NALCO has reported its best ever Q2 and H1 performance, driven by strong production and financial results. Q2 saw a 13% increase in bauxite excavation and a 15% rise in alumina production. Revenues increased by 7.27% and expenses decreased by 3.34%. The refinery expansion is almost 80% complete, with commissioning planned for June 2026, adding 1 million tons of refining capacity.
Exceptional Financial Performance
NALCO has announced record-breaking results for both the second quarter (Q2) and the first half (H1) of the fiscal year, achieving peak performance in both production and financial metrics. Compared to the previous year, Q2 saw a 13% increase in bauxite excavation and a 15% increase in alumina production. Cast metal production also rose by approximately 3.48%.
Overall revenues from operations increased by 7.27%, while expenses decreased by 3.34%. Profit After Tax (PAT) increased by 34% compared to Q2 of the previous year.
H1 Performance Highlights
Compared to H1 of the previous year, bauxite excavation increased by 6.25%, calcined alumina production rose by 31.33%, and cast metal production increased by 3%. Revenues from operations increased by 18%, with Profit Before Tax (PBT) increasing by 47% and PAT by approximately 50.2%. Alumina sales also saw a significant increase of approximately 81%. The volume increase contributed approximately INR 700 crores, and efficiency improvements contributed approximately INR 300 crores compared to H1 of the previous year.
Refinery Expansion Update
The company’s refinery expansion is nearing completion, with approximately 80% of the expansion work finished. Commissioning of the 1 million ton refinery is planned for June 2026. This will increase the company’s existing refinery capacity from 2.1 million tons to approximately 3.1 million tons.
Smelter Expansion Plans
NALCO is also planning a smelter expansion, with plans to add a 5 lakh ton smelter within the next 4-5 years, targeting completion by 2030.
KABIL Joint Venture Progress
Regarding the KABIL joint venture in Argentina, non-invasive exploration has been completed for all five mines. The company is now proceeding with invasive exploration to determine the depth and availability of lithium. An exploration agent is expected to be appointed within the next 1-2 months, with results expected within 6 months. A pilot plant will then be set up, and the results regarding the grade of lithium and commercial mining potential are expected within 8-9 months.
Source: BSE
