HINDZINCNSEHindustan Zinc Limited· MetalsLowNeutral
Announced Sat, 30 May · 11:25 IST

Hindustan Zinc Limited has informed the Exchange regarding '9th Tax Transparency Report for FY 2025-26'.

HINDZINC · price

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AI summary

Hindustan Zinc has released its 9th voluntary Tax Transparency Report for FY 2025-26, prepared in alignment with GRI 207: Tax 2019, EITI, and ICMM-SeRF standards, with independent reasonable assurance from KPMG. The company contributed ₹18,846 crore to the government exchequer in FY 2025-26, representing 46% of its revenue of ₹40,844 crore. Total tax accruals included income tax of ₹4,676 crore on profit before tax of ₹18,508 crore, yielding an effective tax rate of 25.26%. Tax contributions comprised indirect taxes (₹6,637 crore), government royalties (₹5,073 crore), income taxes (₹4,552 crore), withholding taxes (₹755 crore), and other contributions (₹649 crore). The company operates solely in India with 100% domestic profits. Key operational highlights include record mined metal production of 1,114 kt, EBITDA growth of 27% YoY to ₹22,162 crore (54% margin), and zinc cost of production at a 5-year low of $959/tonne.

Likely market impact

This tax transparency disclosure reinforces Hindustan Zinc's strong governance credentials and positions it as a leader in ESG accountability. The company's cumulative ₹91,572 crore exchequer contribution over five years and industry-leading profitability metrics (77% ROE, 67% ROCE) indicate robust financial health and responsible tax practices that benefit shareholders and stakeholders alike.