Hindustan Zinc posts record Q1 revenue of ₹13,747 cr, net profit jumps to ₹5,469 cr
The Vedanta group company's Q1 FY27 earnings call also covered CEO transition, a new CFO, capacity expansion, and a rare-earth lease win.
— 6 earlier stories on Hindustan Zinc Ltd. →What's new
- Record revenue of ₹13,747 cr and net profit of ₹5,469 cr in Q1 FY27.
- Zinc cost of production fell 16% to $851 per tonne.
- Silver contributed 46% to profitability.
- Amarendu Prakash named incoming CEO; Amit Gupta appointed CFO.
- Multi-phase capacity expansion underway; rare-earth mining lease won in Karnataka.
Why this matters
Hindustan Zinc is firing on all cylinders — lower costs, a booming silver contribution, and record profits. The leadership transition and expansion plans signal confidence in sustaining this momentum. With Vedanta's recent stake de-pledging, the stock has a clean overhang.
What we're watching
- Execution of the capacity expansion timeline.
- Progress on the rare-earth lease development.
- Any further corporate action on dividend or buyback.
The full read
Hindustan Zinc delivered a record Q1 in FY27: ₹13,747 crore revenue and ₹5,469 crore net profit. The zinc cost of production dropped 16% to $851 per tonne, and silver pitched in 46% of profitability. The earnings call transcript, though backward-looking, detailed a smooth leadership transition (Amarendu Prakash as incoming CEO and Amit Gupta as CFO), plus a multi-phase capacity expansion and a newly won rare-earth mining lease in Karnataka. The market had already absorbed the headline numbers, but the transcript confirms a company operating at peak efficiency with a clear growth roadmap. For a stock with a P/E of 15.8 and an ROE of 61%, this is a constructive narrative.
Questions answered
- How did Hindustan Zinc achieve such a sharp cost reduction?
- The 16% drop in zinc cost of production to $851 per tonne reflects operational efficiencies and higher volumes, though the transcript attributes it to improved mining and processing.
- What is the significance of silver contributing 46% to profitability?
- Silver is a high-margin by-product; a 46% contribution means every tonne of zinc ore is generating significant additional value, boosting overall margins.
- Who are the new CEO and CFO?
- Amarendu Prakash is the incoming CEO and Amit Gupta is the new CFO, as announced during the call.
- Is the capacity expansion likely to be funded internally?
- With net cash positivity after an ₹11 per share interim dividend and strong operating cash flows, internal accruals seem sufficient, though the transcript does not specify funding sources.
- Does the rare-earth lease in Karnataka change Hindustan Zinc's business profile?
- Not immediately — it's a strategic initiative to diversify into critical minerals, but commercial production is likely years away.
Hindustan Zinc Ltd.
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All notes on HINDZINC →- 28 Jul 2026 · 5:22 PM IST Hindustan Zinc posts record Q1 revenue of ₹13,747 cr, net profit jumps to ₹5,469 cr
- 20d ago Vedanta releases 50.1% HZL stake after debenture redemption
- 25d ago Vedanta locks 50.1% of HZL stake for FACOR loan covenant
- 38d ago Vedanta releases pledge on 55% of Hindustan Zinc after repaying facility
- 39d ago Hindustan Zinc picks ex-SAIL chief as CEO-designate