National Aluminium Company Ltd (NATIONALUM) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator: Ladies and gentlemen, good day, and welcome to the Q2 FY '27 earnings conference call of National Aluminium Company Limited Conference Call, hosted by Systematix Group. As a reminder, all participants' line will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star, then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Shweta Dikshit from Systematix Group. Thank you, and over to you, ma'am.
Shweta Dikshit (Systematix Group): Thank you, Iqra. Good morning, everyone. On behalf of Systematix, we welcome you to the Q2 and FY '27 earnings conference call of National Aluminium Company Limited. I would like to thank the management for giving us the opportunity to host this call. And I now hand over to Mr. Bharat Sahu, Company Secretary, NALCO, to discuss the company's results as well as introduce the management. Over to you, sir.
Bharat Kumar Sahu (National Aluminium Company Limited): Thank you, ma'am. Namaste, good morning. Warm greetings from National Aluminium Company Limited, a Navratna CPSE under the Ministry of Mines. It's a privilege introducing our CMD, Shri Brijendra Pratap and Shri Abhay Kumar Behuria, Director (Finance), attending this earning call today. I am Bharat Kumar Sahu, Company Secretary and Compliance Officer of NALCO. NALCO published an impressive Q2 and H1 '27 financial results last evening after the board took it on record. I take the pleasure informing all of you that this is the best-ever half-yearly results with regard to revenue, PBT, PAT, and EBITDA of NALCO since its inception. A presentation in this regard has already been uploaded in the website of the stock exchanges, that is NSE, BSE, and also on the website of our company, NALCO. It is also circulated to all of you through Systematix. We hope you all must have received it by now. Just to briefly give you an idea about the results declared. In fact, the H1 revenue was all-time high of 11,143 crore, all-time high of EBITDA of 5,539 crore, highest-ever PBT of 5,160 crore,
Bharat Kumar Sahu (National Aluminium Company Limited): 37 of last year, 25-26. So the Q2 net profit this Q2 '27 is off by 28% year-on-year basis compared to 18354 last year. So without wasting any time, we open the floor for questions and answers from your side, and our CMD, Shri Brijendra Pratap Singh sir, will address all the queries raised by the esteemed members attending this conference. Thank you.
Moderator: Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we'll wait for a moment while the question queue assembles. The first question is from the line of Manav Gogia from Aditya Birla Institutional Equities. Please go ahead.
Manav Gogia (Aditya Birla Institutional Equities): Yeah. Hi, good morning and thank you so much for the opportunity. So my first question comes around, you know, what's the status on the refinery? And if you could just elaborate on where we are currently in terms of commissioning and stabilization. And along with this, if you could also provide me with the status of Pottangi Mines and how the Utkal Coal Mine expansion is looking for this particular fiscal?
Brijendra Pratap Singh (National Aluminium Company Limited): Okay. Good morning. Thank you, Mr. Manav. Three questions which you've asked regarding refinery, Pottangi, and coal. Myself B.P. Singh, CMD NALCO. Refinery, 5th stream refinery is in very advanced phase of completing the mechanical completion. We have already many packages we have completed and started the trial, testing. The out of around 50 packages, around 30-34 packages, 35 packages already have been completed. Three, four packages are in the critical path which are already almost 90% completion, physical completion, 90-92% physical completion is there. So what we are targeting is the packages which are getting completed, we are already have started doing the trials of that packages, no-load trials and all. So integrated trial of the 5th stream and start of the production, we are planned in last what last month last week of the December. Maybe we'll be completing all the packages which is left out and starting the integrated trial and starting the production from last week of December or maybe early of January. So that is the status of the 5th stream refinery. Pottangi mines, we are very aggressively working with the state government and the locals out there. We have ordered to an MDO, M/s Dilip Buildcon. They are also engaging with the local people. They've started some jobs there. But our one of the main constraints which we are facing is starting the mines' clearing of the trees for the road-making going from NH to mines. For that, some kind of resistance we are getting from the locals, from local activists. But it is taken at the highest level when our ministry, state government, they are seeing it, they are negotiating with the people. And we are hoping that within 2-3 months, we'll be able to solve this issue and start the mines. So that is one issue of concern for us which we are taking it very aggressively at all levels, and we are very much sure that we will be able to solve it. And Utkal Coal Mines, already last year, we have done 4.8 million tonne 4 million tonne to the rated capacity of the mines. This year we have planned for 4.8 million tonne. All clearances are there with us. Environmental clearance for 4.8 million is under process, and I think within 2 months or 3 months, we'll be getting that. But for this year, yearly we are going as per the rate of 4.8 million tonne production of coal. So that target of 4.8 million tonne will be going from Utkal Coal. So I think these were the three queries which we you required. It is clear from our reply?
Manav Gogia (Aditya Birla Institutional Equities): Yes. Thank you so much sir for the detailed answer. Just one more thing. So you are saying that early January is where the refinery starts. So is it safe to assume that we will be running at full utilization levels for next year, or do you think that, you know, probably the ramp-up period might heat some of the utilization for next year?
Brijendra Pratap Singh (National Aluminium Company Limited): See, if we are able to start the production in January, maybe it will take three, four months
Brijendra Pratap Singh (National Aluminium Company Limited): 4 months or maybe 5 months, 3, 4, 5 months to reach to the 100% of the rated capacity. Our target was ki from next year onwards, we will be taking to the full capacity. Maybe not 1 million ton, maybe 0.8 million ton or 0.75, 0.8 million ton we will be able to do next year.
Manav Gogia (Aditya Birla Institutional Equities): Understood, understood sir. Thank you so much. My second question is yes. My second question is on the smelter front. If you could throw some light, you know, on the status of the approvals for the brownfield expansion and how should we look, you know, at the CapEx over the course of the next 4, 5 years? And also if you could throw some light on how the greenfield smelter in Andhra Pradesh is going to look like. Yes, thank you.
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