Vedanta Q3 results: Net profit rises 60% to Rs 7,807 crore, revenue up 19%

Vedanta share price

• Vedanta's net profit jumped 60% to Rs 5,710 crore on strong base metal prices
• Q3 EBITDA hit a record Rs 15,171 crore, up 34% YoY with margin expansion
• Vedanta shares rose 4% after results; demerger into five entities approved

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Metals-to-oil conglomerate Vedanta Ltd on January 29 reported 60% jump in net profit at Rs 7,807 crore on strong base metal prices. Its net profit was Rs 4,876 crore in the year-ago period.

The firm's revenue increased 19% to Rs 45,899 crore in Q3FY26 as against Rs 16,742 crore in Q3FY25, driven by "higher LME, volumes, premium, and forex gain". Vedanta's revenue was Rs 38,526 crore in Q3FY25.

"Achieved record-best quarter EBITDA of Rs 15,171 crore, up 34% YoY supported by margin expansion by 629 bps to 41%," said the firm.

On January 29, Vedanta shares closed 4% higher at Rs 767.55 apiece. Results were announced in the post-market hours.

Arun Misra, Executive Director, Vedanta, said, “Q3 FY26 has been a landmark quarter for Vedanta, delivering our highest-ever EBITDA of Rs 15,171 crore, with two of our businesses achieving their best-ever financial results. Aluminium posted its strongest EBITDA margin of $1,268 per ton, supported by record alumina and aluminium production. Zinc India recorded its highest-ever quarterly EBITDA of Rs 6,064 crore, driven by record mined and refined metal output, with silver contributing 44% of overall profit. Zinc International also reported a 28% YoY increase in production, led by Gamsberg achieving its highest-ever recovery. Our Oil & Gas business reached a major milestone with India’s first subsea template installation, while our Thermal Power Business delivered 188% YoY EBITDA growth with a 62% increase in sales volumes. Steel and Ferrochrome Business also achieved record production of steel billets at 285 kt, and ferrochrome output up 32% YoY. Alongside the landmark approval for the demerger into five pure-play entities, these results demonstrate our strong operational momentum and readiness to unlock long-term value as we advance Vedanta’s 2.0 journey."

Net debt stands at Rs 60,624 crore, implying Net debt/ EBITDA ratio of 1.23x in 3QFY26, improved significantly from 1.40x in 3QFY25, said the company.

Ajay Goel, Chief Financial Officer, Vedanta, said “This has been a remarkable quarter for Vedanta. We delivered our highest-ever quarterly PAT of Rs 7,807 crore, marking a strong 60% YoY growth. Our Q3 revenue stood at a record Rs 45,899 crore, up 19% YoY, while EBITDA reached an all-time high of Rs 15,171 crore, growing 34% YoY. EBITDA margins expanded sharply by 629 bps YoY to 41%. Our balance sheet continues to strengthen, with Net Debt to EBITDA improving to 1.23x from 1.40x YoY. The reaffirmation of our AA credit rating by CRISIL and ICRA following the NCLT demerger order, along with upgrades in VRL credit rating outlook from Stable to Positive by S&P, Moody’s & Fitch Ratings, underscore the market confidence in Vedanta’s growth trajectory. We are now entering an exciting phase of growth and value unlocking, creating long-term value for all our stakeholders.”

Aluminium prices were supported as Chinese producers faced higher costs amid winter power curtailments and tighter environmental rules across the supply chain, analysts at Elara Capital said in a research note.

Lower inventories and production disruptions in major producer China are expected to keep aluminium prices firm in the near term, the brokerage added.

The benchmark three-month aluminium, zinc, and copper on the London Metal Exchange rose 11.8%, 5.3%, and 21% on-year, respectively, in the reporting quarter.

Higher commodity prices tend to support selling prices and margins for mining companies.

Vedanta's operating profit margin rose to 27% from 22%.

Revenue from Vedanta's aluminium segment rose 10.2%, while its combined zinc and lead India segment rose 16%. The copper segment improved by 48.9%.

Vedanta's aluminium business is the biggest in India by production volume, and contributes to nearly 40% of the company's revenue.

Earlier this month, Vedanta's subsidiary Hindustan Zinc posted a higher third-quarter profit on strong silver and zinc prices.

Vedanta Ltd is the world's leading producer of metals, oil & gas, critical minerals, power and technology.