Mumbai, November 4, 2025 — Hindalco Industries Ltd shares came under focus following the results of its wholly-owned U.S. subsidiary, Novelis. While Novelis reported a net income rise to USD 163 million, its core net income excluding special items fell 37% year-on-year to USD 113 million, and adjusted EBITDA dropped 9% to USD 422 million. The results were impacted by higher aluminium scrap prices, tariff challenges, and a fire at its Oswego, New York plant expected to affect cash flows by USD 550‑650 million.
Brokerages responded by downgrading Hindalco’s rating, citing a softer earnings outlook and risks around production recovery at Oswego. Analysts also revised target prices downward, highlighting concerns about near-term headwinds, elevated capex, and the company’s ability to maintain cost-efficiency targets. The development has raised questions for investors about the speed of Novelis’ recovery and its impact on Hindalco’s overall performance.
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