National Aluminium Company (NATIONALUM) Q2 26/27 earnings summary

Executive summary

• H1 FY27 delivered record revenue, EBITDA, PBT and PAT of ₹11,143 crore, ₹5,539 crore, ₹5,160 crore and ₹3,837 crore, respectively; H2 margins are expected to remain broadly stable.

• Q2 FY27 revenue from operations was ₹5,419.44 crore and consolidated profit was ₹1,835.05 crore, both higher YoY.

• Fifth refinery stream commissioning is targeted for late December or early January, with 3–5 months expected to reach rated capacity.

• H1 consolidated revenue was ₹10,721.82 crore and consolidated profit was ₹3,838.19 crore.

Financial highlights

• Q2 revenue from operations rose 26.3% YoY to ₹5,419.44 crore; consolidated PBT was ₹2,471.30 crore and profit was ₹1,835.05 crore.

• Q2 EBITDA, excluding exceptional income, was ₹2,659 crore, up 28.0% YoY; operating expenses rose 27.1% to ₹3,008 crore.

• H1 net cash from operating activities was ₹4,371.39 crore versus ₹2,720.94 crore in the prior-year period.

• H1 power and fuel costs rose ₹317 crore YoY, including ₹256 crore from fuel oil and refinery costs and ₹73 crore from purchased power.

• Other income rose 43% QoQ, mainly from higher deposit interest; cash funds increased from ₹8,500 crore to ₹12,000 crore.

Outlook and guidance

• FY27 alumina production is expected at 2.4–2.45 million tonnes; the fifth refinery stream could add 0.15 million tonnes if production starts in January.

• H2 alumina realization is projected at ₹35,000 versus ₹33,200 in H1; near-term export pricing is expected at $370–$380 per tonne.

• H2 margins are expected to remain stable, with ₹300–350 crore potential incremental PBT from refinery output, efficiency gains and non-recurrence of an H1 royalty impact.

• FY27 coal production target is 4.8 million tonnes; H1 production was 2.1 million tonnes, with environmental clearances expected within two months.

• FY27 capex is expected to exceed ₹1,800 crore versus ₹800 crore spent in H1; year-end cash balance is expected at ₹12,000 crore.