Hindustan Zinc Q2 result: Net profit soars 14% YoY to ₹2,649 crore; revenue up 4%

In the corresponding period last year, the company had clocked a profit of ₹2,327 crore.

The Vedanta-group company witnessed a 3.6% YoY increase in its total revenue from operations, which sat at ₹8,549 crore during the quarter under review, as against ₹8,252 crore in the September quarter of FY25.

At an operational level, the firm's EBITDA (earnings before interest, tax, depreciation, and amortisation), also known as operating profit, stood at ₹4,467 crore, marking its best-ever second-quarter EBITDA. It jumped 7% YoY from ₹4,164 crore in the same quarter of FY25.

During the reporting quarter, it also clocked an “industry-leading” EBITDA margin at 52%, expanding from 50% in the September quarter of the previous fiscal year.

Silver drove 40% of its overall profit, which uniquely positioned the firm for “riding the silver wave”.

The growth in revenue and operating profit was driven by higher commodity prices, lower cost of production, higher by-product realisations, softened input commodity prices, and a stronger dollar, which was partly offset by lower production.

The firm witnessed a five-year low second-quarter zinc cost of production (COP), which stood at $994 per tonne, supported by softened input commodity prices and higher by-product realisations. Meanwhile, it recorded the best-ever Q2 for mined metal production, which was at 258 Kt, up 1% YoY.

During the quarter, Hindustan Zinc commissioned a 160 Ktpa roaster at Debari. Furthermore, it completed cellhouse debottlenecking at Dariba Smelting Complex. It expects Chanderiya Lead Zinc smelter to be completed by Q3FY26, which, along with the Dariba Smelting Complex, will increase the firm’s overall metal capacity by 21 Ktpa.

What management said

Commenting on the earnings, Arun Misra, Chief Executive Officer of Hindustan Zinc, said: “I am delighted to share that we have delivered the best-ever second quarter mined metal production with a 5-year lowest zinc cost of production of $994 per tonne, reflecting the continuous operational excellence, technology intervention and dedication of our people.”

The company’s Chief Financial Officer, Sandeep Modi, said: “The quarter’s strong financial performance reflects the benefits of our cost efficiency and portfolio diversification. With silver contributing c.40% to profits, we are well-positioned to leverage commodity tailwinds while strengthening our sustainable value creation through disciplined cost management, growth projects, value-added offerings, and critical mineral development. We are also proud to be included in the Nifty 100 and Nifty Next 50 indices — a recognition that underscores our strong fundamentals, consistent performance, and growing presence among India’s leading companies.”

Hindustan Zinc (HZL) is the world’s largest integrated zinc producer and is amongst the top five silver producers globally. The company supplies to more than 40 countries and holds a market share of about 77% of the primary zinc market in India.