Hindalco Industries has laid out a multi-pronged growth strategy, with a sharp focus on sustainability, recycling, and capital investment. At its Investor Day 2025, the company detailed plans to quadruple recycling capacity by FY30 while advancing aluminium as a circular material with 75% recycled content.

Hindalco is targeting lower emissions, aiming to bring down CO2 emissions to less than 3 tonnes per tonne of flat rolled products (FRP) shipped.

Additionally, investments worth $5.19 billion are lined up to boost aluminium and copper capacity, reinforcing its position in the domestic market.

On capital allocation, the company plans to balance growth investments with shareholder returns, targeting 8-10% of free cash flows for dividends.

Novelis leads global aluminium push

Novelis, Hindalco’s US-based subsidiary and the world’s largest aluminium roller and recycler, posted net sales of $16.6 billion for the 12 months ended December 31, 2024, with an adjusted EBITDA of $1.8 billion. It is targeting an EBITDA of over $600 per tonne.

Novelis is navigating shifting scrap market dynamics and increasing investments to expand capacity. Its Bay Minette project, set for completion in the second half of CY26, is expected to capitalise on North America’s constrained aluminium supply. The company is investing heavily in projects under execution with an investment of $5 billion.

Hindalco India bets on surging domestic demand

In India, Hindalco is positioning itself to tap into rising aluminium and copper consumption, which is projected to double by FY35. The company caters to sectors that contribute 60% of India’s industrial GDP and sees significant growth opportunities in areas such as battery enclosures, aerospace, and foil production.

Hindalco is leveraging captive coal mines and renewables to keep costs competitive while expanding its value-added product offerings. A 300KT copper smelter expansion is already in motion.

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The company is pushing for long-term sustainability, setting goals such as water positivity by 2050 and net-zero emissions. Digital initiatives, including AI-driven analytics and AR/VR applications, are also being integrated into operations.

Shares of Hindalco closed at ₹664.30 on the BSE, down 2.65%, on Tuesday, April 1.