Hindalco Industries Limited — PPTs, 20-05-2025: Investor Presentation

1. Financial Highlights:

Consolidated revenue rose 16% YoY to ₹64,890 Cr, fueled by higher commodity prices and steady volumes. EBITDA expanded 43% YoY to ₹10,296 Cr, led by strong upstream aluminium (+79% EBITDA growth) and downstream aluminium (+52% EBITDA growth). Copper segment revenue grew 8% YoY to ₹14,565 Cr, though its EBITDA declined 21%. PAT jumped 66% YoY to ₹5,284 Cr on robust operations and cost control. Net debt improved to ₹35,332 Cr with leverage steady at 2.87x, indicating solid financial health.

2. Strategic Initiatives & Growth Drivers:

Significant strides in green energy and recycling with 189 MW renewable capacity, aiming for 300 MW by FY26. The Bay Minette US rolling and recycling plant is 90% engineered, slated for commissioning in H2 CY26. Capex priorities include alumina refinery expansion, captive coal mining, and copper smelter upgrades through FY28-29, reinforcing growth and sustainability ambitions.

3. Business Developments:

Novelis opened two new recycling centers in the US and South Korea, boosting sustainability efforts. A $300 million cost reduction plan is underway, involving closures of specialty finishing plants in North America and China. Specialty alumina shipments rose 21% YoY, with battery enclosure deliveries expanding product mix.

4. Market Position & Competitive Advantage:

Hindalco leads with best-in-industry upstream aluminium EBITDA margins and targets 75% average recycled content, showcasing strong circularity. It benefits from 18% domestic aluminium demand growth and rising aerospace and packaging exports. Recognition for sustainability and workplace excellence enhances market credibility.

5. Investor Implications:

Margin expansion, greenfield projects, and recycling investments point to positive growth potential. Cost-saving measures and circularity improvements reduce risks. Investors should watch for commodity price swings and capex execution but fundamentals support durable profitability and ESG progress.