Vedanta Q1FY26 Results: Strong Operational Growth Overshadowed by One-Time Losses

Ltd reported its Q1FY26 earnings with a consolidated net profit of ₹3,185 crore attributed to owners of the company, marking an 11.7% YoY decline from ₹3,606 crore last year. However, the reported net profit of ₹4,457 crore also saw a 13% drop from ₹5,095 crore in Q1FY25, impacted by one-time expenses of ₹543 crore. In contrast, last year’s quarter had one-time gains of ₹662 crore. When adjusted for these exceptional items, Vedanta’s net profit actually rose 13% YoY to ₹5,000 crore vs ₹4,433 crore, reflecting strong underlying business performance. Revenue from operations grew by 5.75% YoY to ₹37,824 crore, while EBITDA rose 6% to ₹10,746 crore, with margins improving to 35% (vs 34% last year), aided by softening raw material costs like coal and ores. Operationally, the company achieved several milestones: Aluminum: Lanjigarh posted record alumina production at 587 kt (+9% YoY), aiming for a 3 MMT volume in FY26. Zinc India: Hit record Q1 mined metal production at 265 kt. Zinc International: Mined metal output surged 50% YoY. Power: Commissioned 950 MW merchant capacity, taking total to 3.83 GW. Chairman Anil Agarwal said, "We’ve delivered our highest-ever Q1 EBITDA despite global volatility. From lowest hot metal cost in 16 quarters to sharp growth in Ferro Chrome volumes and power sales, our fundamentals remain strong." Vedanta also declared an interim dividend of ₹7/share, with the record date on June 24. Stock Reaction :- Despite strong operational numbers, Vedanta’s shares dipped 2.1% intraday to ₹425.50 amid broader market weakness and muted headline profit growth. Overall, a mixed quarter where underlying business strength shines but accounting one-offs mask the full picture.