Novelis (Novelis) Registration Filing summary

Company overview and business model

• Leading global producer of innovative, sustainable aluminum solutions and the world's largest recycler of aluminum, with 32 facilities across four continents and 13,190 employees.

• Operates in beverage packaging, automotive, aerospace, and specialties markets, with a focus on high recycled content and circular economy solutions.

• Holds #1 global market share in beverage packaging (39%) and automotive (36%) aluminum sheet markets (excluding China).

• Integrated network includes 14 recycling centers and 11 innovation centers, supporting a broad, high-value product portfolio.

• Business model emphasizes closed-loop recycling partnerships, high recycled content (63% in FY2024), and ongoing investments to reach 75% recycled content by 2030.

Financial performance and metrics

• FY2024 net sales: $16.2 billion; net income: $600 million; Adjusted EBITDA: $1,873 million; Adjusted EBITDA per tonne: $510.

• Total rolled product shipments: 3,673 kt; financial leverage ratio: 2.3x as of March 31, 2024.

• Net cash provided by operating activities: $1.3 billion; Adjusted Free Cash Flow: $(75) million (outflow) in FY2024.

• Consistent margin expansion: net income per tonne increased from $(12) in FY2016 to $163 in FY2024; Adjusted EBITDA per tonne from $308 to $510 over the same period.

• Cumulative net cash from operations since FY2016: $8.2 billion; cumulative Adjusted Free Cash Flow: $3.3 billion.

Use of proceeds and capital allocation

• All IPO proceeds will go to the selling shareholder (AV Minerals, a Hindalco subsidiary); the company will not receive any proceeds.

• Capital allocation prioritizes maintenance capex, organic growth investments (approx. $4.9 billion under construction through 2027), and quarterly dividends of ~$25 million, subject to board discretion.

• Recent returns of capital: $100 million paid to the shareholder in each of FY2022, FY2023, and FY2024.