Mining behemoth Vedanta is entering a conclusive phase of its growth journey, combining disciplined capital investment, record financial performance and a major structural transformation through its proposed demerger. The company’s strategy is focused on value-added expansion across its diversified natural resources portfolio while improving capital efficiency and long-term earnings visibility.
Growth Capex on Track, Focused on Value Creation
During the first nine months of the financial year, Vedanta invested approximately $1.3 billion in growth capital expenditure, spanning its aluminium, zinc, oil & gas and power businesses. According to Group CEO Deshnee Naidoo, the company remains firmly on track to meet its full-year growth capex guidance of around $1.7 billion.
The investments are targeted at strategic projects that are expected to come on stream over the next few quarters. As these assets are commissioned, they are projected to drive higher production volumes, margin expansion and improved earnings stability across commodity price cycles, strengthening Vedanta’s medium-to-long-term fundamentals.
Record Revenue, EBITDA and Profit Highlight Operational Strength
Vedanta delivered its highest-ever quarterly financial performance, reflecting strong pricing conditions and robust operational execution across its core businesses.
Revenue rose 19% year-on-year to ₹45,899 crore, while EBITDA increased 34% YoY to a record ₹15,171 crore and EBITDA margin expanded sharply by 629 basis points to 41%, Profit After Tax (PAT) surged 60% YoY to ₹7,807 crore, the highest quarterly PAT in the company’s history. The strong results show Vedanta’s portfolio resilience, operational discipline and ability to generate cash even amid commodity cycle fluctuations.
Major Projects to Drive Volumes and Cost Efficiencies by FY27
Looking ahead to FY27, Vedanta has a robust commissioning pipeline across multiple verticals, aimed at increasing capacity while delivering meaningful cost reductions. Key upcoming milestones include commissioning of the Sijimali bauxite mine, start of operations at the Ghogharpalli coal mines, commissioning of the second 600 MW turbine at Athena and 510,000 TPA fertiliser project at Hindustan Zinc. Also, there are projects such as VAB capacity additions of 250,000 TPA and 510,000 TPA at Jharsuguda and BALCO, phase-II commissioning at Gamsberg 420,000 TPA DI pipe plant in Goa. Collectively, these projects are expected to enhance production volumes, improve cost competitiveness and support earnings growth through FY27 and beyond.
Vedanta 2.0: Demerger to Unlock Value and Improve Capital Efficiency
Vedanta’s transformation into “Vedanta 2.0” is progressing steadily, with the NCLT order now in place and key regulatory and operational milestones largely addressed. The company has reiterated its commitment to completing the demerger as previously guided. Vedanta has put target of April 1 and listing of demerged entities is expected in mid-to-end of May. The demerger is expected to unlock shareholder value, sharpen strategic focus across verticals and improve capital allocation efficiency, allowing each business to pursue independent growth paths aligned to its market dynamics.
With strong cash flows, disciplined capex deployment, a visible project pipeline and a transformative demerger underway, Vedanta is positioning itself for sustainable growth across commodity cycles.