VEDL Q2 FY26 earnings call.
A source-linked concall view: reported numbers, management language, guidance, commitments and risks that should carry forward.
ConCallIQ research layer
Signal, with the source still visible.
Use the controls below to narrow the view, then follow the evidence into the next layer of context.
Revenue
₹18,747 Cr
verified against source
Revenue YoY
6%
reported change
EBITDA
₹11,612 Cr
latest reported figure
Source
screener in
record provenance
Actual signal trajectory
Where this quarter sits.
Quarter read
What the record says.
Vedanta delivered its strongest Q2 and H1 on record, with Q2 revenue of INR 39,218 crores (+6% YoY) and EBITDA of INR 11,612 crores (+12% YoY) at a 34% margin, expanding 70bps. PAT before exceptional items grew 13% YoY to INR 5,027 crores. Record productions were achieved in aluminum (617kt), alumina (643kt), mined metal at Hindustan Zinc (248kt), and pig iron (238kt). Silver contributed 40% of total zinc segment earnings. The company commissioned BALCO's 435ktpa smelter and Lanjigarh Train 2, while Gamsberg Phase Two is 80% complete. Alumina cost declined $50/ton in Q2 with further $50/ton reductions expected in Q3 and Q4. The de-merger awaits NCLT final hearing on November 12, targeting all five entities listed by FY26-end. Management guides for FY26 EBITDA exceeding $6 billion, surpassing the previous record from FY22. Key risks include commodity price volatility, natural field declines in oil & gas (89k boe/day), alumina cost pressures, and pending COC decision on the Jaiprakash Associates acquisition.
Colored figures show movement against the previous available record.
Guidance to track
- Company guides for record annual EBITDA surpassing previous FY22 high, powered by capacity expansion, production growth across aluminum, power, zinc international, iron and steel, and recovering commodity prices.
- Current Q2 cost of $1,826/ton expected to decline to sub-$1,650/ton in H2 FY26, driven by $50/ton alumina cost reduction each in Q3 and Q4, lower power costs, and operating efficiencies.
- H1 power costs at $529/ton (lowest post-COVID) expected to reduce below $500/ton in H2 due to planned maintenance shutdowns completed in Q2.
- H1 investment of $0.9 billion in growth CapEx. Over next three years, cumulative capex guidance of $4.5-5 billion. BALCO smelter and Lanjigarh Train 2 commissioned; Gamsberg Phase Two 80% complete.
Risks flagged
- COC is evaluating the resolution plan; management declined to quantify contingent liabilities on various JAL assets or provide detailed roadmap for non-power segments. Deal rationale questioned by analysts given contingent liabilities.
- Analyst pressed on whether $400-450 million annual brand fee to London with no dedicated staff there creates transfer pricing issues. Management cited international benchmarking and legal vetting but did not directly address ED concerns.
- Kurloi pushed from Q3 to Q4 FY26; Ghogharpalli moved from Q2 to Q2/Q3 FY27. Sijimali remains on track for FY26-end but requires FC1 approval from MOEFCC.
- While KCM is ramping to 8,500-9,000 tons/month production, the $1 billion over five years funding requires completion of KDMP feasibility study first. No specific timeline for fundraising provided.
Key quotes
- I am confident that FY 26 will mark Vedanta's strongest year ever, surpassing our previous record EBITDA of $6 billion in FY 22.
- The entire brand fee agreement has been internationally benchmarked. There are multiple studies done by one of the best Big Four firms. The brand fee rate which has been charged over the last few years, in fact, is lower than the median rate recommended by the Big Four firms.
- We intend to repay it as scheduled. We are not looking at any further rollover. [On ICL of $417 million]
Research modules