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Highlights

• Consolidated revenue rose 14% YoY to ₹66,521 crore.
• India business PAT reached record ₹3,581 crore, up 24%.
• Reported PAT declined 45% due to Oswego disruption impact.

Hindalco Industries (NSE:HINDALCO) reported consolidated revenue of ₹66,521 crore for Q3 FY26, marking a 14% increase compared to the year-ago period. Consolidated EBITDA stood at ₹8,543 crore, up 5% YoY, while profit before exceptional items rose 8% to ₹4,051 crore.

However, reported profit after tax declined to ₹2,049 crore from ₹3,735 crore in Q3 FY25. The drop was attributed to exceptional expenses of ₹2,610 crore linked to the Oswego plant disruption following fire-related incidents. Earnings per share for the quarter came in at ₹9.23, down 45% YoY.

India Business Offsets Overseas Disruption
The India business delivered its highest-ever quarterly PAT at ₹3,581 crore, reflecting a 24% increase over the previous year. Aluminium Upstream revenue rose 6% to ₹10,620 crore, while EBITDA increased 14% to ₹4,832 crore. EBITDA per tonne improved to USD 1,572, with margins at 45%.

Aluminium Downstream recorded sales of 108 KT, up 9% YoY. Revenue in the segment rose 22% to ₹3,909 crore, and EBITDA climbed 55% to ₹233 crore, supported by higher shipments and improved product mix.

In the Copper segment, revenue jumped 33% YoY to ₹18,233 crore, largely driven by higher copper prices. EBITDA stood at ₹595 crore, compared to ₹777 crore in the prior-year quarter, amid lower TC/RCs and softer domestic CCR demand.

Novelis Performance and Capacity Plans
Subsidiary Novelis posted revenue of USD 4.19 billion in Q3 FY26, up 3% YoY. Adjusted EBITDA declined 5% to USD 348 million due to lower volumes and tariff impacts linked to the Oswego disruption. EBITDA per tonne improved 6% to USD 430 despite shipment volumes falling to 809 KT from 904 KT a year earlier.

The Bay Minette project remains on track for commissioning in H2 FY27, while the Oswego plant is expected to restart its hot mill in Q1 FY27.

As of December 31, 2025, consolidated net debt to EBITDA stood at 1.73x compared to 1.33x a year earlier.

Sustainability Metrics
The company secured a score of 89/100 in the 2025 S&P Global Corporate Sustainability Assessment, maintaining its top position in the aluminium industry segment for the sixth consecutive year.

Broker Consensus Signals Hold Stance
According to Refinitiv data as of 20 Feb 2026, Analysts maintain a neutral outlook on Hindalco Industries Ltd., listed on the National Stock Exchange of India, with the current consensus recommendation at 2.82 (HOLD). The average target price stands at INR 928.55, implying a marginal upside of approximately 0.29% from current levels.

While the company continues to benefit from its strong position in the aluminum segment, the absence of a defined long-term growth (LTG) estimate suggests cautious expectations for earnings expansion. Overall, broker sentiment points to operational stability but limited near-term re-rating potential.

Share Performance
Shares of the company traded at ₹926.90 on February 20, gaining ₹21.25 or 2.35% on the day.

Hindalco Industries reported higher consolidated revenue and EBITDA in Q3 FY26, supported by record India business performance. However, exceptional expenses related to the Oswego disruption weighed on reported profit. Investors are monitoring capacity expansions, recovery at overseas operations, and leverage metrics in the coming quarters.

FAQs

Q1. Why did Hindalco’s reported PAT decline despite revenue growth?
Reported profit after tax fell 45% YoY to ₹2,049 crore mainly due to exceptional expenses of ₹2,610 crore related to the Oswego plant disruption following fire incidents. Excluding these one-time costs, profitability showed improvement.

Q2. How did the India business perform in Q3 FY26?
The India business delivered a record quarterly PAT of ₹3,581 crore, up 24% YoY. Strong performance in Aluminium Upstream, higher downstream shipments, and improved margins supported overall earnings growth.

Q3. What is the broker outlook on Hindalco stock?
Analysts maintain a HOLD recommendation with an average target price of ₹928.55, indicating limited upside from current levels. Broker sentiment suggests operational stability but cautious near-term growth expectations.