Metals & Mining · NSE: NATIONALUM
National Aluminium Company
Q2 FY27 earnings call · Guided by management
Call held 3 Nov 2026 · Read the filing on NSEFiling
- M.Cap
- ₹61,178Cr
- P/E
- 8.5×
- 1Y return
- +24.78%
- From 52W high
- −25.2%
Highlights are read by AI from the company's filing and can contain mistakes. Check the source page linked to each line.
Share price
Results Q2 FY27, as filed · consolidated · ₹ Cr
| Q2 FY27 | Q2 FY26 | YoY | Q1 FY27 | QoQ | |
|---|---|---|---|---|---|
| Revenue | 5,419 | 4,292 | +26.3% | 5,302 | +2.2% |
| EBITDA | 2,411 | 1,926 | +25.2% | 2,708 | -11.0% |
| EBITDA margin | 44.5% | 44.9% | -39 bps | 51.1% | -658 bps |
| PBTProfit before tax | 2,471 | 1,895 | +30.4% | 2,689 | -8.1% |
| Net profit | 1,835 | 1,430 | +28.3% | 2,003 | -8.4% |
| EPS (₹) | 9.99 | 7.79 | +28.2% | 10.91 | -8.4% |
From the company's own results filing on NSE. Net profit is the owners' share. Growth and the dotted lines are worked out from the filed figures. In Q2 FY27 the filing tags the owners' profit as ₹0 Cr against its own period profit; the period profit less minority interest is shown.
Guidance
Margins expected to be stable in the second half
Brijendra Pratap Singh · Chairman · Q&A · p. 8
Margins expected to be stable in the second half
“In the second half of this fiscal, we expect that our margin would be stable”
Same margin level expected for next 3-4 years until new smelter commissioned
Abhay Kumar Behuria · Director (Finance) · p. 22
Same margin level expected for next 3-4 years until new smelter commissioned
“will be maintaining the same margin level in the next 3, 4 years, and till our new smelter is commissioned.”
More figures from the call
“If you see the relation, if you see the H1 realization, average realization was INR33,200, and we are expecting that in our H2, average realization will be around INR35,000.”
“we are going to get 300to 350 extra in the next half of this year.”
“We are targeting to reduce caustic soda consumption by 7 kg at least in the next six months.”
“You see, now with the present family of four streams, we are going at the rate of 2.3 and 0.2. We are planning from 5th Stream.”
“That actually will be taken, and that will be reduced to 6 kg to 7 kg in caustic soda process.”
“Rather, we'll be reducing cost by INR500 or INR400. That is your target.”
In short
- 01H1 FY27 revenue was Rs 11,143 crore, EBITDA Rs 5,539 crore and PAT Rs 3,837 crore, all record highs.
- 025th Stream refinery production is planned from the last week of December or early January; about 0.75-0.8 million tonnes expected next year.
- 03Brownfield smelter (about Rs 17,000-18,000 crore) targets mechanical completion by December 2030; smelter plus power plant cost about Rs 25,000 crore.
- 04FY27 capex plan is about Rs 1,800 crore, with Rs 800 crore spent in H1; year-end cash expected at Rs 12,000 crore.
- 05H2 alumina realisation expected around Rs 35,000 per tonne versus Rs 33,200 in H1; export prices seen at $370-380.
- 06Management expects H2 margins to be stable and costs not to rise above H1 levels.
- 07Alumina exports fell to one vessel in October due to Strait of Hormuz restrictions; six vessels planned for November.
- 08Pottangi mine start is held up by tree-felling and land issues, which management hopes to solve in 2-3 months.
Capex
Smelter expansion: Brownfield smelter investment around Rs 17,000-18,000 crore
Brijendra Pratap Singh · Chairman · p. 5
Smelter expansion: Brownfield smelter investment around Rs 17,000-18,000 crore
“There will be around INR17,000 crores or INR18,000 crores of investment.”
Smelter expansion: Main smelter capex to start from FY28-29; Rs 200-300 crore earlier for technology licence
Brijendra Pratap Singh · Chairman · p. 5
Smelter expansion: Main smelter capex to start from FY28-29; Rs 200-300 crore earlier for technology licence
“will start coming from the financial year '28-'29 when the actual groundwork. Some ordering of technology license, which we have signed, some capex very less around INR200 crores, INR300 crores will come.”
Smelter expansion and power plant: Smelter and power plant capex of Rs 5,000-6,000 crore, later Rs 7,000-8,000 crore
Brijendra Pratap Singh · Chairman · p. 6
Smelter expansion and power plant: Smelter and power plant capex of Rs 5,000-6,000 crore, later Rs 7,000-8,000 crore
“So around in the year '27, '28, '29 around, I think INR5,000 crores, INR6,000 crores or maybe after that the INR7,000 crores INR8,000 crores will come in '28-'29,”
Alumina refinery: Red mud filtration unit to cost around Rs 400-500 crore
Brijendra Pratap Singh · Chairman · p. 18
Alumina refinery: Red mud filtration unit to cost around Rs 400-500 crore
“We are going for a red mud filtration unit, for which around we are spending around INR400 crores to INR500 crores.”
Pottangi mines: Long-distance conveyor investment only Rs 1,000 crore
Abhay Kumar Behuria · Director (Finance) · p. 19
Pottangi mines: Long-distance conveyor investment only Rs 1,000 crore
“with the long-distance conveyor, that -- for that, we are investing only INR1,000 crores.”
Capacity
Alumina refinery: 5th Stream refinery to take three to five months to reach 100% of rated capacity
3–5monthsBrijendra Pratap Singh · Chairman · Q&A · p. 4
Alumina refinery: 5th Stream refinery to take three to five months to reach 100% of rated capacity
3–5months“four months or maybe five months -- three, four, five months to reach to the 100% of the rated”
Segments
Alumina exports: Six vessels planned in November; about four vessels a month expected after
6vesselsBrijendra Pratap Singh · Chairman · p. 12
Alumina exports: Six vessels planned in November; about four vessels a month expected after
6vessels“we are planning around six vessels dispatch in this month. So, it is getting normalized, and what we are hoping is in the coming days and times, we'll be dispatching around four vessels every month.”
Alumina: Alumina prices expected around $370 to $380 on average
Brijendra Pratap Singh · Chairman · p. 12
Alumina: Alumina prices expected around $370 to $380 on average
“The prices will be somewhere around $370 to $380 average what we are expecting depending on the demand supply situation.”
Alumina: EOI floated for 2-3 year alumina supply tie-ups with Middle East smelters
Brijendra Pratap Singh · Chairman · p. 12
Alumina: EOI floated for 2-3 year alumina supply tie-ups with Middle East smelters
“we have already earlier floated one EOI for a long-term tie up with the smelters in the Middle East and other places, maybe 2 years or 3 years tie up”
Alumina: About 2 million tonnes excess alumina until smelter ramp-up in 2031 or 2032
Brijendra Pratap Singh · Chairman · p. 12
Alumina: About 2 million tonnes excess alumina until smelter ramp-up in 2031 or 2032
“Year '31 or '32, the final total ramp up will be there. So till then, we'll be having an excess of around 2 million tonnes of alumina with us.”
Alumina: Bulk domestic alumina sales being explored with import-parity pricing finalised
Abhay Kumar Behuria · Director (Finance) · p. 12
Alumina: Bulk domestic alumina sales being explored with import-parity pricing finalised
“we are also exploring the selling alumina in the domestic market also in the bulk quantity that we have already finalized a pricing mechanism, and that will be in import quality basis.”
Demand
Alumina: Alumina prices rose on refinery issues in China, at Rusal and in Australia
Brijendra Pratap Singh · Chairman · p. 7
Alumina: Alumina prices rose on refinery issues in China, at Rusal and in Australia
“So, there is an increase in alumina spot prices realization because some of the refineries issues in China, in Rusal, in Australia also, which has led to increase on these prices of alumina.”
Alumina: Alumina price seen at 370-400 as Middle East smelters start
Brijendra Pratap Singh · Chairman · p. 7
Alumina: Alumina price seen at 370-400 as Middle East smelters start
“We will be getting somewhere around 370 to 400 because some of the smelters are starting in Middle East.”
Alumina: Projections showed about 1.6 million tonnes of excess global alumina in FY27
Brijendra Pratap Singh · Chairman · p. 7
Alumina: Projections showed about 1.6 million tonnes of excess global alumina in FY27
“the projections were that in the year '26-'27 financial year, around 1.6 million ton of excess alumina will be there in the global market.”
Alumina: Alumina seen at 12.5-13% of LME aluminium, not 15-16%
Abhay Kumar Behuria · Director (Finance) · Q&A · p. 19
Alumina: Alumina seen at 12.5-13% of LME aluminium, not 15-16%
“It will not go to 15% or 16%, but it will be certainly at the level of 13% or 12.5%.”
Alumina: Indonesia smelters of 0.5-0.6 million tonnes to be commissioned in next one to two years
Abhay Kumar Behuria · Director (Finance) · p. 22
Alumina: Indonesia smelters of 0.5-0.6 million tonnes to be commissioned in next one to two years
“The smelters around 0.5 million ton to I think, 0.6 million ton of capacity smelters are going to be commissioned in maybe next year or next to next year.”
Margins and costs
Power plant: Coal from Neyveli JV to come at their production cost with no premium
Brijendra Pratap Singh · Chairman · p. 5
Power plant: Coal from Neyveli JV to come at their production cost with no premium
“So, we'll be sourcing coal from there, and the coal which we'll be getting will be at their production cost and no premium they will be charging from us.”
Cost rise driven by caustic soda, CP coke and fuel oil
Brijendra Pratap Singh · Chairman · p. 6
Cost rise driven by caustic soda, CP coke and fuel oil
“Increase has been in caustic soda, in CP coke, and in fuel oil. These are three areas, which the cost has increased”
Caustic soda at Rs 46,900 in H1; Q3 price seen around Rs 49,000
Brijendra Pratap Singh · Chairman · p. 6
Caustic soda at Rs 46,900 in H1; Q3 price seen around Rs 49,000
“In H1 this year, the price went up to INR46,900, around INR4,700, INR4,800 increase. And Q3, the prices will be around INR49,000.”
CP coke rose from Rs 44,600 to Rs 63,700 in H1; Q3 projected at Rs 70,600
Brijendra Pratap Singh · Chairman · p. 6
CP coke rose from Rs 44,600 to Rs 63,700 in H1; Q3 projected at Rs 70,600
“CP coke, you see in '25-'26, it was average CP coke was INR44,600. H1 this year, it went to INR63,700, and Q3 the projection is INR70,600.”
No major input cost increase expected in H2
Abhay Kumar Behuria · Director (Finance) · p. 6
No major input cost increase expected in H2
“So, in the next H2, there is no major increase in the input cost. Rather, we'll be controlling our cost by improving our economic efficiency.”
Debt and working capital
Cash balance expected at Rs 12,000 crore at end of fiscal
Management · Q&A · p. 14
Cash balance expected at Rs 12,000 crore at end of fiscal
“Yes. We are expecting a cash balance at the end of this fiscal INR12,000 crores.”
Fund base rose from 8,500 to around 12,000, lifting interest income
Abhay Kumar Behuria · Director (Finance) · p. 10
Fund base rose from 8,500 to around 12,000, lifting interest income
“In our fund base, it was 8,500 people, that's around 12,000. And from that the interest earning has increased.”
Acquisitions and new business
Power plant: 50:50 power plant JV with Neyveli Lignite Corporation approved by DIPAM
Brijendra Pratap Singh · Chairman · p. 5
Power plant: 50:50 power plant JV with Neyveli Lignite Corporation approved by DIPAM
“we are making a JV company with Neyveli Lignite Corporation. Neyveli Lignite Corporation, 50% -- 50% JV company is already approved by DIPAM and all that.”
Dividends and buybacks
Aluminium: No commodity hedging under company policy
Abhay Kumar Behuria · Director (Finance) · p. 9
Aluminium: No commodity hedging under company policy
“Actually, as per NALCO policy, we have not gone for any hedging of our commodity.”
One-offs
Additional royalty taken in H1 on Odisha government claim will not repeat in H2
Brijendra Pratap Singh · Chairman · p. 8
Additional royalty taken in H1 on Odisha government claim will not repeat in H2
“we have taken an additional impact of royalty, because the area which the government of Odisha has claimed that we have margin in the first half of the year, which will not be repeated in the second half.”
Risks
Pottangi mines: Pottangi mine start held up by tree clearing for access road, facing local resistance
Brijendra Pratap Singh · Chairman · p. 4
Pottangi mines: Pottangi mine start held up by tree clearing for access road, facing local resistance
“But our one of the main constraints which we are facing is starting the mines is the clearing of the trees for the road making going from NH to mines.”
Alumina: Shipping blockages raised insurance and freight charges, lowering spot buyer bids
Brijendra Pratap Singh · Chairman · p. 8
Alumina: Shipping blockages raised insurance and freight charges, lowering spot buyer bids
“So, due to which the insurance charges have increased, the shipment charges have increased.”
Pottangi mines: Public hearing for Pottangi conveyor land was deferred
Brijendra Pratap Singh · Chairman · p. 10
Pottangi mines: Public hearing for Pottangi conveyor land was deferred
“For that, public getting is scheduled, and it was scheduled in 27th of this month. Again, due to some issues, it is deferred.”
Alumina exports: Only one alumina vessel dispatched in October
Brijendra Pratap Singh · Chairman · p. 12
Alumina exports: Only one alumina vessel dispatched in October
“We could only dispatch one vessel in October.”
Railway restrictions on rake supply cut coal deliveries to the refinery
Management · p. 13
Railway restrictions on rake supply cut coal deliveries to the refinery
“There is a restriction from railways for the supply of rigs to the integrated power plants.”
Other
H1 revenue Rs 11,143 crore, EBITDA Rs 5,539 crore, PBT Rs 5,160 crore, PAT Rs 3,837 crore, all record highs
Bharat Kumar Sahu · Company Secretary · p. 3
H1 revenue Rs 11,143 crore, EBITDA Rs 5,539 crore, PBT Rs 5,160 crore, PAT Rs 3,837 crore, all record highs
“In fact, the H1 revenue was all time high of INR11,143 crores, all time high of EBITDA of INR5,539 crores, highest ever PBT of INR5,160 crores, highest ever PAT of INR3,837 crores.”
Q2 net profit Rs 1,835 (crore), up 28% year on year
Bharat Kumar Sahu · Company Secretary · p. 3
Q2 net profit Rs 1,835 (crore), up 28% year on year
“The Q2 net profit, of Rs.1,835 up by 28% year-on-year basis.”
Captive coal: Environmental clearance for 4.8 million tonnes coal expected within two or three months
Brijendra Pratap Singh · Chairman · p. 4
Captive coal: Environmental clearance for 4.8 million tonnes coal expected within two or three months
“Environmental clearance for 4.8 million is under process, and I think within two or three months,”
Pottangi mines: Pottangi land and tree-felling issues expected to be solved in 2-3 months
Brijendra Pratap Singh · Chairman · p. 10
Pottangi mines: Pottangi land and tree-felling issues expected to be solved in 2-3 months
“We are expecting that this -- all the issues we will be able to solve in the next 2 months to 3 months.”
Hedging to be reviewed after 5th Stream refinery is commissioned
Abhay Kumar Behuria · Director (Finance) · p. 9
Hedging to be reviewed after 5th Stream refinery is commissioned
“After commissioning of our 5th Stream refinery, we'll see that how we should go for any hedging or not.”
Sources
- Earnings call transcript, Q2 FY27 Filed 9 Nov 2026 · 22 pages
Management's own statements, quoted from its NSE filings. This page was read by AI and can contain mistakes: check the source pages before relying on any figure. No forecast or opinion of ours. Not investment advice.