Vedanta Q2 Results: Net profit slips 59% YoY to ₹1,798 crore; shares settle 2.5% lower

The company reported a consolidated profit after tax (PAT) of ₹3,479 crore. The company had logged a profit of ₹5,603 crore in the year-ago period. In the previous quarter, the company had posted a profit of ₹4,457 crore.

Its net profit (profit attributable to owners of Vedanta) slipped 58.6% YoY to ₹1,798 crore against ₹4,352 crore logged in the year-ago period.

Its total revenue from operations came in at ₹39,868 crore, up 5.93% against ₹37,634 crore seen in the September 2024 quarter.

Total income came in at ₹40,464 crore, up 4% against ₹38,934 crore logged in the year-ago quarter.

Its EBITDA, or operating profit, increased by 12% YoY to ₹11,612 crore, mainly driven by higher premiums and forex benefits partially offset by higher costs and lower volume, Vedanta said in its press release.

EBITDA margin came in at 34%, up 69 bps YoY. (The figure excludes custom smelting at copper business & one-off gain in Q2FY26), the press release added.

EBITDA stands for earnings before interest, taxes, depreciation, and amortisation.

Shares of Vedanta after the results announcement ended 2.5% lower at ₹494.30 apiece on the NSE.

Segment-wise business highlights: Q2 FY26

Aluminium

o Record quarterly alumina production at 653 kt, up 31% YoY and 11% QoQ

o Record Cast Metal production of Aluminium at 617 kt, up 1% YoY and 2% QoQ

o BALCO produces first metal from India’s largest 525 kA smelter.

o 1st Alumina output from Train II under the 3 MTPA expansion project at Lanjigarh

Zinc India

o Highest-ever second-quarter mined metal production at 258 kt, up 1% YoY

o Lowest Q2 HZL COP in the last five years at $994/t, lower 7% YoY & 2% QoQ

Zinc International

o Mined metal production at Zinc International jumps 38% YoY and 6% QoQ to 60 kt.

o Gamsberg’s production jumps 54% YoY and 7% QoQ to 49 kt

O&G

o 2QFY26 production at 89.3 kboepd

Iron Ore, Steel, and Copper

o Iron ore production at IOG at 0.1Mnt, up 48% YoY

o Record quarterly pig iron production at 238 kt, up 26% YoY and 12% QoQ

o Ore production at Facor at 47 kt jumps 23% YoY

Power

o Merchant Thermal Power capacity enhanced to 4.2 GW with commissioning of Athena 600 MW and Meenakshi 1000 MW.

What management said

Arun Misra, ED, Vedanta, said, “Our H1 FY26 performance reflects Vedanta’s resilience. We delivered 8% YoY EBITDA growth in a period marked by uncertainties and lower prices of key commodities that we deal with, versus the annual average of FY25. This performance is on the back of our disciplined approach, focusing on volume growth and cost reduction across businesses. We delivered record production of aluminium, alumina, zinc MIC in our international operations, pig iron, and power generation."

"Alongside, we delivered strong progress on new projects, including commissioning of 1.3 GW of new power plant capacities, first metal production from the new BALCO smelter, first alumina from 1.5 MTPA train 2 at the Lanjigarh refinery, and the start of the 160 KTPA roaster at Debari. Supported by this increased production capacity and the recovery in commodity prices, Vedanta is well positioned to deliver its best performance in FY26, with full-year EBITDA surpassing the historic best EBITDA of ~USD 6bn delivered in FY22."

Ajay Goel, CFO, Vedanta, said, “This quarter, we achieved the highest-ever second-quarter revenue of ₹39,218 crore, growing by 6% YoY. We also achieved our record second-quarter EBITDA of ₹11,612 crore, reflecting 12% YoY growth with EBITDA margin expanding by 69 bps YoY to 34%. Our PAT before exceptional stands at ₹ 5,026 crore, up 13% YoY. Staying true to our shareholder commitment, we also declared a dividend of ₹16 per share during the quarter."

"We have further improved our leverage. Our net debt to EBITDA ratio stands at 1.37x, improving from 1.49x last year. The reaffirmation in credit rating at AA by both Crisil and ICRA highlights our financial strength and the market’s confidence in Vedanta’s growth story," Goel added.