Hindalco shares crash over 6%; here is what is hurting sentiment

In the opening deals, the stock slipped as much as 6.39% to ₹778.10 on the NSE.

This includes a $100-150 million impact on adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA), according to a regulatory filing.

A company's free cash flow, accounted for after deducting capital as well as operating expenses, is meant for discretionary spending.

In a filing to the BSE, Hindalco stated that extensive restoration efforts have been undertaken at the fire-affected plant to return to normalcy.

"The Hot Mill is expected to restart by the end of December 2025, followed by a 4-6 week period of production ramp-up," the filing said.

In September, Hindalco Industries had said the production at its plant in New York had been halted following a fire accident.

The company had added that it is investigating the cause of the fire and determining the impact on its operations.

Hindalco Industries had said, "There was a fire incident at the Novelis Plant in Oswego, New York, on September 16, 2025."

The plant is insured for property damage and business interruption losses related to such events, subject to deductibles and policy limits, the company had said.

Novelis is a leading producer of flat-rolled aluminium products and a recycler of aluminium.

Novelis Q2

Novelis reported a 26.3% increase in consolidated net income to $163 million for the quarter ended September 30, 2025 (Q2 FY26). The company had posted a consolidated net income of $129 million in the corresponding quarter of the previous fiscal year.

The net sales of the company rose to $4,744 million, over $4,295 million in the year-ago period.

"Net income attributable to our common shareholders increased...to $163 million in the second quarter of fiscal year 2026, primarily driven by favourable metal price lag resulting from rising average local market aluminium premiums, as well as lower charges associated with the prior year Sierre flood, partially offset by lower operating performance," according to a regulatory filing.

Net sales for the second quarter of fiscal year 2026 increased 10 per cent, mainly driven by higher average aluminium prices, it said.