Hindalco Q3 Results FY26: Profit at ₹2,049 Crore Despite ₹2,610 Crore Exceptional Loss at Novelis

Hindalco Q3 Results FY26: Key Highlights

Source: Official exchange filing

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Hindalco Q3 Results FY26: Quarterly Performance Overview

The Hindalco Q3 Results FY26 showed consolidated revenue of ₹66,521 crore, compared with ₹58,390 crore in the same quarter last year. This represents a year-on-year growth of about 14%, supported by strong aluminium upstream earnings and stable performance at global rolling subsidiary Novelis.

However, the Hindalco Q3 Results FY26 also reflected a sharp decline in net profit to ₹2,049 crore from ₹3,735 crore a year earlier. The drop was primarily due to exceptional expenses of ₹2,610 crore linked to fire incidents at the Novelis Oswego plant in the United States.

Profit before exceptional items remained strong at ₹5,439 crore, indicating that the underlying operating performance of the company remained largely stable despite one-off disruptions.

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Understanding Hindalco’s Business Model

To interpret the Hindalco Q3 Results FY26, it is important to understand the company’s integrated business structure.

Hindalco operates across the aluminium and copper value chains with a global presence through its subsidiary Novelis. The company’s operations can be divided into four major segments:

• Novelis (global aluminium rolling and recycling)
• Aluminium upstream (mining, refining, smelting)
• Aluminium downstream (value-added products)
• Copper (smelting and refining)

This integrated model allows the company to capture value across the commodity cycle while balancing cyclicality between upstream metal prices and downstream demand.

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Segment-Wise Performance in Hindalco Q3 Results FY26

1) Novelis Segment

In the Hindalco Q3 Results FY26, the Novelis segment reported revenue of ₹37,292 crore and segment profit of ₹3,102 crore.

Novelis remains the largest contributor to consolidated revenue. The business supplies rolled aluminium products to sectors such as:

• Automotive
• Beverage cans
• Packaging
• Aerospace

However, the segment faced operational disruptions after a major fire at the Oswego plant in New York in November 2025, following an earlier incident in September. The costs related to repairs, clean-up, and operational losses were recorded as exceptional expenses.

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2) Aluminium Upstream

The aluminium upstream business was the largest profit contributor in the Hindalco Q3 Results FY26.

• Revenue: ₹10,620 crore
• Segment profit: ₹4,832 crore

The segment benefited from:

• Stable aluminium prices
• Strong cost discipline
• Integrated mining-to-metal operations

This segment continues to be the core earnings engine for the company during favourable metal cycles.

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3) Aluminium Downstream

In the Hindalco Q3 Results FY26, the downstream segment reported:

• Revenue: ₹3,909 crore
• Segment profit: ₹233 crore

The downstream business includes value-added aluminium products such as extrusions, rolled products, and foils. This segment is less cyclical than upstream operations and provides margin stability.

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4) Copper Segment

The copper segment reported strong performance in the Hindalco Q3 Results FY26:

• Revenue: ₹18,233 crore
• Segment profit: ₹595 crore

Copper operations benefit from treatment and refining charges, as well as by-product credits from precious metals.

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Nine-Month Performance

For the nine-month period ended December 2025, the Hindalco Q3 Results FY26 update showed:

• Revenue: ₹196,811 crore
• Net profit: ₹10,794 crore
• Total comprehensive income: ₹14,531 crore

The performance remained broadly stable compared with the same period last year.

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Exceptional Items: Impact of Novelis Fire

One of the most important aspects of the Hindalco Q3 Results FY26 was the exceptional expense of ₹2,610 crore recorded during the quarter.

The company disclosed that the Novelis plant in Oswego, New York, was impacted by a major fire in November 2025. The fire was contained to the hot mill section and did not impact the entire plant.

The plant is insured for property damage and business interruption losses, subject to deductibles and policy limits. The company expects to incur repair and clean-up costs until operations are fully restored.

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Tax Adjustments in Hindalco Q3 Results FY26

The Hindalco Q3 Results FY26 also included tax-related adjustments after the company opted for the new tax regime effective April 1, 2026.

• Deferred tax liability write-back: ₹212 crore (quarter)
• Deferred tax write-back: ₹465 crore (nine months)
• Current tax provision reversal: ₹314 crore

These adjustments provided partial support to reported earnings.

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Balance Sheet Snapshot

As of December 31, 2025:

• Total assets: ₹309,342 crore
• Total liabilities: ₹172,338 crore
• Total equity: ₹136,770 crore

The Novelis segment accounted for the largest share of assets at ₹164,070 crore.

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Strategic Developments

Coal Mine Acquisition

During the Hindalco Q3 Results FY26 period, the company completed the acquisition of EMIL Mines and Mineral Resources Limited, securing access to the Bandha coal mines.

This acquisition strengthens raw material security and cost control for the aluminium business.

Novelis Capex Funding

A subsidiary raised a US$800 million term loan, of which US$750 million was infused into Novelis to support ongoing capital expenditure projects.

This reflects the company’s continued focus on global rolling capacity expansion.

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Capital-Flow Signals from Hindalco Q3 Results FY26

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Metal Cycle Context

The Hindalco Q3 Results FY26 came during a period of stable aluminium prices and improving demand from sectors such as:

• Automotive
• Renewable energy
• Infrastructure
• Packaging

Global decarbonisation trends are also increasing demand for lightweight aluminium, particularly in electric vehicles and recyclable packaging.

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Internal Links

• Metal & Commodity Sector Outlook 2026
• Tata Steel Q3 Results FY26
• JSW Steel Q3 Results FY26

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External Links

• Hindalco Official Website
• BSE India
• NSE India

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Hindalco Q3 Results FY26: Key Takeaways

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Outlook After Hindalco Q3 Results FY26

After the Hindalco Q3 Results FY26, the company’s earnings trajectory will depend on:

• Recovery at the Novelis Oswego plant
• Global aluminium and copper price trends
• Execution of downstream and recycling capacity
• Demand from auto, packaging, and infrastructure sectors

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Risks to Watch

• Volatility in aluminium and copper prices
• Delayed recovery at the Novelis plant
• Global demand slowdown
• Energy and input cost inflation
• Regulatory or legal developments

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Conclusion

The Hindalco Q3 Results FY26 reflect a quarter where strong underlying operations were overshadowed by exceptional losses at Novelis. Core segments remain profitable, and continued investment in global rolling capacity indicates long-term growth ambitions.

If exceptional disruptions normalise, earnings could see a sharp recovery in subsequent quarters, supported by upstream aluminium and copper performance.

Source: Hindalco Industries Q3 FY26 financial results