Hindustan Zinc Reports Strong Profit Surge on Rising Zinc Prices and Record Production

 Hindustan Zinc

Robust Demand Boosts India's Leading Zinc Producer

Hindustan Zinc, the world's third-largest zinc producer, announced a sharp rise in fourth-quarter profit. Higher zinc prices and record metal production fueled the growth.

The company's consolidated net profit surged 47.4% year-on-year to 30.03 billion rupees ($351.5 million) in the three months ending March 31. This performance highlights the resilience of India's metal sector amid growing construction and manufacturing demand.

Domestic zinc prices jumped about 17.5% during the quarter, according to estimates from Systematix. Rising industrial activity across India helped drive the price increase.

Record Production Levels Support Revenue Growth

Hindustan Zinc, majority-owned by the metals-to-oil conglomerate Vedanta, achieved record mined metal production of 310,000 tonnes in the March quarter. The company commands a dominant 75% market share in India's zinc sector.

Revenue from operations rose 21.2% year-on-year to 88.29 billion rupees, while total expenses increased by only 8.5%. The company's strategic focus on operational efficiency contributed to the strong margin improvement.

Silver Segment Posts Strong Gains

Beyond zinc, Hindustan Zinc’s silver division, its second-largest revenue generator, posted a 24.1% growth. Meanwhile, the zinc division itself recorded a 20.6% rise in revenue. This diversified performance demonstrates Hindustan Zinc’s strength across multiple metals markets.

The company's outlook remains positive as industrial demand in India continues to climb, boosting both metal prices and production targets.