Hindustan Zinc's Q1 net profit rose 145% YoY to $578 million on record mined output of 268 KT and lowest-ever zinc cost of $851/t, reinforcing its low-cost position in the global zinc market.
Alpha Score of 53 reflects moderate overall profile with weak momentum, moderate value, moderate quality, moderate sentiment.
Hindustan Zinc posted a record quarterly net profit of $578 million for the first quarter of FY27, up 145% from a year earlier. Revenue from operations hit $1.453 billion, a 77% jump, and EBITDA rose 109% to $854 million. The company said the results were driven by its highest-ever first-quarter mined metal production of 268 kilotonnes and the lowest quarterly zinc cost of production at $851 per tonne.
The cost figure, which excludes royalty, is the lowest since the company completed its transition to underground mining. Hindustan Zinc is the world's largest integrated zinc producer and operates among the lowest-cost mines globally. The record output and cost control reinforce its position at the bottom of the industry cost curve, a factor that matters when zinc prices fluctuate.
Arun Misra, chief executive officer, said the company started the year on a strong note with its highest-ever first-quarter mined metal production for the fifth consecutive year. "Our debottlenecking initiatives continue to enhance refined metal production and reinforce our position as one of the world's lowest-cost zinc producers," he said. He added that demand for zinc continues to be driven by infrastructure spending and the energy transition.
The robust performance comes as the global zinc market balances supply growth against steady demand from galvanized steel and construction. Hindustan Zinc's low-cost structure means it can maintain margins even when benchmark zinc prices soften, while higher-cost producers face pressure. The company's cash generation during the quarter was strong, and it said it remains committed to responsible growth.
The board also named Amarendu Prakash as chief executive officer and whole-time director, effective August 1. Prakash previously served as chairman and managing director of SAIL, India's state-owned steelmaker. Amit Gupta took over as chief financial officer on June 1.
Hindustan Zinc was ranked the world's most sustainable metals and mining company by the S&P Global Corporate Sustainability Assessment in 2025 for the third consecutive year. It is also the first Indian company to join the International Council on Mining and Metals.
For the broader commodities analysis sector, the production and cost data underscore the structural advantages of integrated low-cost zinc mining in India. The company's ability to grow output while cutting costs sets a benchmark for other base-metal producers. The next quarter will show whether that output pace can be sustained against any seasonal or operational headwinds.
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