Vedanta reports record production across businesses in FY26; defence push

Vedanta reports record production across core segments in FY26, while Chairman Anil Agarwal calls for reforms and private sector participation in defence manufacturing

Vedanta Limited on Friday announced a strong operational performance for the fourth quarter and the full financial year 2025–26, registering record production across several of its core verticals, including alumina, aluminium, zinc and ferrochrome.

 

According to company sources, the year was marked by the highest-ever production levels in alumina, aluminium, zinc and ferrochrome, reflecting sustained focus on capacity ramp-up, operational efficiencies, and consistent execution across its diversified portfolio.

 

The diversified metals-to-energy conglomerate said alumina production surged to an all-time high of 2,916 kilotonnes (kt), marking a sharp 48 per cent year-on-year growth. The company’s refinery is now operating at an annual capacity of 4 million tonnes following stabilisation of operations.

   

Aluminium production also touched a record 2,456 kt during FY26, up by one per cent year-on-year, reinforcing Vedanta’s position among the world’s leading producers of the metal. The alumina-aluminium segment remains a key strategic pillar for the company, driven by strong demand fundamentals and operational efficiencies.

 

In the zinc segment, Hindustan Zinc Limited, India operations, reported its highest-ever mined metal production at 1,114 kt, a two per cent increase over the previous year, supported by improved ore grades and higher output. Refined zinc production also reached a record 851 kt, up by three per cent year-on-year.

 

Vedanta’s international zinc business delivered robust growth, with production rising 27 per cent year-on-year to 225 kt, driven by higher throughput and improved grades, indicating a strong turnaround in its global portfolio.

 

The company’s iron ore operations recorded their highest-ever pig iron production at 895 kt, registering a 10 per cent growth. Ferrochrome output from FACOR also hit a record 101 kt, up by 21 per cent year-on-year, supported by improved availability of high-grade ore and enhanced mining activity. Copper cathode production rose to a record 170 kt, posting a 15 per cent growth year-on-year.

 

Vedanta’s power business also posted steady growth, with total power sales rising 14 per cent to 18,571 million units during FY26. The Athena power plant (600 MW) achieved a plant load factor of 88 per cent in the March quarter, indicating strong post-commissioning performance. The company attributed the achievement to sustained focus on operational excellence, safety, workforce development and inclusivity, alongside progress on sustainability initiatives.

 

Meanwhile, Vedanta Chairman Anil Agarwal has called for modernisation and greater private sector participation to unlock the full potential of India’s defence production ecosystem. He underlined the strategic importance of strengthening India’s domestic defence manufacturing capabilities amid changing global geopolitics.

 

In a social media post on Friday, Agarwal emphasised that self-sufficiency in defence equipment has historically been central to national strength. He drew parallels from India’s past, where indigenous capabilities in arms and equipment underpinned security.

 

He highlighted India’s extensive network of defence production units, particularly the country’s ordnance factories, as critical national assets that can play a decisive role in achieving self-reliance. Referring to his visits to ordnance factories in Jabalpur and Bhusawal, Agarwal praised their scale, technological adoption and skilled workforce, stating that such infrastructure is difficult to replicate quickly and must be leveraged through modernisation and innovation-led growth.

 

“Production capacity in these facilities could be scaled up significantly through innovation-led growth,” he wrote in the post and advocated a model of privatisation similar to that of Air India, stressing the urgency of reforms to unlock the sector’s full potential.

 

Agarwal emphasised that strengthening domestic manufacturing across land, air and naval defence systems could not only enhance national security but also open up export opportunities, making the sector a significant contributor to India’s GDP and employment.

 

“India needs the best equipment made domestically for its own security. We can even export and make this sector a massive contributor to GDP and jobs. We already have the infrastructure. What remains is execution. With the government as a partner, the private sector is ready to put its hand up and do this for the nation,” he added.