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NALCO's Profit Surge Fuels Record Dividend Payouts
19 Oct
Summary
- NALCO's net profit nearly doubled to ₹5,816.8 crore between FY22 and FY26.
- Dividend per share increased 76.9% from ₹6.5 in FY22 to ₹11.5 in FY26.
- Company is expanding alumina capacity and exploring lithium in Argentina.
National Aluminium Company Limited (NALCO) has demonstrated robust financial performance, with its net profit nearly doubling to ₹5,816.8 crore between FY22 and FY26. This surge in profitability has led to a substantial increase in dividend per share, which rose by 76.9% from ₹6.5 in FY22 to ₹11.5 in FY26. The company maintained a dividend yield of 3.5% for FY26, distributing ₹2,112.1 crore.
NALCO operates a significant integrated Bauxite-Alumina-Aluminium-Power complex, contributing to its strong revenue of ₹17,843.05 crore in FY26. With a debt-free balance sheet and strong cash flows, the company generated ₹6,438.0 crore from operating activities in FY26. NALCO is also expanding its alumina refinery capacity and venturing into lithium exploration in Argentina through a joint venture.
Supported by DIPAM guidelines mandating a minimum 30% profit after tax payout, NALCO's dividends are a priority. Future growth is expected from increasing domestic aluminium demand and capacity expansion, with a ₹25,000 crore capex planned by FY31, funded internally. Recent Q1FY27 results show an 88.2% net profit jump, further strengthening the positive outlook.
