NATIONALUMNSEApril 30, 2026

National Aluminium Company Limited

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182turns

19analyst exchanges

2executives

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Management on call

Tapas Kumar Pattanayak

Director (HR)

Shweta Dikshit

Systematix Group

Key numbers — 40 extracted

rs,

On behalf of NALCO Collective and especially from NALCO Board, let me welcome all esteemed investors, analysts, fund houses to this earning call hosted by Systematix Group. Today is a historic day fo

eas, the growth is there compared to the actual production of '24- '25. Bauxite production around 6% growth, hydrate and calcined alumina production around 11.5% growth, cast metal production around

11.5%

of '24- '25. Bauxite production around 6% growth, hydrate and calcined alumina production around 11.5% growth, cast metal production around 2.61% growth, coal production from our Utkal coal block aroun

2.61%

growth, hydrate and calcined alumina production around 11.5% growth, cast metal production around 2.61% growth, coal production from our Utkal coal block around 41.84% growth. Power generation from our

41.84%

rowth, cast metal production around 2.61% growth, coal production from our Utkal coal block around 41.84% growth. Power generation from our power units, 4.7% growth, wind power around 9.25% growth. Along

4.7%

production from our Utkal coal block around 41.84% growth. Power generation from our power units, 4.7% growth, wind power around 9.25% growth. Along with that, our sales performance also have been robu

9.25%

block around 41.84% growth. Power generation from our power units, 4.7% growth, wind power around 9.25% growth. Along with that, our sales performance also have been robust. We have done best ever sale

30.74%

ver sales both in terms of alumina and metal, aluminium metal. Alumina sales has grown by around 30.74% and metal sales, that is aluminium sales has grown by around 2.8%. So, all the physical performanc

2.8%

mina sales has grown by around 30.74% and metal sales, that is aluminium sales has grown by around 2.8%. So, all the physical performances in all areas and sales performance has been ever best. Backed b

Rs.16,788 crore

r in '24-'25, and we have surpassed those figures. Revenue from operation in the year '24-'25 was Rs.16,788 crores, which has gone up to around Rs.17,843 crores, a growth of around 6.28%. EBITDA has grown from R

Rs.17,843 crore

es. Revenue from operation in the year '24-'25 was Rs.16,788 crores, which has gone up to around Rs.17,843 crores, a growth of around 6.28%. EBITDA has grown from Rs.7,922 crores to Rs.8,613 crores, around 8.72%

6.28%

ear '24-'25 was Rs.16,788 crores, which has gone up to around Rs.17,843 crores, a growth of around 6.28%. EBITDA has grown from Rs.7,922 crores to Rs.8,613 crores, around 8.72% growth. Profit before tax

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Guidance — 20 items

Aditya Welekar

“So just wanted to understand on alumina front, if you can throw any guidance on FY '27 production and sales volume, both on alumina and aluminium?”

Brijendra Pratap Singh

“FY '27, if you see, our target is our 5th stream refinery is coming.”

Aditya Welekar

“Is there any impact on the sales volume next year?”

Aditya Welekar

“So once this smelters of the Middle East, the production curtailment is there till they reach to the fullest capacity, there will be effect on the alumina pricing in the spot prices.”

Brijendra Pratap Singh

“Yes, some delays will be there because we were expecting that by June.”

Brijendra Pratap Singh

“We will be completing the total production commissioning process.”

Brijendra Pratap Singh

“Our target is by this year, may be September, October, August, September, we will be able to complete the DPR, get the Board approval and start the tendering process for procurement, which will take six to seven months, means next month, next year, April, May, we can complete the ordering and start the actual groundwork and it will take around three and half years from there.”

Brijendra Pratap Singh

“Our target is by December 2030 or maybe early 2031 to complete the overall commissioning.”

Management

“Brijendra Pratap Singh: Capex will be around Rs.4,000 crores.”

Management

“'27-'28 somewhere around Rs.4,000 crores and similar kind of capex it will further increase because our total investment will be around both if you see power plant and this will be around somewhere around Rs.30,000.”

Risks & concerns — 9 flagged

So, this year, this financial year, there will be an excess of alumina in the market and the pressure on the pricing will be there.

— Brijendra Pratap Singh

It is 12% decline from Rs.7,600 crores to Rs.6,694 crores.

— Naresh Naiker

So it has given us a additional favourable impact of around Rs.1,714 crores.

— Naresh Naiker

So net adverse impact of alumina is around Rs.784 crores only in spite of Rs.2,660 crores of adverse impact due to pricing.

— Naresh Naiker

It's very difficult to predict if the war ends and because now the route is also closed, whatever route is there, whatever alumina was going, it going through the Strait of Hormuz.

— Brijendra Pratap Singh

The prices has gone down from Rs.595 average in '24- '25 to Rs.376 average in '25-'26, which has resulted into negative impact of around Rs.2,659 crores.

— Saket Kapoor

So that will be having another financial impact of maybe around Rs.1,000 crores or Rs.1,200 crores.

— Saket Kapoor

It's very difficult to predict, but what we are thinking is somewhere around Rs.3,000 to Rs.3,100.

— Saket Kapoor

Brijendra Pratap Singh: You see GNAL JV in the last financial year, that is [Inaudible] '24-'25, it has given a negative impact of around how much?

— Saket Kapoor

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Q&A — 19 exchanges

Congrats for the great set of numbers. So just wanted to understand on alumina front, if you can throw any guidance on FY '27 production and sales volume, both on alumina and aluminium?

Brijendra Pratap Singh

FY '27, if you see, our target is our 5th stream refinery is coming. So we are planning to add because commissioning will start in June and maybe take three, four months to reach to the production level. So, this year, optimistic planning we have done of 2 lakh tons. So around 25 lakh tons of alumina production and sales we are planning. That is around 2 lakhs more than the previous year. And it will further increase as far as the commissioning process goes. As far as the metal production is concerned, metal production again, we have targeted more than this year, slightly more because we have

First of all, congratulations for the strong year that you've had. Sir, one question follow-up from the previous participant. Could you give me the average alumina realization price for the quarter? And how is it shaping up in Q1? Brijendra Pratap Singh: Quarter means which quarter you are asking?

Manav Gogia

For Q4, what was the average alumina realizations? And how is… [Inaudible] Brijendra Pratap Singh: Q4 '25-'26 average realization was somewhere around 3,000/tons. Alumina, you are talking or aluminium? Alumina? Brijendra Pratap Singh: Alumina, it is $348. $348 was there in Q4. Okay. And how is Q1 looking? Q1, it was $460. Q1 this year? Brijendra Pratap Singh: Q1 it is go down, it'll further go down. It is around 320 average we are getting now. Okay. Sir, just one question. Are we….[Inaudible] because aluminium prices are quite strong, are we doing any.. [Inaudible] putting any hedges in place

First of all, can you give us the alumina and aluminium cost of production in the fourth quarter? And what would it be today in 1Q given the cost inflation that we are seeing?

Abhay Kumar Behuria

If you see the cost of production of our alumina and aluminium, alumina, our cost varies from Rs.20,000 to Rs.22,000 in between, okay? And if you are talking about aluminium, it is Rs.155 to Rs.100 [Inaudible] Rs.155,000 to Rs.160,000, that is the rate. But the first quarter, the cost will not increase much, though there is some increase in the input cost. But since our employees costs are getting down because of the high paid employees are getting retired and we are recruiting new one. So whatever extra cost we are incurring in the input cost, that will be set up by our fixed cost. Reduction

Just a question, you mentioned about the employee cost coming down. But in this particular quarter, we've seen almost a 13% increase Y-o-Y and a 26% sequential increase compared to third quarter. So, is there any one-off or any gratuity provisions that were there in this quarter? Brijendra Pratap Singh: You're telling quarter-to-quarter.

Pallav Agarwal

Yes, employee costs. Employee cost overall year-to-year, it has gone down, 18% to 15%. Year-to- year, if you see it has gone down. Last financial year, it has gone down by around Rs.65 crores employee cost because we have retirement of around 351 people, and we have inducted around 358. But whatever retirement was in the higher scale, and the induction is in the lower pay scale. Some of the provision is being made at the end of the year, actual variation, everything. And if you see the overall '24-'25 and '25-'26, there is a reduction of 2%. '24-'25 our employees cost composition of total expe

Sir, what percentage of this coal and caustic soda we are able to produce? Brijendra Pratap Singh: What percentage of coal… overall coal requirement is around 7.2 million ton. Out of that, last year, we have produced our own, Utkal mines has produced around 4 million ton. This year, we are targeting 4.8 million ton. That is our in-house coal production. Out of 7.2 million, 4.8 million this year we will be producing. And as far as caustic soda is concerned, around 50% our total requirement is produced in our JV that is in GNAL.

N. Modi

And balance we are procuring from outside? Brijendra Pratap Singh: Rest caustic soda, we are procuring from outside and coal maybe around 2.7, 2.5 million to 2.7 million tons we source from MCL through our linkage route [Inaudible] fuel supply agreement route. One more thing, sir. This price of caustic soda has gone up during the last two, three months? Brijendra Pratap Singh: Yes. The cost of caustic soda has gone up. It has gone up by how much? Caustic soda if you see last year average, it was [Inaudible] beginning of the year, it was around Rs.38,000. And '25-'26 average cost is around Rs.4

Sir, my first question pertains to your previous remarks that you said coal would be 4.8 million tons from the captive sources next year. So have we received the EC clearance because as far as we are concerned, I think we had.

Brijendra Pratap Singh

That is almost under process, and we are very much sure that in the next coming three, four months, we'll get it. Sir, second question pertains to other rare earth lithium projects which we are about to take off. So anything happened in KABIL or any other segment, any talk is there? If you could give us some idea. Brijendra Pratap Singh: We are not getting you. You are not clearly audible. Just if you can repeat your question. So regarding there was a lot of news of us about exploring the rare earth and critical mineral assets as well. Apart from the KABIL Argentina mine, have we scouted or ze

In '25-'26 our linkage coal cost is around Rs.1800 and our captive Utkal is Rs.1500. Brijendra Pratap Singh: Rs.300 difference that is captive and linkage.

Abhay Kumar Behuria

E-Auction coal is slightly higher Rs.2100. It will be around 600 difference in E-Auction very less quantity we are taking. Around only 10% to 15% of the total requirement. Sumangal Nevatia: Sir, second on the employee cost, can you guide us for next one or two years, what is our expectation? What is the employee count currently? And what is the retirement expectation over the next few years? Brijendra Pratap Singh: Yearly retirement is around 250 numbers will be retiring next four, five years. Our recruitment this year, we'll be doing around maybe 200, 250 recruitment this year. Next year, we

I have questions on chemical segment. If you see the revenue was see fall. It is 12% decline from Rs.7,600 crores to Rs.6,694 crores. So I want to know what are the main primary factors this happen and when the situation will normalize. And going further, how do you see the volume and realization on this segment? Brijendra Pratap Singh: You are talking about reduction in the revenue from chemical sector?

Naresh Naiker

Yes, revenue and margin both. Brijendra Pratap Singh: Chemical sector, you see our prices has gone down by around $219 compared to last financial year, which has resulted into less revenue of around Rs.2,659 crores. That is the amount of loss we have suffered due to reduction in the spot prices. But we have compensated it by increasing the volume. We have sold around 3.4 lakh tons of excess of alumina by increasing our volume production, which I have told earlier also that we are targeting to increase the volumes. We have increased the volume of around -- production by around 2.5 lakh to 3 lak

Congratulations on very good set of numbers, sir. Sir, what would be your view on the alumina prices going forward, looking at the amount of surplus that is available due to shutdown of some of the smelter in Middle East, etcetera? Do you think that it's now at the bottom? Or do you see still scope of the prices going down? That's number one. And also similar outlook on the prices of aluminium? Brijendra Pratap Singh: As far as alumina prices are concerned, it is almost on the bottom. We are -- whatever spot tenders we are doing, we are getting the price of around $310 to $320. In few tenders,

Akshay Ajmera

All right, sir. And as you have mentioned that our prices are linked to LME and we do not do more frequent revision in our prices. So can we see -- can we assume that it is basically some sort of a long-term arrangement? It is not a long-term arrangement because LME keeps on changing. And every three days, we keep on changing our price as per the variation of the LME is there. And the premium, we do the export tenders. Every six months, we do the export tenders. In between also sometimes we do. And depending on whatever the premium we are getting on the export tender, we fix up the premium. So

I'd like to know in the beginning, you mentioned that your additional capacity in alumina would be 2 lakh tons. That was your optimistic approach, right? What would be a conservative approach?

Brijendra Pratap Singh

I think I don't know. It's very difficult to tell. It depends on the commissioning process, optimistic and conservative. Two lakh is the minimum we are targeting. It can go to maybe 3 lakh or 3.5 lakhs also, depending on the commissioning process.

If you see the export sales, we have done alumina export sales, we have 1.38 is domestic and export sales, we have done around 13.09 lakh tons and around 1.37 lakh tons of domestic sales. So total [Inaudible] Rajesh Majumdar: 1.37 lakh tons, is this calcium alumina or special grades?

Brijendra Pratap Singh

It is combined, consigned and hydrate, both. Rajesh Majumdar: Okay. And special grade alumina, what would be the production? Special grade is very less. We are producing around 15,000 to 20,000 annually. That much amount only is there. That is also included in this. Rajesh Majumdar: And in the new capex, there is no increase in the special grade production. It's called calcium alumina, right? Brijendra Pratap Singh: No. Only consigned and hydrate will be there. Rajesh Majumdar: And sir, my last question was on the aluminium smelter and power plant. Initially, we had talked about putting the po

Sir, my first question regarding export market, maybe I missed. As you said 40% to 50% of your export come from Middle East, sir?

Brijendra Pratap Singh

50-52% of export, you are talking about chemical…Alumina? Yes, alumina. Brijendra Pratap Singh: Alumina our total sales last year was around Rs.3.4 lakhs, we have increased. Total sales export, we have done around Rs.13 lakhs and domestic, we have done around 137,000. So export sales is -- domestic sales is almost around 10% of the export. And how much is from Middle East? Brijendra Pratap Singh: Middle East, what I was telling earlier also, around 40% to earlier -- 45% to 50% used to go to Middle East, maybe sometimes more also. But now it has gone down. And what is the outlook for FY '27 spe

Sir, quickly, a few questions on the raw material side. Are we seeing how much price increase in coal, which we are buying from E-Auction? What kind of price increase we have seen in last two, three months -- two months actually?

Brijendra Pratap Singh

E-Auction actually, very less quantity coal we are buying. On suppose if we are buying around [Inaudible] we are taking coal from FSA route through Coal India, NCL, that is around 2.5 million ton. Out of that around 10% to 15% only buying in the E-Auction route. And that is approximately Rs.200 to Rs.300 more than the fuel supply agreement which is there with them. As I said through linkage route. So Rs.300 more we are getting. So sir, actually, in last two months, have we seen any increase in E-Auction coal price in last two months? Two months, since we have not done any [Inaudible] we have d

This year that is '26-'27, we are targeting a capex of around Rs.2,000 crores. Next year onwards, that is '27-'28, what I told earlier also, somewhere in between Rs.4,000 crores to Rs.5,000 crores. And after that, the subsequent year, it will further go up. That will be the peak time of smelter erection and all that. That will go to maybe Rs.7,000 crores to Rs.8,000 crores. Kartikeya Kumar Pandey: In totality, it's 30,000 crores that you [Inaudible]

Brijendra Pratap Singh

It is not 30. Actually, it is smelter is 17,000 crores to 18,000 crores and our power plant is around 12,000 crores. Since power plant, we are going for JV, only 50%, maybe 5,000 crores, 6,000 crores will be requiring for that. So it will come down to around 23,000 crores, 24,000 crores --to 23,000 crores, 24,000 crores.

Can you please give the aluminium realization for Q4 FY '26 and the current realizations? Brijendra Pratap Singh: Realization of? You are talking about alumina or metal?

Vedant Sarda

Aluminium, metal. Metal. Brijendra Pratap Singh: Aluminium average realization, which currently which we are getting is around Rs.3,600 LME hovering. But now just because of war situation and all that, it has increased. But what we are expecting should be somewhere around Rs.3,000 or Rs.3,100 for the average throughout the year. And Q4 realization, FY '26 Q4? Q4, it was around $2,767 Q4 average '25-'26, $2,767. You're expecting aluminium prices to come below Rs.3,000 going forward in the financial year 2027? So the average would be Rs.3,000, like it is currently hovering around Rs.3,500, Rs.3,

Congrats on the robust quarter. My question is three parts. The first is [Inaudible]

Management

Sir, firstly, if you could please explain the key reason in terms of our profitability taking a dip for the alumina segment year-on-year? And if you could give us some colour on what are the current price trends with respect to alumina? Brijendra Pratap Singh: You see, as far as alumina is concerned, profitability, I told earlier also, this year in alumina segment, our volumes has increased. Our volume has increased by around 3.4 lakh tons extra sales we have done compared to '24- '25. '24-'25, our production was 20.75 lakh tons. This year, we have done around 23 lakh tons. So this has given a

Saket Kapoor

Okay. And sir, how are we positioning in this $310 mark? Have we contracted for the entire year in terms of that? Or are the current spot prices are hovering in those levels? What have we [Inaudible] how have we [Inaudible] Brijendra Pratap Singh: Current spot prices are at the level of $310, $320, sometime we are getting $330 also. But the kind of situation, which is there, there is an excess of alumina in the market. There is an excess of alumina from Indonesia. The requirement has gone down. That's why we are expecting the prices may not go up. We'll be hovering somewhere around $310 to $32

Thanks for the opportunity, sir. Sorry I got disconnected that time. So sir, I think you mentioned that E-Auction coal prices, we have not seen any major increase in last 2 months. That's right? Brijendra Pratap Singh: Yes, yes.

Ashish Kejriwal

Okay. Sir, secondly, the way you mentioned about caustic soda price, is it possible to share your different raw material prices like CP Coke, CT Pitch and aluminium chloride, what it was in FY26? See caustic soda prices average '25-'26 was 42,000. It has gone to 45,000. CP Coke '25-'26, it was 53,000. This year, Q1 and Q2, it will be somewhere around 57,000. Aluminium chloride, 1,21,000, it has gone to 1,30,000. HFO has further increased -- HFO and MDO that is the substantial increase which we are seeing. LDO is less and HFO is more from 46,000 to 70,000. So this kind of increase we are seeing

Thank you, ma'am. On behalf of NALCO, I thank all participants who took out their valuable time and share their views and took interest in NALCO's growth journey. We thank you team Chorus for facilitating this earnings call for Q4 and FY26. And we are also thankful to Systematix Group for hosting the earning call. We look forward for similar kind of cooperation on a continued basis. Thank you. Thank you all.

Management

Speaking time

Brijendra Pratap Singh

Abhay Kumar Behuria

Moderator

Saket Kapoor

Ashish Kejriwal

Manav Gogia

Pallav Agarwal

Rakesh Roy

Vikash Singh

Pinakin

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Opening remarks

Shweta Dikshit

Thank you. Good evening, everyone. On behalf of Systematix, we welcome you to the Q4 FY '26 and FY '26 Earnings Conference Call of National Aluminium Company Limited. I would like to thank the management for giving us the opportunity to host this call. I now hand over to Mr. Bharat Sahu, Company Secretary, NALCO, to discuss the company's financial and operational performance. Over to you, sir.

Bharat Sahu

Thank you, Shweta ma'am. Namaskar, good evening. Greetings from National Aluminium Company Limited. On behalf of NALCO Collective and especially from NALCO Board, let me welcome all esteemed investors, analysts, fund houses to this earning call hosted by Systematix Group. Today is a historic day for NALCO. The Board of Directors have approved the financial statements for the financial year '25-'26, registering the best ever performance in every front. We have our CMD, Shri Brijendra Pratap Singh: along with our other functional directors, Director Production, Shri Pankaj Kumar Sharma, and Director P&T Shri Jagdish Arora; Director HR Dr. Tapas Pattanayak, Director Finance Shri Abhay Kumar Behuria, and Director Commercial Shri Anil Kumar Singh in this conference call. And presentation on this Q4 and FY '26 is already uploaded with the Stock Exchanges as well as in the company's website. And I hope Systematix Group must have also circulated it to all our esteemed investors. And now I requ

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