Hindalco Industries, the Aditya Birla Group's metals flagship and the world's largest aluminium company by revenues, comes into its Q2 FY 2026-2027 print after a record Q1 in which consolidated revenue rose 32% YoY to Rs. 84,825 Cr despite a Rs. 2,299 Cr net exceptional charge from the Novelis Oswego fires. The quarter's key questions are whether India margins can hold after Q1's record 55% upstream EBITDA margin on a lower LME aluminium price, and how quickly Novelis' tariff headwind eases from the $70M net impact seen in Q1.
| Results date | November 06, 2026 |
|---|---|
| Quarter | Q2 FY 2026-2027 |
| Previous quarter revenue | Rs. 84,825 Cr |
| Previous quarter PAT | Rs. 7,013 Cr |
| Previous quarter EBITDA margin | 17.67% |
| Net debt (latest quarter) | Rs. 77,495 Cr |
| Market cap | Rs. 211,160.16 Cr |
| CMP | Rs. 935.8 |
The board of Hindalco Industries will meet on Friday, November 6, 2026, to consider the financial results for the quarter and half year ended September 30, 2026.
Hindalco's Q2 FY27 earnings call is scheduled for Friday, November 6, 2026, at 16:30 IST. Novelis Inc., its wholly owned subsidiary, hosts its own Q2 FY27 call a day earlier, on Thursday, November 5, 2026, at 17:30 IST.
The Q2 FY27 print will test whether Hindalco's record Q1 — revenue of Rs. 84,825 Cr (+32% YoY) and EBITDA of Rs. 14,989 Cr (+73% YoY) — can be sustained as LME aluminium traded broadly between $3,100 and $3,300 per tonne during July–August, below the $3,577/t average the company earned on in Q1. Management has guided copper and downstream aluminium volumes higher in Q2 and external alumina sales of ~190 kt versus 138 kt in Q1, when one missed ship caused a shortfall against ~170 kt guidance.
On costs, management flagged 5–6% QoQ India cost inflation in rupee terms for Q2, and Brent's rise from an $83.41/bbl July average to $90.84 in August and $100+ in September, alongside a rupee near 95.5–96 versus the 91.63 hedge strike, points to continued rupee-term fuel pressure.
At Novelis, the tariff headwind is expected to decline from Q1's $70M net impact 'by the end of the year' but not to zero, with the 20 July tariff proclamation and the 19 August US–Canada deal to halve steel/aluminium tariffs pointing in that direction; the Oswego plant is back up and running with Ford ramping F-Series offtake.
Leverage remains the balance-sheet watch item, with consolidated net debt/EBITDA at 1.95x at Jun-26 against management's ~2x commitment, and a guided $300–400M Novelis working-capital release over the next couple of quarters. The call is also expected to cover progress on the $350–400M Novelis cost-savings target by FY28 exit and the Bay Minette ramp toward commercial shipments in Q1 FY28.
Guidance scorecard to test: Key management guidance items and their latest stated status heading into the Q2 FY27 call.
Tariffs and Oswego recovery at Novelis
India cost bridge and upstream margin
Q2 volume recovery
Strategic execution updates
Management said the ~$250/ton EBITDA level applies to the remaining quarters of FY27 while Aditya FRP ramps, with the longer-term level 'over $300'. Management also affirmed the Analyst Day guidance of 4x downstream EBITDA by fiscal '30.
Management has guided India capex of Rs. 12,000 Cr for FY27, rising to Rs. 15,000–17,000 Cr in FY28, with Novelis capex of $2.3–2.4 Bn in FY27 dropping sharply to maintenance levels from FY28. FY28 consolidated numbers were promised closer to Q3 or Q4 of FY27.
Consolidated net debt/EBITDA rose to 1.95x at Jun-26 from 1.83x at Mar-26, with net debt at Rs. 77,495 Cr, while management remains committed to ~2x. Novelis gross debt is expected to temporarily sit at high $8 billion levels before falling below $8 Bn by end FY27, with deleveraging starting from FY28.
Full plant commissioning is targeted for H2 2026, with commercial shipments expected in Q1 FY28. The ramp to a 600 KT run rate is expected over 18–24 months at EBITDA/ton above $1,000, with start-up costs of $100–150M annually.
Disclaimer: This earnings preview is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.