Financial Performance Overview

Vedanta Limited reported unaudited consolidated financial results for Q2 FY27 (ended September 30, 2026) showing record performance across key metrics:

Quarterly Performance (Q2 FY27 vs Q2 FY26):

  • Revenue: ₹25,812 crore, up 57% YoY (from ₹16,445 crore)
  • EBITDA: ₹9,938 crore, up 106% YoY (from ₹4,817 crore)
  • PAT (Continuing Operations): ₹6,202 crore, up 151% YoY (from ₹2,471 crore)
  • EBITDA Margin (excl. Copper Business): 60%, up 1,055 bps YoY (from 49%)

Half-Yearly Performance (H1 FY27 vs H1 FY26):

  • Revenue: ₹49,268 crore, up 54% YoY (from ₹31,982 crore)
  • EBITDA: ₹18,407 crore, up 103% YoY (from ₹9,084 crore)
  • PAT: ₹11,496 crore, up 151% YoY (from ₹4,571 crore)
  • EBITDA Margin (excl. Copper Business): 58%, up 1,023 bps YoY (from 48%)

Key Financial Metrics

Profitability Analysis:

  • Other Operating Income: ₹544 crore in Q2 FY27 (up 87% YoY from ₹291 crore)
  • Finance Cost: ₹696 crore in Q2 FY27 (down 9% YoY from ₹761 crore)
  • Investment Income: ₹495 crore in Q2 FY27 (up 44% YoY from ₹343 crore)
  • Depreciation & Amortization: ₹1,339 crore in Q2 FY27 (up 19% YoY from ₹1,124 crore)
  • Tax Charge: ₹2,188 crore in Q2 FY27 (up 197% YoY from ₹736 crore)
  • Normalized Effective Tax Rate: 26% for Q2 FY27

Balance Sheet & Liquidity:

  • Gross Debt: ₹30,297 crore as of September 30, 2026
  • Net Debt: ₹3,675 crore as of September 30, 2026 (reduced by ₹4,624 crore QoQ from ₹8,299 crore)
  • Cash & Cash Equivalents: ₹26,622 crore (increased from ₹19,992 crore in Q1 FY27)
  • Net Debt/EBITDA: 0.1x (improved from 0.3x in Q1 FY27)
  • Free Cash Flow (pre-capex): ₹5,803 crore in Q2 FY27 (₹4,412 crore in Q1 FY27)
  • Cumulative H1 FCF (pre-capex): ₹10,215 crore

Capital Expenditure:

  • Growth Capex: ₹1,135 crore in Q2 FY27
  • Cumulative H1 FY27 Growth Capex: ₹2,283 crore

Credit Profile:

  • Overall borrowing cost: ~8.3% p.a.
  • ICRA and CRISIL reaffirmed credit rating at AA+/Stable
  • Vedanta Resources Limited (VRL) credit ratings at decadal high: S&P & Fitch: BB/Stable, Moody's: Ba3/Positive
  • VRL successfully tied up $2.15 billion international bonds at avg. coupon rate of 7.4% and avg. maturity of 7.6 years
  • VRL secured $1.85 billion syndicate term loan at SOFR + 265 bps with avg. maturity of 3 years

Business Segment Performance

Zinc India:

  • Record Q2 mined metal production: 271 kt, up 5% YoY
  • Record H1 mined metal production: 539 kt, up 3% YoY
  • Silver production: 173 t in Q2, up 20% YoY; H1 at 321 t, up 10% YoY
  • Lowest Zinc Cost of Production: $703/t, down 29% YoY and 17% QoQ
  • Revenue: ₹14,525 crore in Q2 FY27, up 76% YoY
  • EBITDA: ₹9,243 crore in Q2 FY27
  • Zinc COP without royalty: ₹67,141/MT (-23% YoY)

Zinc International:

  • Mined metal production: 53 kt in Q2, down 12% YoY and up 9% QoQ
  • H1 production: 102 kt, down 13% YoY
  • Gamsberg Phase II commissioned during Q2 FY27, adding 200 ktpa MIC capacity
  • Total VZI capacity now: 500 ktpa
  • Revenue: ₹1,730 crore in Q2 FY27, up 40% YoY
  • EBITDA: ₹550 crore in Q2 FY27, up 47% YoY
  • COP: $1,678/MT, up 13% YoY

Copper Business:

  • Copper India sales: 52 kt in Q2, up 16% YoY; H1 sales: 105 kt, up 9% YoY
  • Copper International sales: 6 kt in Q2, down 74% YoY and 43% QoQ; H1: 16 kt, down 64% YoY (impacted by Strait of Hormuz closure)
  • Highest-ever quarterly cathode production at Copper India
  • 155 KTPA rod plant at KSA progressing well, expected commissioning in Q3 FY27
  • Revenue: ₹9,280 crore in Q2 FY27, up 41% YoY
  • EBITDA: ₹80 crore in Q2 FY27

FACOR:

  • Record Q2 ore production: 50 kt, up 6% YoY; record H1: 202 kt, up 31% YoY
  • Ferrochrome production: 24 kt in Q2, up 26% YoY; H1: 53 kt, up 13% YoY
  • Successful extraction of first tonne of underground ore from Ostapal Mines
  • Revenue: ₹320 crore in Q2 FY27, up 49% YoY
  • EBITDA: ₹77 crore in Q2 FY27

Ports (Vizag General Cargo Berth):

  • Record Q2 dispatch volume: 1.74 MMT, up 26% YoY; H1: 3.39 MMT, up 18% YoY
  • Discharge volume: 1.83 MMT in Q2, up 22% YoY; H1: 4.19 MMT, up 32% YoY

Operational Highlights

  • Portfolio of 11 critical mineral blocks, 5 under exploration
  • Zinc International Gamsberg Phase II commissioned, total MIC capacity to 500 kt p.a.
  • FACOR: Successful extraction of first tonne of underground ore from Ostapal Mines
  • Renewable power consumption at Zinc India increased to 27% of overall power consumption
  • Zinc alloy plant now sourcing 100% power from renewable energy sources

Dividend Declaration

  • Declared 1st Interim Dividend of ₹5 per share

Management Commentary

Mr. Arun Misra, Executive Director:

"Vedanta delivered another quarter of strong operational performance, marked by record mined metal production of 271 kt and record 1H mined metal production for the 6th consecutive year along with best-ever 1H refined metal production at Zinc India, the successful commissioning of Gamsberg Phase II at Zinc International, record chrome ore production and 100% ore procurement at FACOR, and the highest quarterly cathode production at Copper India. Alongside these operating milestones, we invested ₹1,135 crore towards our growth projects, advancing capacity expansions, mine development and resource security initiatives across the portfolio."

Mr. Ajay Goel, Group CFO:

"Vedanta Limited delivered a record financial performance in Q2 FY27, with highest-ever revenue of ₹25,812 crore, EBITDA of ₹9,938 crore and PAT of ₹6,202 crore. Strong cash generation of ₹5,803 crore during the quarter enabled us to reduce net debt by ₹4,624 crore to ₹3,675 crore, with Net Debt/EBITDA improving further from 0.3x to 0.1x. With multiple growth engines across Hindustan Zinc, Zinc International, FACOR, Copper and Ports and with a rich portfolio of critical mineral blocks, Vedanta Limited is well positioned to charter the next phase of growth while maintaining financial discipline and creating long-term value."

ESG Highlights Q2 FY27

  • LTIFR reduced to 0.50 from 0.70 in Q2FY26
  • TRIFR improved to 1.51 from 1.80
  • Over 80,000 Critical Risk Management verifications across operations
  • GHG emissions intensity reduced to 3.36 tCO₂e/t metal from 3.93 tCO₂e/t in FY26
  • Total GHG emissions declined 19% YoY to 2.38 million tCO₂e from 2.94 million tCO₂e
  • Achieved 43% water recycling rate, recycling 12.8 million m³ of water
  • Impacted 0.46 million individuals through skilling, livelihood enhancement, education and entrepreneurship programs
  • 9.04 million women and children benefited from healthcare, education, nutrition, sanitation and welfare initiatives

Project Updates

Zinc International - Gamsberg Phase II:

  • Commissioned 200 KTPA Phase 2 at Gamsberg taking VZI's total capacity to 500 KTPA
  • First metal in concentrate achieved in September 2026
  • Concentrator plant commissioned and under stabilization
  • 400 TPH average throughput (70% of rated capacity)
  • Recovery 88%, 49% concentrate grade
  • 350+ employment opportunities during full scale operations
  • TSF Phase II Construction at 46%

Copper International:

  • VCI Rod Mill project completion rate 74%; full completion by December 2026
  • KSA Exploration Block: Preliminary work started for Jabal-Sayid Site-1 block

FACOR:

  • 330 KTPA Smelter Plant expected to be in operation in H2 FY28

Segment Financial Summary

Zinc India Financials (Q2 FY27):

  • Revenue: ₹14,525 crore (up 76% YoY)
  • EBITDA: ₹9,243 crore
  • Zinc COP without Royalty: ₹67,141/MT (-23% YoY)
  • Zinc COP without Royalty: $703/MT (-29% YoY)
  • Zinc COP with Royalty: $1,228/MT (-11% YoY)

Zinc International Financials (Q2 FY27):

  • Revenue: ₹1,730 crore (up 40% YoY)
  • EBITDA: ₹550 crore (up 47% YoY)
  • COP: $1,678/MT (up 13% YoY)

FACOR Financials (Q2 FY27):

  • Revenue: ₹320 crore (up 49% YoY)
  • EBITDA: ₹77 crore
  • Margin: $339/MT

Copper Financials (Q2 FY27):

  • Revenue: ₹9,280 crore (up 41% YoY)
  • EBITDA: ₹80 crore

Sensitivity Analysis

Foreign Currency Impact:

  • ₹1 depreciation in INR/USD rate increases yearly EBITDA by ~₹350-375 crore

Commodity Price Impact ($100/MT change):

  • Zinc: Increases yearly EBITDA by ₹975-1,000 crore
  • Lead: Increases yearly EBITDA by ₹175-200 crore
  • Copper ($1,000/MT change): Increases yearly EBITDA by ₹100-125 crore

Silver Price Impact:

  • $1/oz change increases yearly EBITDA by ₹200-225 crore

Cost of Production Impact ($25/t change):

  • Zinc India COP: Increases yearly EBITDA by ~₹225-250 crore
  • Zinc International COP: Increases yearly EBITDA by ~₹65-90 crore

Entity-wise Cash and Debt Position (₹ crore)

| Company | Debt (Sep'26) | Cash & Cash Eq | Net Debt |

| Vedanta Limited Standalone | 14,775 | 7,996 | 6,779 |

| Zinc India | 6,171 | 17,439 | (11,268) |

| Zinc International | 2,266 | 488 | 1,778 |

| THLZV | 5,004 | 14 | 4,990 |

| Fujairah | 1,237 | 292 | 945 |

| Vedanta Limited Consolidated | 30,297 | 26,622 | 3,675 |

Funding Structure

  • Term Debt: ₹27.61K crore ($2.88 bn)
  • INR Debt: 61%
  • USD/Foreign Currency Debt: 39%
  • Diversified funding sources: Bonds (41%), INR Term Loan (20%), Fx Bonds (39%)

Earnings Call Details

  • Conference call on October 28, 2026 from 4:30 PM to 5:00 PM IST
  • Universal Dial-In: +91 22 6280 1114, +91 22 7115 8015
  • India National Toll Free: 1 800 120 1221
  • Call recording available on company website on October 29, 2026