Hindustan Zinc Limited reported a consolidated net profit of ₹2,234 crore for the first quarter ended June 30, 2025, compared to ₹2,345 crore in the corresponding quarter of the previous year. The company's revenue from operations stood at ₹7,771 crore. The Board of Directors had declared an interim dividend of ₹10 per equity share on June 11, 2025, with the record date being June 17, 2025, for the financial year 2025-26.
Q1 FY26 Financial Results (in ₹ crore)| Metric | Q1 FY26 | Q1 FY25 | YoY Change | Q4 FY25 | QoQ Change |
|---|
| Revenue from Operations | 7,771 | 8,130 | -4.4% | 9,087 | -14.5% |
| Other Income | 279 | 268 | +4.1% | 227 | +22.9% |
| Total Income | 8,050 | 8,398 | -4.1% | 9,314 | -13.6% |
| Total Expenses | 5,065 | 5,284 | -4.1% | 5,532 | -8.4% |
| Profit Before Tax | 2,985 | 3,114 | -4.1% | 3,782 | -21.1% |
| Net Profit | 2,234 | 2,345 | -4.7% | 3,003 | -25.6% |
| Earnings Per Share (Basic) (₹) | 5.29 | 5.55 | -4.7% | 7.11 | -25.6% |
Financial Performance
In the first quarter of FY26, Hindustan Zinc's revenue from operations was ₹7,771 crore, which includes ₹7,591 crore from revenue and ₹180 crore from other operating revenue. This compares to ₹8,130 crore in the first quarter of FY25, which included ₹7,893 crore from revenue and ₹237 crore from other operating revenue. Other income for the quarter stood at ₹279 crore, compared to ₹268 crore in the corresponding quarter of the previous year. Total expenses for the quarter amounted to ₹5,065 crore, a decrease from ₹5,284 crore in the same quarter last year. The profit before tax and exceptional items was ₹2,985 crore, compared to ₹3,114 crore in the first quarter of the previous fiscal year. Net profit for the quarter was ₹2,234 crore, a decrease from ₹2,345 crore in the corresponding period of the previous year.
Segment-wise Performance
The Zinc, Lead, and Silver segment reported revenue from operations of ₹7,542 crore, including ₹6,116 crore from Zinc, Lead, and others, and ₹1,426 crore from Silver Metal. The Wind Energy segment contributed ₹49 crore to the total revenue from operations. The total operating income for the Zinc, Lead, and Silver segment was ₹2,967 crore, while the Wind Energy segment reported a profit before interest, exceptional items, and tax of ₹29 crore.
Additional Disclosures
Key financial ratios for the quarter ended June 30, 2025, include an operating margin of 38% and a net profit margin of 29%. The debt service coverage ratio stood at 4.27 times, and the interest service coverage ratio was 16.25 times. The debt-equity ratio was 1.19 times, and the current ratio was 1.11 times.
Other Key Highlights
The Board of Directors declared an interim dividend of ₹10 per equity share, amounting to ₹4,225 crore, with a record date of June 17, 2025. The company is sourcing 530 MW of renewable power on a Round The Clock (RTC) basis under a group captive arrangement for 25 years through a Power Delivery Agreement (PDA 3) with Serentica Renewables India Private Limited. Hindustan Zinc has infused ₹49 crore for this initiative as of June 2025.
Management Assessment of Short Seller Allegations
Subsequent to the quarter's end, a short seller published reports alleging certain matters against Vedanta Group entities, including Hindustan Zinc Limited. The management believes these allegations are baseless and that the transactions have appropriate commercial substance, complying with contractual obligations and applicable laws. Therefore, no adjustments were deemed necessary for the consolidated financial results for the quarter ended June 30, 2025.
