Vedanta subsidiary Hindustan Zinc on Monday, January 19, posted a strong set of results for the recently-concluded October-December quarter (Q3) of the ongoing fiscal, recording the highest-ever consolidated revenue and profit amid a sharp surge in silver prices.
Hindustan Zinc’s consolidated net profit rose 46.22% year-on-year (YoY) to ₹3,916 crore in Q3 FY26, as against ₹2,678 crore posted in the same period a year ago. This is the highest-ever quarterly profit posted by the company on the back of record revenue and EBITDA.
The revenue from operations was also the highest ever at ₹10,627 crore, a growth of 27.80% over ₹8,315 crore in the year-ago period.
Meanwhile, Hindustan Zinc said that it recorded quarterly EBITDA of ₹6,087 crore, up 34% YoY, with an industry-leading EBITDA margin of 55%, a rise of 270 bps YoY. The EBITDA growth was driven by increased production, higher zinc & silver prices, lower cost of production, a stronger dollar, and higher by-product realisations.
On a sequential basis, the company’s profit and revenue rose 48% and 28%, respectively.
The contribution of precious metal portfolio to profits rose to 44% during the quarter, said Sandeep Modi, Chief Financial Officer at Hindustan Zinc. “With a strong balance sheet, cost leadership, disciplined execution, and industry-leading margins, we are well positioned to translate opportunity into sustained and superior shareholder returns.”
Operational Highlights
During the quarter under review, Hindustan Zinc’s mined metal production rose to the highest ever of 276 Kt, a growth of 4% YoY and 7% quarter-on-quarter (QoQ).
Meanwhile, the refined metal production was also its best in Q3 of 270 Kt, up 9% QoQ and 4% YoY. At the same time, the cost of production was at a five-quarter low of $940 per tonne.
Hindustan Zinc said that silver production stood at 158 MT in Q3FY26, a growth of 10% QoQ, contributing 44% to profits. The company said it is uniquely positioned to ride the silver wave.
The company said debottlenecking at Chanderiya Smelter has been successfully completed. The refined zinc capacity increased by 21 Ktpa, including the earlier commissioned debottlenecking at Dariba Smelter.
Harshal Dasani, Business Head, INVasset PMS, said that Hindustan Zinc’s Q3 performance reflects a rare combination of volume growth, cost leadership, and balance-sheet strength coming together at the right point in the metals cycle.
Mined metal production reached a quarterly high, refined metal output improved sequentially, and zinc production costs fell to a five-year low, underscoring operational efficiency rather than just favourable pricing, said Dasani. “This operating leverage translated into EBITDA of over ₹6,000 crore, comfortably ahead of market expectations, highlighting the quality and sustainability of earnings.”
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