Hindalco Industries Share Price: Shares of Hindalco Industries rose as much as 3.5% to ₹1,085 on the NSE on Wednesday, May 20, after the metal giant’s wholly-owned subsidiary Novelis Inc released its financial results.
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Novelis on Tuesday reported a consolidated net loss of $84 million for the quarter ending March 31, 2026, due to fire incidents at its plant in Oswego, New York.
The company is a leading sustainable aluminum solutions provider and a world leader in aluminum rolling and recycling.
“The net loss attributable to our common shareholders was $84 million, compared to $294 million in net income attributable to our common shareholders last year, which was impacted by the fire at our Oswego, US plant in September and November,” the company said in a statement.
“This decrease was primarily due to $630 million in pre-tax net losses related to the Oswego fire,” it said.
However, consolidated net sales increased to $4,787 million from $4,587 million in the year-ago period.
“Net sales in the fourth quarter of fiscal 2026 increased 4% versus last year to $4.8 billion, primarily driven by higher average aluminum prices, partially offset by a 12% decline in total rolled product shipments to 844 kilotonnes,” it said.
The statement said the decline in shipments was due to production disruptions at Oswego and softness in certain markets due to geopolitical conditions.
“…We are firmly focused on execution – serving our customers, commissioning our state-of-the-art aluminum plant in Bay Minette and safely reopening Oswego within the next few weeks, much earlier than our previous estimate of late June,” said Steve Fisher, Chairman and CEO of Novelis Inc.
Key Highlights of Q4 FY26 Earnings
- Adjusted EBITDA of $459 million, down 3% year-over-year;
- Rolled product shipments of 844 kilotons, down 12% year-on-year;
- Adjusted EBITDA per ton of $544, up 10% year-on-year; And
- Oswego Hot Mill hopes to reopen sooner than expected.
Update on September and November fires at Oswego plant
On September 16, 2025, a fire broke out at the Novelis plant in Oswego, New York.
On November 20, a second significant fire occurred at the Oswego plant at a site where repair work was underway from the September fire.
Everyone working at the plant was evacuated safely, and there were no injuries to employees, contractors or first responders during any of the incidents.
Both fire incidents were confined to the hot mill area and did not affect the rest of the plant.
“The Oswego plant has made strong progress in advancing recovery efforts, and commissioning activities are accelerating. We expect the hot mill to return to service in the next few weeks, which will help us support pent-up demand and normalize shipments over time,” Novelis said in its earnings release.
“As anticipated, there is some temporary pressure on net leverage due to the Oswego fire and capital expenditures at Bay Minette,” said Dev Ahuja, executive vice president and CFO of Novelis Inc.
“With Oswego restarting, Bay Minette nearing completion, and strong business momentum continuing, we believe we have a clear vision of returning to positive free cash flow by the end of fiscal 2027, which will create a strong path toward deleveraging,” the CFO said.
About Novelis Inc.
Novelis is a subsidiary of Hindalco Industries Limited, a leader in the aluminum and copper industry and the flagship metals company of the Aditya Birla Group.
Disclaimer: This article is purely for informational purposes and should not be considered investment advice from Upstox. Please consult a financial advisor before taking any investment decisions.
