Latest news with #Novelis'
India Gazette
3 days ago
- Business
- India Gazette
"We look to invest further in the US going forward": Kumar Mangalam Birla
New Delhi [India], June 3 (ANI): Kumar Mangalam Birla, Chairperson of the Aditya Birla Group, on Tuesday expressed optimism regarding more investments in the United States. Speaking with ANI, on the sidelines of the US-India strategic partnership forum, Birla said, 'We have a cumulative investment of about 15 billion dollars here in the US. We are by far the largest investor from India in the US. Ours has been a very good experience. We've been here for about 16 years, and we look to invest further going forward'.Birla also highlighted Novelis' (the wholly owned US unit of Aditya Birla Group company Hindalco Industries) investment in a greenfield low-carbon aluminium recycling and rolling plant in Bay Minette, Alabama, USA. The aim of this project is to support the strong demand for aluminium beverage packaging and automotive talking to ANI, he also mentioned, 'We have an ongoing greenfield project in Alabama, which is an investment of 4 billion dollars. That is the largest greenfield project we have ever invested anywhere in the world.' Following US Secretary of Commerce Howard Lutnick's speech, Birla said that Lutnick was 'very positive' about the India-US equation and the future of the two Secretary of Commerce, Howard Lutnick, expressed optimism about a potential trade deal between the United States and India, highlighting the strong relationship between the two countries. In a video clip posted on X from the event, Lutnick said, 'I spoke at the U.S.-India Strategic Partnership Forum Annual Leadership Summit tonight. We have a great relationship between our countries. I'm optimistic for a trade deal soon that will benefit both nations.'A few days back, the United States announced the expansion of its security partnerships with India through robust military exercises while emphasising the amplification of its cooperation within the QUAD and other multilateral frameworks. (ANI)
Mint
3 days ago
- Business
- Mint
'We look to invest further in the US going forward': Kumar Mangalam Birla
ANI Published 3 Jun 2025, 10:40 AM IST New Delhi [India], : Kumar Mangalam Birla, Chairperson of the Aditya Birla Group, on Tuesday expressed optimism regarding more investments in the United States. Speaking with ANI, on the sidelines of the US-India strategic partnership forum, Birla said, "We have a cumulative investment of about 15 billion dollars here in the US. We are by far the largest investor from India in the US. Ours has been a very good experience. We've been here for about 16 years, and we look to invest further going forward".Birla also highlighted Novelis' investment in a greenfield low-carbon aluminium recycling and rolling plant in Bay Minette, Alabama, USA. The aim of this project is to support the strong demand for aluminium beverage packaging and automotive talking to ANI, he also mentioned, "We have an ongoing greenfield project in Alabama, which is an investment of 4 billion dollars. That is the largest greenfield project we have ever invested anywhere in the world." Following US Secretary of Commerce Howard Lutnick's speech, Birla said that Lutnick was "very positive" about the India-US equation and the future of the two Secretary of Commerce, Howard Lutnick, expressed optimism about a potential trade deal between the United States and India, highlighting the strong relationship between the two countries. In a video clip posted on X from the event, Lutnick said, "I spoke at the U.S.-India Strategic Partnership Forum Annual Leadership Summit tonight. We have a great relationship between our countries. I'm optimistic for a trade deal soon that will benefit both nations."A few days back, the United States announced the expansion of its security partnerships with India through robust military exercises while emphasising the amplification of its cooperation within the QUAD and other multilateral frameworks. This article was generated from an automated news agency feed without modifications to text.
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Business Standard
20-05-2025
- Business
- Business Standard
₹8,000 crore India capex on cards for FY26: Hindalco's Satish Pai
Hindalco Industries, the metal flagship of Aditya Birla Group, posted a 66.4 per cent year-on-year jump in consolidated net profit to ₹5,283 crore for the quarter ended March 2025, buoyed up by easing input costs and strong performance in its India operations. Its Managing Director Satish Pai, in conversation with Roshni Shekhar and Dev Chatterjee in Mumbai, talks about the company's capital expenditure (capex) and the listing plans of Hindalco's US-based subsidiary, Novelis. Edited excerpts: Hindalco ended the January–March quarter (Q4) with better-than-expected results. What drove the company's profitability? Our strong upstream business remains a key contributor, but the diversified product mix is now adding sizeable value. We have specialty alumina, downstream aluminium, downstream copper, and even electric vehicle (EV) battery frame production — 10,000 units were just delivered in Chakan. In Q4, upstream performance was strong, and downstream growth layered on top of that. Looking ahead to 2025–26, we'll be commissioning a 160-kilotonne expansion in Odisha, fully wrapping up the Silvassa plant this year, and completing projects like the copper inner grooved tube plant in Baroda and the aluminium air-conditioning refill plant in Taloja. These value-added products will further enhance our results. With the stock markets turning around, what is the status of Novelis' initial public offering (IPO)? The current focus for Novelis is to complete its existing project and get it commissioned. We also aim to consistently achieve performance levels of $500 per tonne. Once we meet these two goals, we will consider moving ahead with the IPO. How will the US tariffs imposed by the Donald Trump administration impact Hindalco and Novelis' global operations? There's nothing new to add since the last update, as the tariff situation remains uncertain. For Hindalco India, there's no impact. As for Novelis, the impact is relatively neutral. However, we were hoping for a resolution between the US and Canada, especially since our Canadian plant exports about 80,000 tonnes of products to the US. The continued Canadian tariffs pose a potential negative if not resolved soon. What are Hindalco's capex plans in India and overseas? In India, we plan to spend around ₹8,000 crore in the ongoing financial year (2025–26). For Novelis, this will be a peak capex year with around $2.4 billion, mainly for the Bay Minette project. We also have investments lined up for upstream projects — alumina refinery, copper recycling, aluminium smelter expansion, and copper smelter — with a total investment plan of around ₹45,000 crore in these areas over the next few years. How is the demand outlook for Hindalco's products in India? Demand is strong across all segments. We see robust demand in sectors like industrial, electrification, and packaging. In the automotive sector, our focus is primarily on EVs, which are also performing well.
Mint
20-05-2025
- Business
- Mint
Hindalco's India performance topped out, bets on Novelis as it caps a record FY25
Mumbai: Elevated aluminium and copper prices drove Hindalco Industries Ltd's FY25 revenue and profit to a record high, more than offsetting the tepid performance of its US-based subsidiary Novelis, which battled high input costs. The record performance has also set the performance bar too high for the company to repeat in FY26. A moderation in metal prices could temper the company's performance in the new fiscal. But this will likely be offset by an improvement in Novelis' performance, said Satish Pai, the managing director of Hindalco. 'Between aluminium and copper, I see FY26 to be a reasonably good year. Whether it is as good as FY25, of course, depends on how the macros play out,' Pai said in an interview on Tuesday. Novelis' performance will improve as the spreads on aluminium scrap, a key input, have bottomed out and are improving now, he said. The only uncertainty for Novelis remains US' 25% tariffs on aluminium imports from Canada. Novelis ships aluminium from Canada to the US for further processing. If the two neighbours don't reach a trade deal, it could dent Novelis' margins, Pai said. The company reported a consolidated profit of ₹ 16,002 crore for the year, its highest-ever and 58% more than the previous year. Revenue grew by a tenth to ₹ 2.38 trillion. Earnings before interest, tax, depreciation and amortization (Ebitda) grew 38% year-on-year to ₹ 35,496 crore. Among business segments, its aluminium upstream business, which produces aluminium from ore, reported the highest growth at 78%, overtaking its cash cow Novelis. The segment reported an Ebitda of ₹ 16,262 crore compared to ₹ 15,242 crore for Novelis during FY25. Novelis' Ebitda was 2% lower year-on-year. Other business segments include copper and aluminium downstream, which produces value-added grades of the metal. Both the segments reported a 16% growth in Ebitda to ₹ 3,025 crore and ₹ 633 crore, respectively. The performance of the company's copper smelting business in India is likely to dip in FY26, Pai said, as treatment and refinement charges (TC/RC) for the metal have gone down sharply. TC/RC is the discount paid to smelters like Hindalco for processing copper concentrate into refined metal. Aluminium metal price on the London Metal Exchange (LME) has moderated slightly from the elevated levels of about ₹ 2,600 per tonne seen during Q4FY25. Pai expects the price to hover between $2,300 and $2,600 in the new fiscal. What will help preserve the margins in the new fiscal will be the company's upcoming Chakla coal mine in Jharkhand, Pai said, which is expected to become operational in Q1FY26. The company on Tuesday also announced the acquisition of Bandha coal mine in Madhya Pradesh from Essel Mining & Industries Ltd, which is a fellow Aditya Birla Group company. The mine with 197 million tonnes of reserves and 45 years of lease life will be acquired for ₹ 48 lakh. Hindalco will also assume ₹ 1,131 crore net debt associated with the mine. Hindalco ended FY25 with a net debt of ₹ 35,332 crore compared with ₹ 31,536 crore at the end of FY24. The increase in debt was largely due to investments made in the US for Novelis' under-construction rolling and recycling facility at Bay Minette. The company's net debt-to-Ebitda ratio improved to 1.06 from 1.21 in March 2024. The leverage ratio is, however, expected to increase as Hindalco goes on a ₹ 45,000-crore capex spree over the next three years in its upstream aluminium business in India. The company is targeting consolidated net debt-to-Ebitda of 2, with the ratio ranging 1-1.5 in India and about 3.5 at Novelis. Shares ofHindalco Industries closed 0.71% higher on the BSE on Tuesday at ₹ 662.7 compared to a 1.06% fall in the benchmark Sensex.
Forbes
08-04-2025
- Business
- Forbes
Tech Chief Regina Salazar Is Driving Digital Innovation At Novelis
Novelis, a global leader in aluminum recycling and rolled product manufacturing, plays a critical role across a range of industries including automotive, aerospace, beverage packaging and specialties. With approximately $17 billion in annual revenue and 33 manufacturing facilities across nine countries, Novelis is deeply committed to sustainability and the circular economy. Novelis' digital journey has been guided by Regina Salazar, Chief Digital and Information Officer. In her more than three and a half years in the role, Salazar has led the modernization of IT operations and established a transformative digital strategy, all while preparing the organization for a future defined by automation, data and AI. Integrating Global IT and Digital Strategies As CDIO, Salazar's role spans the full breadth of technology, from infrastructure and cybersecurity to digital innovation and analytics. "We are responsible for all that Novelis needs in terms of technology," Salazar said. She leads a federated IT model where four regional leaders align with regional business presidents to ensure that local strategies are supported. At the same time, six global capability teams handle enterprise architecture, cybersecurity, data analytics and more, enabling consistent services across regions. This model balances regional agility with global coordination, fostering alignment across Novelis' diverse operations. A Foundation for Transformation Upon joining Novelis, Salazar focused on improving the cohesion between regional and global strategies and unifying traditional IT with emerging digital functions. She introduced a business relationship model to ensure every business leader had an IT partner. She also built a stronger cultural foundation by formalizing enterprise architecture, establishing a modern project management office and enhancing the cybersecurity posture. "We had to integrate the digital and IT teams to deliver capabilities for the company, period," Salazar explained. These initiatives laid the groundwork for a three-year transformation journey, building a strong, integrated team prepared to drive enterprise-wide change. Building a Scalable Data Strategy and Leveraging AI Responsibly Recognizing the untapped potential of Novelis' data-rich environment, Salazar and her team expanded a preexisting initiative, the Plant of the Future. This methodology pairs IT and business experts to identify and prioritize high-value use cases, pilot them and then roll them out across all plants. In 2021, Novelis launched Vision 3x30, a strategic framework with ambitious goals for 2030. Becoming a data-driven organization is a key enabler, and Salazar's team is advancing this through three pillars: The result? AI-driven insights that have boosted EBITDA by 3% to 4%. Novelis CIO Regina Salazar Novelis Salazar and team have parlayed the data strategy into AI opportunity. AI is transforming both safety and productivity at Novelis. In manufacturing, computer vision systems detect potential hazards, alert workers and collect data for broader safety analysis. "We are using computer vision and wearables to improve safety on the shop floor," Salazar shared by way of example. AI-powered predictive maintenance reduces downtime by identifying issues before they happen. In production, vision-based systems automate precision cutting, reducing waste and increasing throughput. These innovations represent not just technology improvements but critical advancements in quality, safety and cost control. Novelis is exploring generative AI across three fronts: evaluating existing vendor tools, experimenting with enterprise-wide platforms like Microsoft Copilot and Moveworks and developing a secure internal LLM using Azure. These efforts are streamlining tasks across help desks, HR and business analysis. "We're just scratching the surface," Salazar said of generative AI. She views generative AI as a powerful co-pilot, enabling users to work more efficiently and solve problems faster, while recognizing the importance of human oversight and responsible innovation. Innovating the Factory of the Future Novelis' massive new facility in Alabama exemplifies the company's forward-looking approach in a more traditional sense. Designed to support both beverage packaging and automotive markets, the plant incorporates renewable energy, recycled water and zero waste processes. On the digital side, Salazar's team built a simulation model to optimize material flow and layout. "This new plant adds capacity for 15 billion more cans per year and brings all our latest technologies together," Salazar noted with pride. The facility also marks the debut of a new manufacturing execution system, replacing legacy systems and setting a template for other plants worldwide. Robotics for Safety and Inspection Novelis is piloting robotics in two key areas: RPA for back-office automation and mobile inspection robots in manufacturing. "We use robotic dogs for inspections in dangerous, confined spaces," Salazar shared. The robotic dogs enhance safety by entering areas unsafe for humans, collecting more data more frequently and enabling real-time analysis. This has increased both the quality and frequency of inspections and demonstrates how robotics can support efficiency and safety in industrial environments. Whether in automating routine tasks, enhancing safety, improving quality or enabling sustainability, Novelis is reimagining how technology supports its mission. With a strong foundation in place and an innovation mindset, Salazar and her team are shaping the next chapter of industrial transformation. Peter High is President of Metis Strategy, a business and IT advisory firm. He has written three bestselling books, including his latest Getting to Nimble. He also moderates the Technovation podcast series and speaks at conferences around the world. Follow him on Twitter @PeterAHigh.
