Why NALCO Share Price is Rising

The metal sector in India is a critical part of the country's economy. It supports industries like construction, automotive, and infrastructure.

Prices of metals tend to often experiences fluctuations due to changes in global demand, raw material prices, and government policies.

NALCO, or National Aluminium Company, is a major Indian company that produces aluminium and other metals. It's a government-owned PSU under the Ministry of Mines, playing a key role in India's metal production and global market presence.

Recently, NALCO's share price has been in the spotlight. The stock witnessed a jump of 10% today.

Here's a closer look at the factors driving this impressive surge.

Q2 FY26 Results

National Aluminium Company shares rallied, as investors cheered the company's stellar Q2 FY26 performance.

In the second quarter of FY26, the company reported a 7.3% year-over-year (YoY) jump in consolidated revenue of Rs 42,923 million (m), compared to Rs 40,015 in m the same period last year, showing consistent demand and efficient operations.

One of the biggest highlights was the EBITDA margin, which expanded sharply to 45.03%, up from 38.73% a year ago, reflecting controlled costs effectively while benefiting from better realizations in the aluminium market.

NALCO reported an impressive 36.7% jump in net profit of Rs 14,330 m for the quarter ended September 2025, up from Rs 10,662 m from the same period last year.

The growth was driven by steady aluminium prices and consistent operational performance.

According to the company, it recorded its highest-ever alumina hydrate production of 11,53,000 MT and aluminium cast metal production of 2,34,148 MT in H1 FY 2025-26.

Similarly, on the sales front, NALCO achieved its highest-ever alumina sales of 6,99,913 MT in H1.

The company also recorded the highest-ever cumulative domestic metal sales of 2,25,675 MT in H1 FY 2025-26.

The company's Q2 FY26 performance was strong, driven by operational efficiencies, cost optimization measures, and favourable market conditions, including higher aluminium prices and growing demand from the infrastructure and automotive sectors.

This could be the main reason for the share price to rise.

What Next?

Moving forward, NALCO company's board has approved the payment of the first interim dividend of Rs 4 per share. The record date for the dividend has been set as 14 November 2025, and the payment will be made on or before 6 December 2025.

NALCO plans to invest Rs 300 billion (bn) to set up a new aluminium smelter and a coal-based plant over the next five years. An amount of Rs 180 bn has been earmarked for the smelter and Rs 120 m will be spent on the thermal power plant.

NALCO also plans to set up a 0.5 m tonne aluminium smelter near its existing plant. This smelter is expected to be completed by FY30. The project will include a 1,200-megawatt captive power plant.

The company is expanding its production capacity, targeting 16,000 tonnes of wire rods annually, boosting rolled products capacity to 40,000 tonnes, and entering the foil production segment to diversify its portfolio.

It also plans to increase green power in its portfolio, targeting 15-20% by 2030.

With strong financials, bold expansion plans, and a clear focus on sustainability, NALCO is well-positioned for steady growth and long-term value creation.

How NALCO Shares Have Performed Recently

In the past month, shares of NALCO surged 8.8%, extending its monthly rally to 14.8%.

Over the past six months, the share price has surged 52.6%.

The stock touched its 52-week high of Rs 264.3 on 10 November 2025 and a 52-week low of Rs 140 on 7 April 2025.

About NALCO

Incorporated in 1981, National Aluminium Company, abbreviated as NALCO, is a government company that operates in mining, metals, and power. It's under the ownership of the ministry of mines, government of India.

It's the country's largest integrated bauxite-alumina-aluminium-power complex, with bauxite mining, alumina refining, aluminium smelting, and casting.

The company has already commissioned more than 198 MW of wind power plants, with another 50 MW on the way, making it one of the largest producers of renewable energy among PSUs.

To know more about the company, check out NALCO company fact sheet and quarterly results.

You can also compare NALCO with its peers.

NALCO vs Hind Aluminium

NALCO vs Maan Aluminium

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Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

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