Hindustan Zinc Q2 Results: Profit jumps 142%, beats estimates on record revenue

Hindustan Zinc reported a 142% year-on-year jump in Q2 profit to ₹6,412 crore, beating CNBC-TV18 poll estimates as revenue and EBITDA hit record highs. Higher metal production, lower zinc costs and silver output supported performance.

Hindustan Zinc reported a more than twofold jump in consolidated net profit for the September quarter of FY27, comfortably beating CNBC-TV18 poll estimates as higher metal production, lower costs and strong silver output boosted its financial performance.

Net profit surged 142% to ₹6,412 crore from ₹2,649 crore a year earlier. The figure was higher than the CNBC-TV18 poll estimate of ₹5,821 crore.

Revenue from operations rose 76.5% year on year to a record ₹15,093 crore, beating the poll estimate of ₹13,967 crore. Earnings before interest, tax, depreciation and amortisation (EBITDA) more than doubled to ₹9,248 crore from ₹4,445 crore, ahead of the ₹8,520 crore estimate.

The EBITDA margin expanded to 61.3% from 52% a year ago, also marginally ahead of the 61% poll estimate.

Ahead of the earnings announcement, shares of Hindustan Zinc closed at ₹538.40 on the NSE, down 0.30%.

Record metal production and lower costs support earnings

The company recorded its highest-ever second-quarter mined metal production of 271,000 tonnes, up 5% year on year. Refined metal production also reached a record for the quarter at 264,000 tonnes, marking a 7% increase.

Silver production rose 20% year on year to 173 tonnes, contributing significantly to profitability. The cost of zinc production, excluding royalty, fell 29% year on year to $703 per tonne, providing additional support to margins.

Hindustan Zinc also generated free cash flow of ₹6,389 crore before growth capital expenditure during the quarter.

For the first half of FY27, mined metal production rose 3% year on year to 539,000 tonnes, while refined metal production increased 6% to 524,000 tonnes. Silver production climbed 10% to 321 tonnes, contributing around 45% of the company's overall profitability.

Revenue for the first half reached a record ₹28,840 crore, up 77% year on year. EBITDA rose 108% to a record ₹17,359 crore, with a margin of 60%, while net profit increased 143% to ₹11,881 crore.

CEO, CFO flag operational strength and financial discipline

Amarendu Prakash, Chief Executive Officer of Hindustan Zinc, said: "I am honored to lead Hindustan Zinc at this pivotal stage. Our record quarterly mined metal production of 271 KT and refined metal production of 264 KT demonstrates the strength of our operations, assets and people. We remain focused on disciplined growth, AI-led innovation, and advancing our critical minerals portfolio to support India's energy transition while delivering long-term stakeholder value."

Amit Gupta, Chief Financial Officer, said: "Hindustan Zinc delivered the highest-ever quarterly financial performance, with EBITDA of ₹9,285 crore and net profit of ₹6,412 crore. Our industry-leading EBITDA margin of 62%, strong cash generation, and robust balance sheet underscore our focus on financial discipline and productivity. We remain committed to investing in growth, maintaining financial resilience, and creating long-term shareholder value."

The company said its contribution to the national exchequer during the first half of FY27 stood at ₹13,027 crore, including ₹3,724 crore contributed to Rajasthan through taxes, duties and mining royalties.