Vedanta Ltd (VEDL) Q2 FY27 Results Analysis: PAT Surges 151%, Margin Expands 893 bps
Vedanta Ltd's Q2 FY27 numbers came in strong, with revenue of Rs. 26,356.00 Cr (+57.48% YoY) and PAT growth of +150.99% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | October 28, 2026 |
|---|---|
| Quarter | Q2 FY 2026-2027 |
| Revenue (Q2) | Rs. 26,356.00 Cr (+57.48% YoY) |
| PAT (Q2) | Rs. 6,202.00 Cr (+150.99% YoY) |
| EBITDA margin | 37.71% (+893 bps YoY) |
| EPS (Q2) | Rs. 9.35 (+157.58% YoY) |
| Market cap | Rs. 91,835.48 Cr |
| CMP | Rs. 234.85 |
Quarter Snapshot
Post-demerger continuing operations delivered 57.48% YoY revenue growth with EBITDA margin up 893 bps to 37.71% and PAT up 150.99% to Rs.6,202 Cr, led by Zinc-Lead-Silver India at a 63.64% margin. Net debt fell Rs.4,542 Cr to Rs.3,757 Cr and a Rs.5/share interim dividend was approved, though the copper margin bridge to the guided ≥5% FY27 target remains unmet at 0.86% and minorities absorbed 41.15% of PAT.
Key Investment Insights
Key Positives
- Continuing revenue grew 57.48% YoY to Rs.26,356 Cr and 8.89% QoQ
- PAT from continuing operations of Rs.6,202 Cr grew 150.99% YoY; basic continuing EPS Rs.9.35 vs Rs.3.63
- EBITDA margin expanded to 37.71% from 28.78% YoY (+893 bps) and 34.99% QoQ
- Zinc-Lead-Silver India EBITDA of Rs.9,243 Cr at 63.64% margin, +108.46% YoY
- Zinc International EBITDA rebounded to Rs.550 Cr from Rs.250 Cr QoQ, margin 31.79% vs 17.93%
- Copper segment turned EBITDA-positive at Rs.80 Cr vs (Rs.13) Cr YoY
- Net debt fell Rs.4,542 Cr QoQ to Rs.3,757 Cr; debt-equity 1.15 vs 1.42; DSCR 4.87 vs 2.52
- H1 FCF of Rs.7,849 Cr (CFO Rs.14,046 Cr less capex Rs.6,197 Cr); Rs.5/share interim dividend approved October 8, 2026
Risk Factors
- Copper segment EBITDA margin of 0.86% remains far below the guided ≥5% FY27 level amid the TC/RC squeeze
- NCI absorbed 41.15% of consolidated PAT (Rs.2,552 Cr), limiting earnings attributable to owners (Rs.3,650 Cr, down 33.31% QoQ)
- Inventory build of Rs.671 Cr in P&L and Rs.1,621 Cr on balance sheet since March is absorbing working cash
- Others segment EBITDA halved QoQ to Rs.65 Cr with margin erosion to 9.15% from 18.21%
- Standalone entity reported a loss before tax of Rs.218 Cr and PAT of Rs.170 Cr, dependent on subsidiary dividends
- Auditor emphasis of matter on regulatory investigations including an ED FEMA search in June 2026
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Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.