Vedanta Q2 FY27 results: net profit up 78.3% to ₹6,202 crore, revenue down 33.9%

How did Vedanta perform in Q2 FY27?

Vedanta’s consolidated Q2 FY27 revenue was ₹26,356 crore, down 33.9% from ₹39,868 crore in Q2 FY26 but up 8.9% from ₹24,205 crore in Q1 FY27. EBITDA was ₹9,915 crore, down 13.0% year on year and up 16.6% sequentially, while the EBITDA margin rose to 37.6% from 28.6% and 35.1%, respectively.

Profit before tax was ₹8,390 crore, up 69.6% from ₹4,948 crore in Q2 FY26 and up 16.7% from ₹7,189 crore in Q1 FY27. Net profit was ₹6,202 crore, against ₹3,479 crore and ₹7,918 crore, while basic EPS was ₹9.35, against ₹4.61 and ₹14.02. On the standalone basis, revenue was ₹8,750 crore and the company reported a net loss of ₹170 crore.

What changed in Vedanta's costs and profit?

Total expenses fell 44.8% to ₹18,476 crore from ₹33,449 crore in Q2 FY26. Cost of materials declined 28.8% to ₹9,242 crore, employee cost fell 54.1% to ₹409 crore, finance costs declined 67.0% to ₹696 crore, depreciation fell 53.3% to ₹1,339 crore and other expenses decreased 49.5% to ₹7,289 crore. Other income was lower at ₹510 crore from ₹596 crore.

There was no exceptional item in Q2 FY27, against an exceptional charge of ₹2,067 crore in Q2 FY26. Tax rose 49.0% to ₹2,188 crore from ₹1,468 crore. These figures show the changes in reported profit, while the filing excerpt did not provide a reason for the year-on-year movement in each line.

Against Q1 FY27, total expenses rose 5.2% to ₹18,476 crore. Cost of materials increased 6.6% to ₹9,242 crore, finance costs rose 5.1% to ₹696 crore, depreciation increased 12.3% to ₹1,339 crore and other expenses rose 2.0% to ₹7,289 crore; employee cost fell 1.0% to ₹409 crore and other income declined 5.9% to ₹510 crore.

How did the first half of FY27 go?

In the first half of FY27, consolidated revenue was ₹50,561 crore, down 34.9% from ₹77,692 crore in H1 FY26, while total income fell 34.9% to ₹51,613 crore from ₹79,273 crore. Profit before tax rose 41.6% to ₹15,579 crore from ₹11,001 crore.

H1 FY27 net profit was ₹14,120 crore, up 77.9% from ₹7,936 crore in H1 FY26, and basic EPS rose 83.2% to ₹23.37 from ₹12.76. The reported results include the presentation of Aluminium, Oil and Gas, Iron Ore and Power undertakings as discontinued operations, with previous-period figures re-presented or re-computed where required.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹88,445 crore, compared with ₹2,33,237 crore at 31 March 2026, while total equity was ₹26,302 crore against ₹68,577 crore. Borrowings rose to ₹30,297 crore from ₹26,995 crore, and cash increased to ₹3,719 crore from ₹1,370 crore. Inventories were ₹7,035 crore, trade receivables ₹883 crore and trade payables ₹8,185 crore.

H1 FY27 operating cash flow was ₹14,046 crore, lower than ₹16,226 crore in H1 FY26. Investing cash flow was negative ₹10,220 crore against negative ₹10,499 crore, while financing cash flow was ₹3,623 crore compared with negative ₹5,094 crore. Capital expenditure was ₹6,197 crore, against ₹10,255 crore a year earlier.

How has Vedanta done over the last 8 quarters?

Revenue declined from ₹40,455 crore in Q4 FY25 to a low of ₹23,369 crore in Q3 FY26, then recovered to ₹26,356 crore in Q2 FY27. Profit after tax moved in the opposite direction, rising from ₹4,961 crore in Q4 FY25 to ₹9,352 crore in Q4 FY26 before easing to ₹6,202 crore in the latest quarter.

The EBITDA margin increased from a low of 26.2% in Q1 FY26 to 37.6% in Q2 FY27. Revenue and profit have both risen over the latest two quarters, while profit has fallen from its Q4 FY26 peak of ₹9,352 crore. Vedanta’s profit rose year on year in each of the last four quarters.

Which businesses drove the quarter?

Zinc, lead and silver reported revenue of ₹14,525 crore and EBIT of ₹8,276 crore, with an EBIT margin of 57.0%. Zinc International reported revenue of ₹1,730 crore and EBIT of ₹231 crore, with an EBIT margin of 13.4%. Year-ago figures for these two businesses were not provided.

Copper reported revenue of ₹9,280 crore, up 40.5% from ₹6,604 crore in Q2 FY26, and EBIT of ₹64 crore against a loss of ₹25 crore. The segment’s EBIT margin was 0.7%. Others reported revenue of ₹1,254 crore, down 32.4% from ₹1,856 crore, and EBIT of ₹28 crore against a loss of ₹202 crore.

Aluminium, Iron Ore, Power and Oil & Gas showed no revenue or EBIT in Q2 FY27, compared with year-ago revenue of ₹15,671 crore, ₹1,449 crore, ₹2,195 crore and ₹2,330 crore, respectively. The filing stated that these undertakings were presented as discontinued operations after receiving NCLT approval for their demerger.

What else did the company announce?

The board approved Vedanta’s unaudited consolidated and standalone results for the quarter and half year ended 30 September 2026. The same-day investor communication stated that the company declared its first interim dividend of ₹5 per share and reported net debt of ₹3,675 crore, down ₹4,624 crore from June 2026.

The Nomination and Remuneration Committee approved a grant of 99,32,834 performance-based stock options to eligible employees, including key managerial personnel and senior management. Each option is convertible into one equity share of face value ₹1, vests after 36 months subject to performance conditions and may be exercised within eight months after vesting. The same-day filings did not report a fund raise or an appointment.

What did the auditors point out?

MSKA & Associates LLP reviewed the unaudited consolidated financial results under the applicable SEBI regulations and reported an unmodified opinion. The auditors said that nothing had come to their attention indicating that the statement had not disclosed the required information or contained a material misstatement.

The review report drew attention to ongoing investigations by regulatory authorities, including allegations made in a short seller report during the previous year. The auditors stated that details and records sought by the authorities had been provided by the group and that management had assessed the implications and positions on the financial statement; their conclusion was not modified in respect of this matter. The review was performed under SRE 2410 and provided moderate assurance.

What did Vedanta's management say?

Management’s available remarks were confined to the company’s investor communication and did not include formal earnings-call guidance. Executive Director Arun Misra said the quarter included record mined metal production of 271 kt, record first-half mined metal production for the sixth consecutive year, commissioning of Gamsberg Phase II at Zinc International, record chrome ore production at FACOR and the highest quarterly cathode production at Copper India. He said ₹1,135 crore was invested in growth projects.

Group CFO Ajay Goel said cash generation of ₹5,803 crore during the quarter enabled net debt to fall by ₹4,624 crore to ₹3,675 crore, while Net Debt/EBITDA improved from 0.3x to 0.1x. He identified Hindustan Zinc, Zinc International, FACOR, Copper and Ports as growth engines and said the company would maintain financial discipline while advancing the next phase of growth. No analyst questions or management risk commentary were supplied.

How did Vedanta shares react?

Vedanta closed the reaction day 3.2% above its pre-results close of ₹225.60, and by the next day’s close the stock was up 4.0% from that pre-results close. The Metals & Mining sector’s median move was negative 0.2% on the reaction day and positive 0.2% by the next close, making Vedanta’s excess performance 3.4 percentage points and 3.8 percentage points, respectively.

Earlier results-day moves were mixed: Vedanta fell 11.4% on 29 January 2026 and 2.5% on 31 October 2025, while it rose 4.4% on 29 April 2026 and 1.0% on 25 April 2025. No five-session move was available for the latest result.