Vedanta Limited Earnings Summary — Q4 FY2026
Vedanta Limited Reports Strong Profit Growth in Q4 FY2026 Amid Operational Efficiency and Higher Other Income
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 1.6% sequentially in Q1 FY2027.
- Revenue of ₹24,205 Cr is 53.6% higher year-on-year.
- Revenue has compounded at -15.7% annualised over the last 10 quarters.
- Net profit of ₹5,473 Cr is 71.8% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 85.1% annualised across the period.
- Operating margin stands at 35.1% in Q1 FY2027.
- Operating margin expanded by 798 bps year-on-year.
- Over the last two years operating margin has expanded by 731 bps.
- PBT margin is 40.5%.
- Expense growth of 36.8% remained below revenue growth of 53.6%.
- Operating profit of ₹8,501 Cr is 98.8% higher year-on-year.
- Operating leverage continues to improve.
- 3 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 69/100 (Healthy) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Stable | 24,205 | 24,609 | 21,337 | 18,747 | 15,754 | 16,686 | 17,063 | 37,634 | 35,764 | 35,509 |
| Expenses | Stable | 15,704 | 17,050 | 14,816 | 13,832 | 11,478 | 11,440 | 12,050 | 27,806 | 25,819 | 26,741 |
| Operating Profit | Accelerating | 8,501 | 7,559 | 6,521 | 4,915 | 4,276 | 5,246 | 5,013 | 9,828 | 9,945 | 8,768 |
| Operating Margin | Improving | 35.1% | 30.7% | 30.6% | 26.2% | 27.1% | 31.4% | 29.4% | 26.1% | 27.8% | 24.7% |
| Other Income | Accelerating | 3,166 | 5,503 | 4,426 | 1,248 | 2,737 | 2,771 | 3,202 | 3,168 | 934 | 385 |
| Interest | Softening | 662 | 694 | 547 | 1,033 | 609 | 1,071 | 1,073 | 2,667 | 2,222 | 2,415 |
| Depreciation | Softening | 1,192 | 1,332 | 1,239 | 1,303 | 1,116 | 1,191 | 1,238 | 2,696 | 2,731 | 2,743 |
| Profit Before Tax | Volatile | 9,813 | 11,036 | 9,161 | 3,827 | 5,288 | 5,755 | 5,904 | 7,633 | 5,926 | 3,995 |
| Tax | Volatile | 1,895 | 1,684 | 1,354 | 348 | 831 | 794 | 1,028 | 2,030 | 831 | 1,720 |
| Net Profit | Volatile | 5,473 | 6,698 | 5,710 | 1,798 | 3,185 | 3,483 | 3,547 | 4,352 | 3,606 | 1,369 |
| Net Margin | Accelerating | 22.6% | 27.2% | 26.8% | 9.6% | 20.2% | 20.9% | 20.8% | 11.6% | 10.1% | 3.9% |
Key Takeaways
- Net Profit for Q4 FY2026 reached ₹9,352 Cr, a robust double-digit increase both YoY and QoQ.
- Quarterly Revenue grew to ₹24,609 Cr, showing a significant recovery compared to the previous year's local trough.
- Operating Profit Margin (OPM) remained resilient at 31%, reflecting strong cost leadership in Zinc and Aluminum segments.
- Other Income contributed a substantial ₹5,520 Cr to the quarterly bottom line, notably higher than prior periods.
- Interest expenses rose to ₹737 Cr vs ₹547 Cr in the previous quarter, indicating a slight uptick in debt service costs.
- The company maintains a high-volume commodity-sensitive model with dominant market shares in Zinc and Aluminum.
Management Guidance
Management remains focused on vertical integration and expanding capacities to lower cost structures. While committed to high dividend payouts, they are navigating a 'de-merged' structure transition to unlock shareholder value.
Sentiment Shift
Improving
A strong quarterly sequential recovery in both top and bottom lines suggests a cyclical upswing or successful cost optimization measures.
Outlook
The outlook is positive regarding operational scaling in Zinc and Aluminum, but monitorable risks exist regarding regulatory probes (ED/FEMA) and promoter stake reductions.
From the Annual Report (Key Quotes)
“Vedanta is a globally diversified natural resource conglomerate with dominant market shares in Zinc (80% India) and Aluminium (46% India).”
“The company operates as a high-volume, commodity-sensitive business engine characterized by extremely high dividend payouts.”
“Recent years show a shift toward vertical integration and expanding capacities in Alumina and Zinc to lower cost structures.”
Official Quarterly Documents
This summary is AI-generated from Vedanta Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.