This Aditya Birla Group stock, engaged in the production of aluminium and copper, including mining, refining, rolling, recycling, and manufacturing of value-added metal products globally, is in focus after the company plans to invest Rs. 8,000 crore for FY26 to expand its production capacity.
With a market capitalization of Rs. 1,48,979.88 crores, the share of Hindalco Industries Limited has reached an intraday high of Rs. 671.50 per equity share, rising nearly 1.33 percent from its previous day’s close price of Rs. 662.70. Since then, the stock has retreated and is currently trading at Rs. 663.60 per equity share.
Hindalco Industries Limited was established in 1958 and part of the Aditya Birla Group, is a leading global metals company specializing in aluminium and copper. It operates across the entire value chain, from mining to downstream products, with a strong focus on sustainability, innovation, and serving diverse industrial sectors worldwide The company is one of Asia’s largest producers of primary aluminium (excluding China).
Hindalco, through its subsidiary Novelis, is a global leader in flat rolled products and the top aluminium recycler. In India, it’s the largest aluminium downstream player and the leading copper producer, meeting major domestic copper demand.
Capex: For FY26, Hindalco Industries Limited plans to invest Rs. 8,000 crore in India. This spending will go toward expanding its production capacity in both upstream and downstream operations. The company is also focusing on cutting costs and growing its range of new-age, value-added products to boost overall performance.
Hindalco expects strong earnings, which will help keep its net debt to EBITDA ratio below 2x. The company is also putting money into expanding its copper smelter, developing copper-based value-added products, and starting projects in e-waste recycling, supporting its long-term growth and sustainability goals.
Production Capacity: In FY25, Hindalco Industries reported a robust production increase across its segments. Alumina production rose by 5 percent YoY to 3,857 KT, while aluminium downstream production grew by 12 percent YoY to 411 KT and aluminium upstream production reduced by 1 percent YoY to 1,323 KT.
Copper cathode production increased by 9 percent YoY to 402 KT, and copper rods production saw a 9 percent YoY decline, reaching 453 KT. This overall growth reflects Hindalco’s strong operational performance in FY25.
Coming into the financial highlights, Hindalco Industries Limited’s revenue has increased from Rs. 55,994 crore in Q4 FY24 to Rs. 64,890 crore in Q4 FY25, which has grown by 15.89 percent. The net profit has also grown by 66.48 percent, from Rs. 3,174 crore in Q4 FY24 to Rs. 5,284 crore in Q4 FY25.
Hindalco Industries Limited’s revenue and net profit have grown at a CAGR of 15.94 percent and 46.40 percent, respectively, over the last four years.
In terms of return ratios, the company’s ROCE and ROE should be 15.2 percent and 14.5 percent, respectively. Hindalco Industries Limited has an earnings per share (EPS) of Rs. 71.2, and its debt-to-equity ratio is 0.52x.
Written By – Nikhil Naik
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