1. Opening Hook
Just when markets were debating whether metals are done for the cycle, Hindustan Zinc casually dropped its best-ever quarter.
While global macros scream uncertainty and analysts argue about China demand, HZL quietly printed money—lots of it.
This quarter had everything: record production, five-year low costs, silver prices going berserk, and management calmly explaining why this is still not peak. Somewhere in there, they also turned net debt into net cash, just for fun.
Add a tragic safety incident, ESG chest-thumping, EV trucks, and a promise to double capacity, and you’ve got a call that swung between somber and swagger.
If you thought this was just about zinc, think again.
Read on—because the real action is in silver, costs, and capital discipline, and that’s where things get spicy.
2. At a Glance
- Revenue ₹10,980 cr – Commodity gods smiled, operations delivered, CFO happily counted zeros.
- EBITDA ₹6,087 cr (55% margin) – Margins flexed harder than a gym bro in January.
- PAT ₹3,916 cr – Profits up 48% QoQ, quietly rewriting company history.
- Zinc COP $940/ton – Five-year low costs, inflation politely shown the exit.
- Net cash ₹329 cr – Debt went poof, balance sheet now flexes too.
3. Management’s Key Commentary
“This has
been one of our strongest quarters.”
(Translation: Please check the numbers before doubting us 😏)
“We achieved the lowest zinc cost of production in five years.”
(Inflation tried. It failed.)
“Silver prices remain bullish despite the rally.”
(Yes, we know it’s up 75%. No, we’re not complaining.)
“Precious metals now contribute 44% of profits.”
(Zinc is the base, silver is the superstar ✨)
“We are comfortable delivering refined metal production as committed.”
(Guidance stays. Excuses don’t.)
“Hedging is about margin protection, not price prediction.”
(We’re miners, not astrologers.)
“India remains one of the brightest global spots.”
(Translation: At least someone is growing.)
4. Numbers Decoded
| Metric | Q3FY26 | Decode |
|---|---|---|
| Mined metal | 276 kt | Best Q3 ever since underground shift |
| Refined metal | 270 kt | Debottlenecking finally paid rent |
| Silver output | 158 tons | Silver quietly doing heavy lifting |
| EBITDA margin | 55% | Structural cost king behaviour |
| Free cash flow | ₹3,413 cr | Cash machine fully operational |
- Higher domestic coal
