ContextTalking point
Higher returns, lower valuation
ROE of 41.0% beats the metals and mining median (21.9%) while P/B (1.44×) sits below it (2.16×).
Importance 62 / 95 · valuation
Vedanta Limited · Research view
Vedanta Limited
NSE: VEDLBSE: 500295ISIN INE205A01025Face value ₹1consolidated
₹252
−2.74% · 2026-10-01 · 52-wk ₹252–₹788
Financials to FY2026 · 5 years of history · prices to 2026-10-01consolidatedstandalone
Section 02 · Synthesis
What stands out?
The strongest observations the engine found, ranked. Every line is generated from the filed numbers by a fixed rule — no opinion, no estimate.
StrengthConcernWatchContext
StrengthTalking point
Debt reduced
Total debt is down from ₹53,109 to ₹26,995 over 4 years (49.2% lower); debt-to-equity moved 0.64× → 0.39×.
Importance 61 / 95 · financial health
Context
Lower P/E than peers
Trades at 3.45× earnings — 75% below the metals and mining median of 13.79×.
Importance 56 / 95 · valuation
Strength
More profitable than peers
ROE of 41.0% is well above the metals and mining median of 21.9%.
Importance 56 / 95 · profitability
Section 03 · The company
Who is this company?
Classified by the exchange under Commodities › Metals & Mining › Diversified Metals › Diversified Metals.
- Market cap
- ₹98,493 cr
- FY2026 revenue
- ₹78,437 cr
- FY2026 net profit
- ₹25,096 cr
- Net worth
- ₹68,577 cr
- Total debt
- ₹26,995 cr
- EPS (basic)
- ₹44.58
- Listed
- NSE · BSE
- Reporting
- Ind-ASApr–Mar
Peer set used on this page: 12 metals & mining.
Section 04 · Business performance
Is the business growing?
RevenueNet profit
Strength
Over 4 years profit compounded at 1.4% a year while revenue shrank 12.3% a year — though FY2025 saw a one-off step-change of 172% (a merger, restructuring or a recovery off a low base), so the compounding is uneven.
Rule PROFIT_CAGR_VS_REVENUE_CAGR
- Revenue growth per year
- −12.3%over 4 years
- Revenue growth
- −48.7%vs last year
- Net profit growth
- +22.2%vs last year
- Change in net profit since FY22
- +6%
Revenue fell 48.7% year on year (FY2025 → FY2026).
Reported net profit grew 22.2% (FY2025 → FY2026), but pre-tax profit was ₹17,127 — an unusually low tax charge this year accounts for most of the gain, so the underlying trend is softer than the headline.
Section 05 · Recent activity
What changed recently?
Quarterly results, the trailing-twelve-months snapshot, and verified corporate actions — kept separate from each other and from the annual story above. Every figure traces to a filed number; nothing here is external news or commentary.
Strength
Q1 FY27 net profit was ₹7,918 cr, up 77.7% from ₹4,457 cr a year earlier.
Rule QTR_PROFIT_GROWTH_YOY
Concern
Q1 FY27 revenue was ₹24,205 cr, down 36.0% from ₹37,824 cr in Q1 FY26 a year earlier.
Rule QTR_REVENUE_GROWTH_YOY
Strength
Q1 FY27 net profit grew 77.7% while revenue declined 36.0% vs the same quarter last year — a gap of 113.7 percentage points.
Rule QTR_PROFIT_VS_REVENUE_GROWTH
A. Quarterly results
RevenueNet profit
| Quarter | Revenue | YoY | Net profit | YoY | Net margin |
|---|---|---|---|---|---|
| Q2 FY25 | 37,634 | — | 5,603 | — | 14.9% |
| Q3 FY25 | 39,115 | +10.1% | 4,876 | +70.0% | 12.5% |
| Q4 FY25 | 40,455 | +13.9% | 4,961 | +118.1% | 12.3% |
| Q1 FY26 | 37,824 | +5.8% | 4,457 | −12.5% | 11.8% |
| Q2 FY26 | 39,868 | +5.9% | 3,479 | −37.9% | 8.7% |
| Q3 FY26 | 23,369 | −40.3% | 7,807 | +60.1% | 33.4% |
| Q4 FY26 | 24,609 | −39.2% | 9,352 | +88.5% | 38.0% |
| Q1 FY27 | 24,205 | −36.0% | 7,918 | +77.7% | 32.7% |
B. TTM snapshot
Trailing twelve months to 30 Jun 2026 · sum of the last 4 contiguous quarters
- Revenue
- ₹1,12,051 crTTM
- EBITDA
- ₹36,371 crTTM
- EBIT
- ₹29,555 crTTM
- PBT
- ₹22,791 crTTM
- Net profit
- ₹28,556 crTTM
C. Corporate actions
30 Apr 2026DemergerSpin Off
27 Mar 2026DividendInterim Dividend - Rs. - 11.0000 — ₹11.00/share
26 Aug 2025DividendInterim Dividend - Rs. - 16.0000 — ₹16.00/share
24 Jun 2025DividendInterim Dividend - Rs. - 7.0000 — ₹7.00/share
24 Dec 2024DividendInterim Dividend - Rs. - 8.5000 — ₹8.50/share
10 Sept 2024DividendInterim Dividend - Rs. - 20.0000 — ₹20.00/share
2 Aug 2024DividendInterim Dividend - Rs. - 4.0000 — ₹4.00/share
24 May 2024DividendInterim Dividend - Rs. - 11.0000 — ₹11.00/share
27 Dec 2023DividendInterim Dividend - Rs. - 11.0000 — ₹11.00/share
30 May 2023DividendInterim Dividend - Rs. - 18.5000 — ₹18.50/share
6 Apr 2023DividendInterim Dividend - Rs. - 20.5000 — ₹20.50/share
3 Feb 2023DividendInterim Dividend - Rs. - 12.5000 — ₹12.50/share
29 Nov 2022DividendInterim Dividend - Rs. - 17.5000 — ₹17.50/share
26 Jul 2022DividendInterim Dividend - Rs. - 19.5000 — ₹19.50/share
6 May 2022DividendInterim Dividend - Rs. - 31.5000 — ₹31.50/share
9 Mar 2022DividendInterim Dividend - Rs. - 13.0000 — ₹13.00/share
17 Dec 2021DividendInterim Dividend - Rs. - 13.5000 — ₹13.50/share
8 Sept 2021DividendInterim Dividend - Rs. - 18.5000 — ₹18.50/share
28 Oct 2020DividendInterim Dividend - Rs. - 9.5000 — ₹9.50/share
5 Mar 2020DividendInterim Dividend - Rs. - 3.9000 — ₹3.90/share
13 Mar 2019DividendInterim Dividend - Rs. - 1.8500 — ₹1.85/share
6 Nov 2018DividendInterim Dividend - Rs. - 17.0000 — ₹17.00/share
20 Mar 2018DividendInterim Dividend - Rs. - 21.2000 — ₹21.20/share
11 Apr 2017DividendInterim Dividend - Rs. - 17.7000 — ₹17.70/share
7 Nov 2016DividendInterim Dividend - Rs. - 1.7500 — ₹1.75/share
Section 06 · Business performance
Is it becoming more profitable?
EBITDA marginNet margin
Strength
ROE of 41.0% is well above the metals and mining median of 21.9%.
Rule ROE_ABOVE_PEER_MEDIAN
- EBITDA margin now
- 31.5%
- 5-year range
- 25.3–35.7%
- ROE FY2026
- 41.0%
- ROCE FY2026
- 17.9%
EBITDA margin has ranged from 25.3% to 35.7% over 4 years and sits at 31.5% now.
Section 07 · Financial health
Is financial health improving?
Net worth (shareholders' funds)
Strength
Total debt is down from ₹53,109 to ₹26,995 over 4 years (49.2% lower); debt-to-equity moved 0.64× → 0.39×.
Rule DEBT_FELL_MULTIYEAR
Operating cash flowNet profit
- Total debt
- ₹26,995 cr
- Operating cash flow ÷ net profit
- 1.57×FY2026
- Free cash flow
- ₹18,747 cr
- Current ratio
- 0.77×
Operating cash flow has matched or exceeded reported profit in 5 of the last 5 profit-making years (latest 1.57×).
Debt-to-equity fell from 1.37× to 0.39× year on year.
Free cash flow has been positive in 5 of the last 5 years.
Section 08 · Relative position
How does it compare with peers?
Ranked against 12 metals & mining (FY2026, consolidated).
Revenue growth
VEDL · 10th of 10 · set median 7.5%
EBITDA margin
VEDL · 5th of 11 · set median 18.8%
Return on equity
VEDL · 3rd of 12 · set median 24.6%
P/E ratio
VEDL · 1st of 11 · set median 13.8×
Context
ROE of 41.0% beats the metals and mining median (21.9%) while P/B (1.44×) sits below it (2.16×).
Rule STRONG_RETURNS_AT_DISCOUNT
- P / E
- 3.4×TTM to Jun 26
- P / B
- 1.4×latest book
- P / S
- 0.9×TTM sales
- Earnings yield
- 29.0%TTM to Jun 26
On the trailing twelve months. Last full year: P/E 3.9× · P/S 1.2× · ROE 41.0%. TTM and full-year revenue and EBITDA differ by more than 15% — a one-off in a recent quarter is moving the trailing figure; weigh it against the full year.
Section 09 · The stock
How has the stock performed?
Long-term price performance is shown above.
- 1-year return
- −45.8%
- 3-year return
- +13.2%
- 5-year return
- −11.9%
- From 52-wk high
- −68.0%
Section 10 · Technical data
What does the technical data say?
Price-action indicators as of 2026-10-01. Secondary to the fundamentals above — included for timing context, not as a signal.
- vs 50-day avg
- Below₹269
- vs 200-day avg
- Below₹468
- RSI (14)
- 36.2neutral
- MACD histogram
- -0.6
- From 52-wk high
- −68.0%
- From 52-wk low
- 0.0%
- 30-day volatility
- 30.0%ann.
- 6-month return
- −61.2%
Section 11 · Open questions
What should I investigate further?
Observations the engine tagged watch or deteriorating — prompts for your own research, not conclusions.
- ConcernRevenue fellRevenue fell 48.7% year on year (FY2025 → FY2026).REVENUE_DECLINED_YOY · conviction 51
- WatchProfit growingReported net profit grew 22.2% (FY2025 → FY2026), but pre-tax profit was ₹17,127 — an unusually low tax charge this year accounts for most of the gain, so the underlying trend is softer than the headline.PROFIT_GREW_YOY · conviction 38
Data coverage is complete — 5 years of financials (FY2022–FY2026), full P&L, balance sheet and cash-flow statement, sector metrics fully mapped.
Section 12 · Reference
The numbers
The full statements, kept deliberately secondary. Every figure traces to a BSE Integrated Filing (inline XBRL); ratios are recomputed from the normalised facts.
| Metric | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue | 1,32,732 | 1,47,308 | 1,43,727 | 1,52,968 | 78,437 |
| Total income | 1,35,332 | 1,50,159 | 1,46,277 | 1,56,643 | 79,987 |
| EBITDA | 47,424 | 37,273 | 37,748 | 46,018 | 24,734 |
| Profit before tax | 32,964 | 20,276 | 20,363 | 26,876 | 17,127 |
| Net profit | 23,710 | 14,503 | 7,539 | 20,535 | 25,096 |
| EPS (₹) | 50.7 | 28.5 | 20.3 | 39.0 | 44.6 |
| Net worth | 82,704 | 49,427 | 42,069 | 53,753 | 68,577 |
| Total debt | 53,109 | 66,182 | 71,758 | 73,853 | 26,995 |
| Operating cash flow | 34,963 | 33,065 | 35,654 | 39,562 | 39,499 |
| Free cash flow | 24,658 | 19,411 | 19,097 | 22,848 | 18,747 |
| Ratio | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth YoY | — | 11.0 | -2.4 | 6.4 | -48.7 |
| Profit growth YoY | — | -38.8 | -48.0 | 172.4 | 22.2 |
| Profitability | |||||
| EBITDA margin % | 35.7 | 25.3 | 26.3 | 30.1 | 31.5 |
| Net margin % | 17.5 | 9.7 | 5.2 | 13.1 | 31.4 |
| Return on equity % | 28.7 | 22.0 | 16.5 | 42.9 | 41.0 |
| Return on capital % | 28.4 | 21.3 | 23.6 | 28.9 | 17.9 |
| Leverage & cash | |||||
| Debt to equity | 0.64 | 1.34 | 1.71 | 1.37 | 0.39 |
| Cash flow ÷ profit | 1.47 | 2.28 | 4.73 | 1.93 | 1.57 |
| Current ratio | 1.04 | 0.69 | 0.66 | 0.70 | 0.77 |