Lloyds Metals and Energy Limited reported a transformative FY26, with consolidated revenue crossing INR 17,000 crores and a standalone profit of INR 3,194 crores. The company achieved a 120% year-on-year growth in iron ore production. Strategic initiatives include expanding pellet capacity to 8 million tons, a landmark 49% stake acquisition in Chemaf to enter the global copper-cobalt market, and a heavy investment pipeline of INR 13,500 crores to drive future growth.
Financial Performance Overview
The company delivered exceptional financial results for FY26. On a standalone basis, total income reached INR 13,838 crores, a 104% increase year-on-year, while EBITDA grew by 133% to INR 4,673 crores. The EBITDA margin stood strong at 33.77%, reflecting structural cost efficiencies and a higher share of value-added products. The company’s focus on execution has driven a 109% CAGR in revenue and a 139% CAGR in profit over the last five years.
Operations and Infrastructure Milestones
Lloyds Metals significantly scaled its core operations, with iron ore production reaching 21.96 million tons for the full year. The pellet plant successfully achieved 100% capacity utilization within four months of commissioning. To optimize logistics, the company has completed its mine capacity expansion to 55 million tons at Surjagarh and is progressing on a 195-kilometer slurry pipeline, expected to reduce logistics costs by over INR 500 per ton.
Strategic Entry into Critical Minerals
In a major move to diversify, the company has entered the copper and cobalt sector through the 49% acquisition of Chemaf Group in the Congo. This partnership aligns with a U.S.-led critical mineral strategy, positioning the company as a key global player. The company plans to ramp up copper production to 100,000 tons over the next 3 to 5 years, leveraging synergies with its existing sulfuric acid infrastructure and established mining expertise.
Future Outlook and Capital Expenditure
The company maintains a disciplined approach to capital allocation, with an investment of INR 13,500 crores already deployed over the last four years and a similar intensive capex cycle planned for the near term. Key projects, including the 1.2 million tonne steel plant and ongoing pellet plant expansions, remain on track. Management expects annual cost savings to exceed INR 2,000 crores per annum by March 2028, driven by infrastructure improvements and green energy initiatives.
Source: BSE
