Shares of National Aluminium Company Ltd (NALCO) surged as much as 7% to touch a fresh record high of Rs 352, extending their rally for a fourth straight trading session. With the latest move, the stock has climbed 12% over the past four days.
The surge comes after aluminium prices in global markets rose 2% to their highest level in over three years, with LME prices breaching the $3,000-per-tonne mark to trade at $3,082. The rally has been driven by tight supply conditions, as a cap on smelting capacity in China and production constraints in Europe due to elevated electricity costs have weighed on global inventories. At the same time, demand prospects remain strong, supported by sustained requirements from the construction and renewable energy sectors, Bloomberg said in a note.
Last month, CNBC TV-18 reported that Brijendra Pratak Singh, MD of NALCO, said: The global aluminium market is expected to move into a supply deficit in 2026 and 2027 as demand continues to rise across multiple sectors. “The demands are increasing from the EV sector, construction sector, power sector, and now huge data centres are coming.
Nalco’s September-quarter net profit climbed 36.7% year-on-year to Rs 1,430 crore, up from Rs 1,046 crore in the same period last year, driven by higher realisations and improved operating efficiency. Revenue rose 31.5% to Rs 4,292 crore from Rs 4,001 crore a year earlier.
Earnings before interest, tax, depreciation and amortisation (EBITDA) stood at Rs 1,932.9 crore, marking a 24.8% rise from a year ago. Operating margins expanded to 45% from 38.7%, underscoring stronger pricing power and cost discipline.
In a recent note following its Q2 earnings, Axis Securities highlighted that NALCO’s timely expansion and ramp-up of the 5th stream Alumina refinery, with a planned capacity addition of 1 million tonnes per annum (MTPA) by FY27, will be a key growth driver. The capital expenditure (capex) for this project has already seen cost overruns. Furthermore, NALCO has outlined a capex plan of Rs 30,000 crore for its 0.5 MTPA smelter and 1,080 MW captive power plant (CPP), with capex spending expected to increase from FY28.
At about 1:15 am, shares of the company were trading at Rs 350, higher by 6% from the last close on the NSE. In 2025, NALCO shares gave almost 50% returns.
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Curated by David Kim
