Vedanta Reports Record Q2 FY26 EBITDA of ₹11,612 Crore

Vedanta Limited has announced its Unaudited Consolidated Results for the second quarter and half year ended 30th September 2025. Vedanta delivered robust financials with profit after tax before exceptional items jumping 13% YoY to ₹5,026 crores. The company clocked the highest ever* second quarter and first half EBITDA of ₹11,612 crores, up 12% YoY. Vedanta’s EBITDA margin improved by 69 bps to 34%† YoY. The company also recorded the highest ever second quarter revenue at ₹39,218 crores, up 6% YoY.

Vedanta’s Net Debt to EBITDA ratio improved from 1.49x to 1.37x, with cash and cash equivalents of ₹ 21,481 crore. The company’s Return on Capital Employed (ROCE) improved by 347 bps YoY to 26%. Credit ratings for Vedanta have been reaffirmed at AA by both CRISIL and ICRA.

Vedanta invested ~USD 0.9 billion in growth capex in the first half. The company clocked record quarterly alumina production of 653 kt, up 31% YoY, and record cast metal aluminium production of 617 kt, up 1% YoY. Notably, BALCO produced its first metal from India’s largest 525 kA Smelter. At the alumina refinery at Lanjigarh (Odisha), Vedanta produced the first alumina from the expansion project. The company expanded merchant power capacity by 1.3 GW through Meenakshi Energy and Athena Power.

Vedanta’s zinc operations in India reported their highest-ever second quarter mined metal production at 258 kt, up 1% YoY, along with its lowest-ever Q2 cost of production at $994/t in last 5 years, lower by 7% YoY. The company’s international zinc operations witnessed a 38% jump in mined metal production to 60 kt. The Iron Ore, Steel and Copper segment delivered a strong performance, with iron ore production up 48% YoY at 0.1 Mnt, record pig iron production of 238 kt, up 26% YoY, and ore production at FACOR increasing 23% YoY to 47 kt.

Commenting on Q2FY26 results, Mr. 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 new BALCO smelter, first alumina from 1.5 MTPA train 2 at Lanjigarh refinery and start of 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”.

Mr. 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 Rs. 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 markets’ confidence in the Vedanta’s growth story.”

2QFY26 ESG Highlights

ESG Leadership: Hindustan Zinc became the first Indian company to join the International Council on Mining and Metals—a prestigious global alliance of companies recognized for excellence in responsible mining practices.

Environmental: Across our operations, we planted over two lakh saplings, reinforcing our dedication to environmental stewardship. In Barmer, our rainwater harvesting initiatives enabled the collection of 0.23 million kilolitres, contributing to sustainable water management.

Social Front: Our outreach programs have now impacted over 27.5 million women and children, while 1.56 million families benefited from our skilling initiatives. Additionally, we signed an ₹85 crore MoU to restore heritage sites in Rajasthan, furthering our commitment to cultural preservation and community development.

Consolidated Financial Performance –                                               

(In ₹ crore, except as stated)

1Excludes custom smelting at copper business & one-off gain in Q2FY26

Revenue:

o   Consolidated revenue at ₹39,218 crore, up 6% YoY driven by higher LME, premia and forex gain partly offset by lower volume

o   The revenue is up 5% QoQ largely on account of higher LME, premia, forex gain and higher volume

EBITDA and EBITDA Margin:

o   EBITDA increased by 12% YoY to ₹11,612 crore mainly driven by higher premiums and forex benefit partially offset by higher cost and lower volume

o   EBITDA is higher by 8% QoQ mainly driven by higher premiums, forex benefit and higher volume partially offset by higher cost

o   EBITDA margin[3] at 34%, up 69 bps YoY

Depreciation & Amortization: 

o   Depreciation & Amortization at ₹2,868 crore increased 6% YoY and 2% QoQ mainly at Zinc International due to increased production

Finance Cost:

o   Finance cost is lower 21% YoY mainly due to lower interest rates and higher 4% QoQ majorly due one-offs in 1QFY26

Investment Income:

o   Investment Income is lower 3% YoY due to change in investment mix, and lower 10% QoQ due to higher interest on income tax refund in 1QFY26

Taxes:

o   ETR is 28% as compared to 26% in 1QFY25

Profit After Tax

o   PAT is ₹ 3,479 crore

Leverage, liquidity, and credit rating:

o   Gross debt at ₹ 83,544 crore as on 30th September 2025

o   Net debt at ₹ 62,063 crore as on 30th September 2025, implying Net debt to EBITDA ratio of ~ 1.37x

o   Cash and cash equivalents position remains strong at ₹ 21,481 crore. The Company follows a Board-approved investment policy and invests in high quality debt instruments with mutual funds, bonds, and fixed deposits with banks

o   Both ICRA and CRISIL have reaffirmed AA rating for Vedanta Limited