The company disclosed in a regulatory filing that the incident, which occurred on 16 September 2025, may also result in an adjusted EBITDA hit of $100-150 million for the fiscal year. Hindalco said it has recognized $21 million in related charges in Q2 FY26, though it expects 70-80% of the losses to be recoverable through insurance in future periods.
According to the filing, the fire was primarily localized to the plant’s hot mill area, and no injuries were reported. Teams have been working around the clock to restore operations quickly and safely while leveraging alternative resources to minimize customer disruption. Based on current progress, Novelis expects to restart the hot mill by December 2025, followed by a 4-6 week production ramp-up.
The Oswego facility, a key site for Novelis’ North American operations, produces rolled aluminum used in automotive and beverage packaging applications.
Despite insurance coverage mitigating long-term damage, the near-term operational disruption and cash flow strain weighed heavily on investor sentiment, prompting sharp selling in the stock.
Meanwhile, Novelis Inc. reported its second-quarter results for FY26 on 4 November 2025. The company posted net sales of $4.7 billion, up 10% year-on-year, primarily driven by higher average aluminum prices. Net income attributable to the common shareholder stood at $163 million, marking a 27% YoY increase, while net income excluding special items came in at $113 million, down 37% YoY.
Adjusted EBITDA for the quarter was $422 million, a 9% decline from the same period last year, reflecting the impact of operational disruptions at its Oswego plant. Rolled product shipments remained steady at 941 kilotonnes, in line with the prior-year quarter, while adjusted EBITDA per tonne shipped slipped 8% YoY to $448.
Hindalco Industries is the metals flagship company of the Aditya Birla Group. Hindalco is the world’s largest aluminium company by revenues, and the world’s second largest Copper rods manufacturer (outside China). It operates across the value chain, from bauxite mining, alumina refining, coal mining, captive power plants and aluminium smelting to downstream rolling, extrusions, and foils. Along with its subsidiary Novelis, Hindalco is the global leader in flat rolled products and the world’s largest recycler of aluminium.
The board of Hindalco Industries will consider Q2 results on 7 November 2025. The company's consolidated net profit rose 30% year-on-year to Rs 4,004 crore in Q1 FY26 from Rs 3,074 crore in Q1 FY25. Revenue from operations grew 13% to Rs 64,232 crore from Rs 57,013 crore a year earlier.