Overview
- The company now expects a negative free-cash-flow impact of US$550–650 million and an adjusted EBITDA shortfall of US$100–150 million in FY26.
- The September 16 hot-mill blaze at Oswego caused major production disruption but no casualties.
- Restoration is underway, with a hot-mill restart aimed for end-December and a 4–6 week ramp-up to normal output.
- Hindalco has recognized US$21 million in Q2 FY26 charges tied to recovery work, with further costs subject to insurance recoveries.
- Brokerages including Nuvama and Axis Capital downgraded the stock and trimmed targets after Novelis reported Q2 net sales of US$4.7 billion and adjusted EBITDA of US$422 million, pressured by tariffs and higher scrap costs.