Lloyds Metals and Energy Ltd Q1 FY26 Concall Decoded: – Iron Ore Dreams, Steel Ambitions & a Pipeline to Glory
1. Opening Hook
India is debating whether onions or tomatoes will bankrupt households, but Lloyds Metals casually dropped a 22-million-ton mining guidance like it’s no big deal. They built a pellet plant in 18 months (industry average: 3–4 years). Either they’ve cracked time travel, or their contractors don’t know how to sleep. And yes, they also dropped hints about becoming a global mining tourist—Dubai, anyone? Keep reading, because this one swings between “iron ore goldmine” and “capex overdose.”
2. At a Glance
Revenue up 99% QoQ, flat YoY – CFO says, “No sorcery, just trucks finally rolling after monsoon naps.”
EBITDA ₹8,087 cr, +12% YoY – Powered by ore quality, not yoga quality.
PAT ₹6,346 cr, +14% YoY – Profits bulked up like a gym bro on creatine.
EBITDA Margin 33.6% – More fat margin than a roadside vada pav.
Capex ₹13,270 cr in Q1 – Cash burn faster than your IPL betting losses.
Stock +117% in 1 yr – Traders clearly skipped footnotes and just heard “55 mt expansion.”
3. Management’s Key Commentary
Rajesh Gupta (MD): “We commissioned a 4 mt pellet plant in record time.” (Translation: Our engineers clearly don’t watch Netflix.)
CFO Riyaz Shaikh: “EBITDA margin expanded to 33.6%.” (Translation: Iron ore grades are richer than Bollywood nepotism kids.)
Rajesh Gupta: “We bought 19.4% in Mandovi River Pellets—strategic investment.” (Translation: Paid peanuts just to say ‘hello Goa!’)
Riyaz Shaikh: “Capex ₹13,270 cr this quarter.” (Translation: We’re spending like Ambani’s wedding caterers.)
Rajesh Gupta: “Logistics subsidiary will make evacuation green.” (Translation: Trucks now get a spa treatment and maybe yoga sessions.)
Rajesh Gupta: “We may explore minerals overseas, even Dubai.” (Translation: Basically, we want a vacation home in Dubai with mining as the excuse.)
CFO: “LMEL stock gave 117% return vs 24% NSE Metals Index.” (Translation: Forget fundamentals, just print this on a T-shirt.)
4. Numbers Decoded
Metric
Value (Q1 FY26)
YoY Change
One-Line Analysis
Revenue – The Hero
₹24,084 cr
Flat
Like that topper who just maintains rank but flexes anyway.
EBITDA – The Sidekick
₹8,087 cr
+12%
Supported by ore quality; secretly scared of steel margins.
EBITDA Margin – The Diva
33.6%
+200 bps
Demands attention; CFO keeps pampering it with pipelines.
PAT – The Gym Bro
₹6,346 cr
+14%
Lifted heavy, posted gains, waiting for likes.
Capex – The Shopaholic
₹13,270 cr
N.A.
Spending binge continues; malls envy this stamina.
Iron Ore Sales Volume
3.45 mt
+2%
Trucks finally earned their salary; monsoon can’t stop the hustle.
Realization per ton (Ore)
₹6,061
+6%
Better grade = fatter invoice.
DRI Volume
78,900 tons
+3%
Margins soggy like monsoon pakoras.
5. Analyst Questions
Goldman Sachs: Why buy just 19.4% in Mandovi? Mgmt: “That’s all we got, cheap book value.” (Translation: It’s pocket change—like buying a samosa just to keep a seat at the table.)
ICICI Securities: Can you even evacuate 22 mt in a year? Mgmt: “Yes, 50k tons/day trucking, 3 rail sidings, and a pipeline.” (Translation: Logistics look like Dabbawalas on steroids.)
Anand Rathi: Will EBITDA/ton go from ₹2,200 to ₹2,700 soon? Mgmt: “Yes, once slurry pipeline & Thriveni kick in.” (Translation: Wait till
