Vedanta Ltd. has flagged a fresh cost pressure for FY27, warning that the ongoing war between the US, Israel and Iran could add $50–100 per tonne to the aluminium cost of production in H1FY27, even as it guides for annual aluminium CoP at $1,650–1,700 per tonne.
Prices of base metals spiked during the quarter ending March 31 due to supply disruption linked to the ongoing war in the Middle East. Vedanta's aluminium business is the biggest in India and contributes to nearly 40% of the company's revenue.
The company expects aluminium output to rise to 2.6–2.7 million tonnes in FY27 from 2.46 million tonnes in FY26, while alumina production is projected at 4–4.1 million tonnes, signalling growth despite geopolitical cost headwinds.
The metals-to-oil conglomerate reported a 92.3% jump in quarterly profit , helped by strong base metal prices that boosted margins.
Vendanta's revenue from the aluminium segment rose 17.4% year-over-year, while from the zinc and lead India segment advanced 21.4%. Copper segment revenue jumped 53.9% from a year earlier, boosting total revenue up 29.5% to Rs 515.24 billion.
Earlier this month, Vendanta approved its demerger into four separate listed companies, effective May 1, where it would spin off businesses like steel and ferrous metals, oil and gas, aluminium, and power, while its base metals unit will remain with the parent.
Prices of base metals spiked during the quarter ending March 31 due to supply disruption linked to the ongoing war in the Middle East. Vedanta's aluminium business is the biggest in India and contributes to nearly 40% of the company's revenue.
The company expects aluminium output to rise to 2.6–2.7 million tonnes in FY27 from 2.46 million tonnes in FY26, while alumina production is projected at 4–4.1 million tonnes, signalling growth despite geopolitical cost headwinds.
The metals-to-oil conglomerate reported a 92.3% jump in quarterly profit , helped by strong base metal prices that boosted margins.
Vendanta's revenue from the aluminium segment rose 17.4% year-over-year, while from the zinc and lead India segment advanced 21.4%. Copper segment revenue jumped 53.9% from a year earlier, boosting total revenue up 29.5% to Rs 515.24 billion.
Earlier this month, Vendanta approved its demerger into four separate listed companies, effective May 1, where it would spin off businesses like steel and ferrous metals, oil and gas, aluminium, and power, while its base metals unit will remain with the parent.
