EBITDA) surged 83 per cent to Rs 10,192 crore, with an EBITDA margin of around 46 per cent.

The aluminium producer recorded its second consecutive quarter of EBITDA exceeding Rs 10,000 crore, despite softening prices on the London Metal Exchange (LME), reflecting stronger operational performance and improved business efficiency.

On the operational front, the company achieved its highest-ever quarterly aluminium production of 649 kilotonnes (KT), marking an increase of 5 per cent year-on-year and 3 per cent sequentially.

Production of value-added aluminium products reached a record 432 KT, registering a 31 per cent year-on-year growth, while alumina production climbed 37 per cent to a new quarterly high of 895 KT.

The company also strengthened its balance sheet during the quarter, reducing net debt by Rs 3,090 crore sequentially. Its net debt-to-EBITDA ratio improved to 0.7 times from 0.9 times in the first quarter of FY27, reflecting improved financial flexibility.

India Ratings upgraded the company's credit rating to AA+ with a stable outlook, while ICRA and CRISIL reaffirmed their ratings, further supporting its financial standing.

Vedanta Aluminium continued to advance its capacity expansion and resource-integration initiatives during the quarter. The second zone of the 435-KTPA expansion at Bharat Aluminium Company (BALCO) was operationalised, while Consent to Operate (CTO) was obtained for the Sijimali bauxite block.

The company said these developments would strengthen resource security and support the expansion of its integrated aluminium value chain.

Commenting on the performance, Rajesh Kumar, Whole-Time Director and Chief Executive Officer of Vedanta Aluminium, said the company had maintained its growth momentum while achieving record aluminium and alumina production and advancing its expansion and integration projects.

He said the operationalisation of the second zone of BALCO's expansion and progress in securing bauxite resources would reinforce the company's integrated business model, while continued emphasis on cost competitiveness and value-added products would help it address rising demand for aluminium.

Anup Agarwal, Chief Financial Officer of Vedanta Aluminium, said sustained earnings momentum, disciplined cash generation and capital management had enabled the company to reduce net debt significantly during the quarter.

He added that the improved leverage position and favourable credit-rating developments would help the company fund its strategic priorities while maintaining financial discipline.

Vedanta Aluminium said it would continue to focus on operational efficiency, capacity expansion, resource security and a higher share of value-added products as it works towards building a globally competitive, fully integrated aluminium business.