Hindustan Zinc Projects Rs 50000 Crore Pre-Capex Free Cash Flow Amid Operational Gains

New Delhi, June 24 — Vedanta Group subsidiary Hindustan Zinc Limited expects to generate approximately Rs 50000 crore in free cash flow before project capex over the next five years. This is driven by improvements in plant productivity, cost efficiency, and the growing use of captive and renewable power.

Chief Financial Officer Sandeep Modi said that production is increasing by three to four percent annually through small operational changes, while costs have been significantly reduced. In FY25, the company achieved Rs 13784 crore in pre-capex free cash flow.

The company has approved a Rs 12000 crore investment to expand its Debari facility by 250000 tonnes per year, with completion targeted in three years. Following the expansion, revenue and EBITDA are expected to rise to Rs 40000 crore and Rs 21000 crore respectively.

For FY25, Hindustan Zinc reported Rs 34083 crore in revenue and Rs 17465 crore in EBITDA, reflecting year-on-year growth of 18 percent and 28 percent. Analysts remain optimistic due to the company’s low-cost operations, high-grade captive mines, and increasing revenue from silver.