1. At a Glance
Hindustan Copper Ltd (HCL) is India’sone and onlyvertically integrated copper producer — from mining to smelting to refined copper products. Formed in 1967, this PSU sits on leases for over 80% of the country’s copper reserves. While private players dominate downstream copper products, HCL owns the whole upstream chain. Expansion plans aim to triple mining capacity to meet the demand surge from EVs, renewables, and infrastructure.
2. Introduction
Copper is called “Dr. Copper” for a reason — it diagnoses the health of the economy. And HCL is the country’s only doctor with a mining license and a full-fledged hospital. The company’s fortunes are tied to global copper prices (LME), domestic demand cycles, and the success of its aggressive capacity expansion. It’s a play on India’s industrial growth, but also a leveraged bet on copper’s global supply-demand story.
3. Business Model
Vertically Integrated Operations:
- Mining:Ore extraction from underground and open-cast mines.
- Beneficiation:Ore processing to concentrate copper.
- Smelting & Refining:Producing copper cathodes.
- Fabrication:Wire rods and continuous cast rods.
Main Products:
- Copper Cathode
- Continuous Cast Copper Rod
- Copper Concentrate
By-Products:Copper Sulphate, Sulphuric Acid, Anode Slime (contains precious metals), Nickel Hydroxide.
4. Geographic & Product Mix
- FY20 Revenue Split:43% domestic, 57% export.
- Export Product Mix:
- 94% copper concentrates, 4% anode slime, 2% reverts.
- Major Plants:
- Taloja (MH) – Wire rods
- Jhagadia (GJ) – Continuous cast rods
- Ghatsila (JH), Malanjkhand (MP), Khetrinagar (RJ) – Mining + Smelting
5. Capacity & Expansion
- Installed Refining Capacity:68,500 MT copper cathode/year.
- Wire Rod Capacity:60,000 MT/year.
- Mining Capacity:Currently 3.97 MTPA → Phase 1 to 12.20 MTPA → Phase 2 to 20.20 MTPA.
- Projects:New mines at Banwas, Chapri, Sideshwar, Dhobani; reopening Kendadih & Rakha; expansions at Khetri, Kolihan, Surda; underground mine at Malanjkhand.
- Funding:₹500 Cr QIP + internal accruals.
6. Financial Performance
Q1 FY26 Standalone:
| Metric | Q1 FY26 | Q1 FY25 | YoY % |
|---|---|---|---|
| Revenue | ₹516 Cr | ₹494 Cr | 4.5% |
| EBITDA | ₹212 Cr | ₹188 Cr | 12.8% |
| PAT | ₹134 Cr | ₹113 Cr | 18.6% |
| EBITDA Margin | 41% | 38% | ↑ |
TTM (FY25+Q1 FY26):
- Revenue: ₹2,094 Cr
- PAT:
