Lloyds Metals And Energy Ltd (NSE: LLOYDSME) Q3 2026 Earnings Call dated Feb. 04, 2026
Corporate Participants:
Unidentified Speaker
Rajesh Gupta — Managing Director
Riyaz Shaikh — Chief Financial Officer
Analysts:
Unidentified Participant
Parthiv Jhonsa — Analyst
Jashandeep Chadha — Analyst
Prateek Singh — Analyst
Vikash Singh — Analyst
Vedant Sarda — Analyst
Harsh Shah — Analyst
Vinit Thakur — Analyst
Shubham Harne — Analyst
Karthik Srinivas — Analyst
Rushabh Dhruv — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to Lloyd’s Metals and Energy Ltd. Q3FY26 earnings conference call hosted by Anand Rati Share and Stock Brokers Limited. As a reminder, all participants line will be in listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded.
I now hand the conference over to Mr. Parthiv Johnsa from Anandrati Share and Stock Brokers Limited. Thank you. And over to you.
Parthiv Jhonsa — Analyst
Thank you Ikra. Good evening everyone and thank you for joining us today. We at Anandrati are pleased to host Lloyd’s Metal and Energy Limited Q3 and 9 month FY26 earnings conference call. We have with us today from the management, Mr. Rajesh Gupta Sir, Managing Director, Mr. Riaz Sheikh, CFO and Mr. Chintan Mehta, CIO.
Without further ado, I would now like to invite Mr. Rajesh Gupta sir to initiate the proceedings for the call which would then be followed by question and answer session. Thank you. And over to you sir.
Rajesh Gupta — Managing Director
Good evening everyone and a warm and welcome to all the participants. Thank you Parthiv and Anand Rathi for hosting this call. We truly appreciate the interest and time from all our investors, analysts and stakeholders. Let me start with the headline numbers before we go to the operative narrative where we have got the highest 11,000 crore rupees. We have crossed in consolidated revenue which is a very very significant milestone for us. And as you might have seen the presentation we the EBITDA and the PAT match that I would like to express that this current top line, current bottom line was our top line around two to three years back.
And we hope to achieve the same in the future as well. I will take a small deviation from my usual remarks today on the fellow side and start with copper. Copper as we know is a new goal for the new age economy. Structurally the world is entering a phase where copper demand will remain strong for decades while supply will remain constrained. And this is where we believe our entry timing is right. The copper project in the DRC Democratic Republic of Congo in the Katanga area will mark a very important milestone in our history. When we expanded our operations in Gachiroli, the region was considered difficult and impossible and we ourselves had failed in execution.
Where we have now learnt a lot. The market as well as the local communities have appreciated the efforts that we have put in in developing the Economy and therefore our business. And we generally believe that over time the same narrative will emerge for Congo Katanga as well as other parts of the world. For this I would also like to take a moment to acknowledge the leader of the Congo team, Mr. Surya Narayan, who is the leader and the director of the Congo team. Projects of this nature require not just capital but deep operational leadership which we already have with Mr.
Surya as well as other core colleagues from other parts of the operations. Now let me come back to the Ferris operations. Execution continues at a breathtaking space. Multiple projects are progressing simultaneously and most importantly on schedule. The second pellet plant is now commissioned, expected to be commissioned in QT Q2FY27 and the 1.2 million ton wire rod mill by Q4FY27. While operating our Parrot plant, we are seeing opportunity to unlock talent, latent capacities and optimizing similarly for parent plant number two. We will increase the capacities of both these plants by 10 million tons. Up to 10 million tonnes from earlier 8 million tons.
These projects will improve our value added mix and enhance margin stability. Logistics remains one of our most critical pillars of cost leadership. Our first 85 kilometer pipeline is running smoothly and has led us to plan our second study pipeline from Hedri to Chandrapur. The key change is the introduction of a stockyard in Chandrapur to move beneficiated or also through the pipeline route. This will give us advantage for direct access to railways near Chandrapur and also obviously a saving of 850 rupees for the sale material and around further 250 rupees, that is around 1250 rupees for the material that will be used for the pellet plant in Chandraborg.
We are by this removing the inefficiency of the mine which doesn’t have a rail head. Details of this plan are covered in the presentation. Coming to operational performance, iron ore dispatches have grown meaningfully supported by the slurry pipeline which is working very well. Very strong operational discipline and strong execution. Pellet plants we have achieved within 3, 4 months of commissioning optimal utilization and are now looking at debottlenecking it. DRI plants, both of which are commissioned and the power plants are operating at optimized levels and contributing steadily in a very difficult environment of dri. On the demand side, both iron ore and pentlets have witnessed strong demand in the domestic as well as international markets.
As product has been very, very well accepted. We expect the buoyancy of the market to continue supported by infrastructure, steel demand and of course the economic growth in the country. Let me spend a few moments of time on the MoU with Tata seat. We have signed a non binding MoU with Tata for multiple collaboration to strengthen the ecosystem in Kanchivoli area in the eastern coast eastern belt of India. And of course we have also signed a shareholder agreement for BRPL pellet plant along with the conversion agreement which gives us a steady cash flow in brpl.
To summarize, we remain very buoyant on our ferrous operations. Iron ore volumes are expected in line with the EC to grow in Q4 as well as FY27 and value addition plans continue and FY27 will mark our formal entry into steel making. And lastly but not the least, copper will act as a strong growth engine over the medium term.
Now I hand over the call to Riyazi and Nareviji who will take you through the detailed figures.
Riyaz Shaikh — Chief Financial Officer
Thank you Rajeshi. Good evening everyone. I’ll start with a quote that we strongly relate to at Lloyd’s Metals. As Satya Nadella says, growth is not just about size, it’s about mindset, learning and execution. This philosophy resonates very well with what we are seeing in our business today. Scaling responsibly, improving structurally and executing with discipline. With that context I will take you through the stand alone financials and operating performance for quarter three and the nine months ended FY26 focusing on numbers, margin and CapEx. This has been a very strong quarter and nine month period for us on a standalone basis.
In fact quarter 3 and 9 month FY26 are the best we have seen so far in terms of revenue, profitability and margins. Quarter 3 FY26 stand alone the total income came in at about 3875 crores up 129% year on year. EBITDA was 1317 crore which is a 137% year on year increase. PAT stood at 889 crores up 128% year on year. For the 9 month FY26 standalone the total income was 8859 crores up 59% year on year EBITDA came in at 2994 crores, a 74% year on year growth. PAT was 2129 crore up 71% year on year.
With regards to the margins, margins have remained very healthy and stable. Quarter three EBITDA margin was about 34%. Nine months EBITDA margin stood at roughly 33.8% which is almost 280 basis point higher year on year this improvement is not one off, it’s structural and is coming from higher share of value added products especially pellets. Benefit of the slurry pipeline which has started flowing into the P and L. Better utilization across mining pellet and DRI offerings. Operational Highlights on the operational sides iron ore production was 5.49 million tonnes in quarter three and 12.87 million tonnes for nine months.
FY26 dispatches were largely in line which is 4.1 million tonnes in quarter three and 10.1 million tonnes for the nine months. EBITDA stood at 1825 per tonne in quarter three and 1951 per tonne for nine months. FY26 pellets have been a key positive this year. Pellets production was 1.14 million tonnes in quarter three and 1.95 million tonnes in nine months. FY26 what’s encouraging is that this run date was achieved within just three to four months of commissioning. Realization in quarter three was about 10,289 per tonne and whereas EBITDA per ton was roughly 4,535. Supported by captive iron ore slurry based evacuation and strong demand.
Domestic demand DRI volumes were around 0.12 million tonnes in quarter three and 0.29 million tonnes for the nine months. DRI expansion was commissioned during quarter three and operations are now stabilizing. Value Added Mix Value added products are now forming a meaningful part of our revenue mix. For nine months FY26 value added products accounted for roughly 35% of standalone revenues. This mix shift is central to improving margin stability, reducing volatility and enhancing overall return metrics. Now coming to the CAPEX update on a standalone basis, let me quickly touch upon capex. The standalone capex during 91 FY26 was about 4236 crores.
This was largely towards Pellet Plant 2 DRI expansion. The 1.2 million ton steel plant at Chandrapur, the first module of the beneficiation plant. Importantly, CAPEX execution is on track and within approved budgets. Touching upon the balance sheet and cash flow. Despite the high level of CapEx, the balance sheet remains comfortable. Strong EBITDA generation has supported internal accrual led funding and controlled leverage. Working capital continues to be well managed helped by faster dispatch cycles and healthy demand conditions. Looking ahead the Outlook Looking ahead, iron ore volume should remain strong in quarter four FY26 we aim to exit FY26 with 20 plus million tonnes.
Volume on ore pellet operation will continue to run at optimal utilization. DRI contribution will improve further as operations stabilize. Overall, we expect margins to remain robust supported by a value added mix and ongoing logistic efficiencies. To sum up, standalone performance in Quarter 3 and 9.1 FY26 has been very strong. Margins are holding up well on structural basis. CAPEX execution remains disciplined.
With that I’ll hand it to Naridi Ji for Triveni performance.
Unidentified Speaker
Thank you Rajeshi and Riyadhji. Good evening everyone. Trived Growth has always been about disciplined execution, consistency and doing the fundamentals right day in and day out. Let me take you through the Triveni’s performance for Q3 and the nine months ending FY26. From a financial perspective, this has been a strong and improving period for Triviani. In Q3FY26 the total income stood at about 2,200 crore with EBITDA of roughly 550 crore translating into an EBITDA margin of close to 25% for the nine months, revenue were around 5,480 crores with EBITDA of approximately 1080 crores and margin of about 20%.
The improvement in margin reflects better operating leverage, higher equipment utilization and continued focus on cost discipline across various projects. Operationally, our coal mining operations continue to perform exceptionally well. At PB west we achieved the highest distinction of a five star rating from the Ministry of Coal, ranking number one among more than 380 open cast mines in the country. December saw a record monthly coal production of 17.7 lakh tonnes and the in pit crushing and conveying system commissioned earlier has already handled close to 15 lakh tonnes significantly improving the efficiency. PB Northwest, another coal block has also commenced production and dispatches and we expect this project to scale meaningfully over the next.
Odisha remains a key growth driver for us. Several mines have seen capacity enhancements and overall Odisha volumes are expected to grow by nearly 40% year on year. In FY27 this scale up is being driven by faster statistic clearances, improved infrastructure and focused execution. At site. In Garchiroli, which many of you are familiar with, the environmental clearance has been increased from 10 million tons to 55 million tonnes including BHQ.
Alongside scale we continue to push sustainability led initiatives such as electrification of mining equipment and LNG hybrid deployment which are helping us optimize costs while reducing our carbon footprint. We have commenced MDO and exploration activities at jiomassur India Private Limited from January 26. This is a gold mine. This asset provides long term visibility with a targeted EBITDA of contribution of around 60 crores in FY27. And we see potential upside as exploration progresses internationally.
We are rationalizing lower margin operations in Indonesia and redeploying our equipment to higher return opportunities. Overall revenue’s focus remains very clear scale responsibility responsibly execute efficiently and protect margins through productivity and cost optimization. The pipeline for FY27 looks very strong and we are confident of sustaining both growth and profitability.
With that, I’ll hand it over to Mr. Pathi who can open the floor for question and answer. Thank you.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press STAR and one on their touch tone telephone. If you wish to remove yourself from the question queue, you may press STAR and two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles.
The first question is from the line of Amit Dixit from GS Financial. Please go ahead.
Unidentified Participant
Yeah, hi, good evening everyone and thanks for the opportunity. Congratulations for a very good set of numbers. Couple of questions from my side. The first one is on the MOU that we have with Tata Steel. So just wanted to understand, you know, the various facets of this mou. While you have explained in your prepared remarks, Tata Steel also held a con call in which they explained few things but just wondering, you know that in mining when we are so strong in this region, why do we need someone else? I mean it might be Tata Steel.
Of course, no doubt they’re experts. But what expertise we are actually looking to get from Tata Steel and is there something that goes beyond mining, let us say into steel where we might get some, you know, kind of consultation from them and if there is any, is there any scope of having a long term iron ore supply agreement to them? I mean just wanted to explore these points.
Rajesh Gupta
Thank you Amit. The MoU with Tata has two parts. One is the BRPL SHA and the BRPL ownership and conversion contract which is executed. The second, future exploration of opportunities. There are two areas that we are looking at. One is the eastern area of the country where for example Tata may have some assets where we can act as a contractor, as an MDO contractor maybe or where they may need a pipeline to to certain area where we have some expertise which data is not yet developed. Or maybe we have some land in Paradee which we can try to utilize in a better way.
A lot of opportunities have been looked at in the eastern belt, in the Gachiroli area. We are looking at whether we can build jointly or opportunities come up with government trending system where we can get ore at a relatively better pricing, better commercials. This would not be from the existing mine. It will be for future expansions. We are always open to partnerships because that is the way to develop fast. And Tata is one of the finest companies in the country, not one of the. I would call them the finest company in the country country. So definitely it’s a honor to be partnered with them.
Unidentified Participant
Okay. Okay, great. The second question is essentially on the copper. So I mean it is indicated in the presentation that there are certain mines also associated with it. First of all, Congo is not exactly the best place to work. And then you know, mining. I know several companies who have failed because of various reasons. So what is it that we see in Congo and are these mines yet operational or at what stage of exploration they are? You have indicated some numbers, but these numbers seem to be more for the processing side. I just wanted to understand the backward integration part of it a little bit more. And if you can also mention the grade of copper that you expect over there.
Rajesh Gupta
We are looking at Democratic Republic of Congo, Katanga area. This area by itself and DRC by itself is the second largest producer of copper world at the moment after Chile, number one, Number two, the copper majors, Glencore etc are all based in copper in this area. There are 60 to 80 companies, small and big operating. And the infrastructure, the systems are there in place to take care of very many things. The political stability in this country is much better and particularly this part of the southern part of the area. And it’s a very economically based country and area.
Not politically worrying, not zero politically worry. There would be some worries obviously, but it is well, well sustained. The, the mining leases that we have are 16 or 18 leases. I’m forgetting the number right now.
Riyaz Shaikh
18,
Rajesh Gupta
18 leases over 100 square kilometers. Sorry, 16 leases over 800 square kilometers. Exploration is going on. We already found copper at good depths. 1.5 to 2% copper is also available. 0.8% is also available. Oxides are available and the 10 to 12,000 tonnes is a direct output of the plant that we are talking for that, for the cathode plant, leaching and cathode plant.
We could take the ore from our own mines if we already started accumulating, as well as from bought out mines. At the end of the day it would be a integrated operation of around 30,000 tons per annum, which may take 2, 3 years to achieve. We believe that in the next year financially 27 to add 10,000 tons of operations will be achieved at a fairly integrated mix of ore.
Unidentified Participant
Great sir. Just if I can squeeze one more. Just wanted to get the status of BHQ plant.
Rajesh Gupta
BHQ plant. The land is under land procurement is under control and the Indian engineering is complete. The ordering is complete. We ordered the equipment on the best possible companies in the world to take care of any exigencies. Because it’s a new technology in India. So we’re not, you know, taking any chances on the technology part of it. We have worked with the Chinese and now with F.L. smith also. And. And we are hopeful of getting a commission by December 27th or so.
Unidentified Participant
Okay. Great sir.
Rajesh Gupta
By that time and. Yeah.
Unidentified Participant
Okay sir. Great. Thank you so much and all the best.
operator
Thank you. Ladies and gentlemen. In order to ensure that the management is able to address questions from all participants in the conference please limit your questions to two per participant. The next question is from the line of Jashindeep Singh Chaddha from Nomura. Please go ahead.
Jashandeep Chadha
Hello. Hi. Thank you for the opportunity and congratulations sir on a great set of numbers. My first set of questions are around iron ore. Firstly on your guidance as for 26 guidance is close to 20 to 22 million ton. If I assume that you will be doing 3 million ton of pellets also, that is close to 4 and a half, 5 million ton of iron ore, 10 million tons of iron ore you have still done which means close to 6 to 8 million tons of volumes you are forecasting for 4th quarter of FY26. Lloyd has not done for, you know, anytime you know, such volumes in one quarter.
Just wanted to understand what is the confidence, you know, behind giving such guidance and what are the challenges that the company can face in meeting those guidance. My first question is this sir.
Rajesh Gupta
The volume in this year, in this month that is January is around 2.4 million tons. 2.5 million tonnes which crosses the 26 million ton overall and definitely will achieve the 20, 21 million tonnes target for the year. We have to appreciate one thing that at the moment we have to. The problem is not in the marketing of it. The problem is not in the mining of it. The area that we are right now focusing on solving the problems are on the logistics side. Right now we are moving around on an annualized basis around 4.5 billion tons of ore by the pipeline.
And come by April we’ll be able to do 9 million tons in the second plant would become come by June, the second sleep, the pipeline would be ready to take the second plant input. So 9 million ton would move out of that. And right now we are producing around transporting by truck around 70, 60% more than the overall requirement. You is a tough job. We are very confident of achieving 21. That’s why we gain a confidence guidance of 2222 million tons for the year. We believe that quarter guidances and directions are lesser. Quarter guidances are lesser important for a company of our nature and our overall direction of decadal growth or at least three year growth is what we are.
What we are. What I am focusing on. Operational efficiencies are looked at at every level and you can see that in the increase in the, in the revenue in the margin also 280 basis point is a factor of whatever Riya said plus a cost control system also. So everything has been factored in when we have made the guidance.
Jashandeep Chadha
Understood sir. And thank you so much for such an elaborate answer. My second question is also around, you know, I don’t know only sir, we have seen that the benchmark domestic iron ore prices have come down in this quarter. With that regard I just wanted to understand how much, you know, the realization has been impacted for Lloyds and how much you know, margin compression, EBITDA compression we can see, you know, in the fourth quarter and then related to iron ore only. I just wanted to understand what is the CAPEX for the slurry pipeline and. Can you, can you also, you know. For our analysis can you also, you know tell us how does it compare with BTS
Rajesh Gupta
compared to the.
Unidentified Speaker
Company?
Rajesh Gupta
Okay, the benchmark has come down and so has the basis of benchmark come down from 62 to 61%. So if you currently look at benchmark price of $103 it amounts 1 on $108 which is around 3, $4 higher than the same amount last year, same period last year. So I think the benchmark has not really come down, it’s gone up.
Jashandeep Chadha
Domestic. I was talking about domestic iron ore.
Rajesh Gupta
Domestic iron ore. I don’t know by what stretch you are saying it’s come down in the. Some of the competition has increased the prices over the last two months. Both the months the auctions that have come out have been very strong. Steel benchmark is very strong. So at the moment I do not see any, any indication of the steel industry or iron ore industry being soft in India at all at the moment. Maybe maybe one month back, one and a half months back it was different. But that’s part of the cyclical nature of the business.
Jashandeep Chadha
And third on slurry pipeline. You know the skeptics and.
operator
Sorry to interrupt you. Mr. Singh. Can you rejoin the queue for more questions?
Jashandeep Chadha
It’s part of my question only. I’ve asked you
Riyaz Shaikh
on the slurry pipeline. As you. As you might be knowing we planned for another 5 million tons of a slurry pipeline connecting our the mines to the Chandrapur plant in Google’s plant in Chandrapur. Now what we are now doing is we would be. We would increase the capacity of that. We will be now making it to the 16 million tons slurry pipeline. So that we cover the entire 26 million tons of dispatches through slurry pipelines. So it will be. One will be one is existing which is there as a 10 million ton. This is a second slurry pipeline which will be a 16 million ton slurry pipeline which will be taking us more to the market as well as to the.
To our plant. And the total cost for this. We also in fact have a second phase on it. The slurry pipeline which will be connecting to more of the markets as well as the ports. So the total cost envisage is around 8000000 crore rupees on this particular project. But we will be doing it on phase Wises. So the first phase of up to Chandrapur will be around 2000 crore rupees.
Jashandeep Chadha
Thank you so much sir. I’ll turn back to Keith.
operator
Thank you. Ladies and gentlemen, you are requested to limit your questions to two per participants. The next question is from the line of Pratik Singh from IIFL Capital. Please go ahead.
Prateek Singh
Hi. Thanks for the opportunity and congrats on a good set of numbers. And the first question is largely on BHQ project. Given the fact that bulk of our volumes going ahead would be coming from bhq, how confident are we in maintaining the fact that the cost of production of BHQ would be similar to our current cost of production? Given that we’ll have to mine more material, there will be beneficiation cost also. I understand that we save a bit on royalty. But do you think there is any risk of operating cost over in BHQ going ahead.
Rajesh Gupta
Bhq? The royalty saving based on the existing proposals of the government as well as existing policies as well as future proposals of the government would the royalty savings would offset the cost of processing the ore? The BHQ2 ore. Please also factor in that the grade of ore from 62, 64 would come 66, 67%. And that gets a very high premium. So the cost of ore versus the selling price or the usability of ore becomes much better. The BHQ beneficiation or beneficiary in general has been accepted by the government as a very very important aspect of the national policy of steel.
And that therefore we expect a lot of support on the royalty front from that. Does that answer your question?
Prateek Singh
Yeah. So just going into a bit more detail here sir. So royalty if our current regulations are let’s say 6000 and royalty all in let’s say 20, so 1200 odd royalty. And even if royalty on BHQ is let’s say 0 so 1200 rupees per ton of saving plus let’s say some. Premium because of
Rajesh Gupta
royalty is not zero. Royalty will be around from 1200 will come down to around 200 rupees. And processing of the ore would involve some power which is the biggest cost. We are working on getting greening our power. Power also as well as other operations. And that’s where. That’s what I said. We are using the best technology to ensure that the systems are very very strong. And uptime then efficiency of the plant is the best.
Prateek Singh
Okay.
Rajesh Gupta
The premium that you would get on this output of product if I were to sell all the ore would be around 1400 rupees a ton also. You have to also factor that in.
Prateek Singh
Understood sir. Understood. And the second question is largely on the Surrey pipeline. 85 kilometers.
operator
Sorry to interrupt you Mr. Singh. As we have a long queue can you please rejoin for a follow up question?
Prateek Singh
Yeah, sure.
operator
Thank you. The next question is from the line of Vikas Singh from ICICI Securities. Please go ahead.
Vikash Singh
Thank you for the opportunity. My first question pertains to our copper mine. As you stated that it was an operational mine. So just wanted to understand had the existing promoters was facing any difficulty in terms of producing and ramping up of the mine. And that’s why we got the chance to get some stake there. And secondly on the management bandwidth we are doing too many things simultaneously. So just wanted to understand the management bandwidth in terms of managing and looking after the timely completion of all these projects. How should we look at it?
Rajesh Gupta
Number one on the existing promoter they are more involved in commercial activities and general traders in the country. They have got this mine as an opportunity mine. And the copper plant has been set up by them as well. The copper plant is running. Is set up but not running. They lost the bandwidth to run it. And that’s where we come in. Mr. Prabhakaran and the erstwhile Tribeni had been looking at DRC for a long period. And that’s how the opportunity comes to us of investing in that. There have been no problems. Again I repeat, there are on 70, 80 plants including Glencore and Ivano and the best company in the world running copper mines there and copper operations.
So that’s not a worry that we are we foresee in a very serious way in terms of operational bandwidth. We have scaled up. First let me give you a little bit of issue. We scaled up from around 500 crores to 10,000 crore rupees or in this year maybe 13,000 crore rupees over four years. We have proved to the market, we have proved to ourselves, we have proved to our team and our team has proved to us that we can take care of growth in a sustainable, sensible, economical and business like manner. And we continue to do that, number one.
Number two, as far as Congo particularly is concerned one of the promoter directors would be involved full time there apart from a very very professional team who has been involved in mining operations. And we have had experts on copper side also on the copper manufacturing side also the technicality of the leaching process and the cathode process is not a very, is not a super technical or a super new invention and that can be taken care of by the team that we have ensured are already on the job at the site as we speak. I think that should we are confident of sustaining this growth in a very sensible way.
Vikash Singh
Noted sir. So second question pertains to Triveni. While the top 10.
operator
Sorry to interrupt you as we have a very long queue. Can you please rejoin for a follow up? Thank you. The next question is from the line of Vedant Sarda from Nirmal Bank Securities Private Limited. Please go ahead.
Vedant Sarda
Thank you for the opportunity and congratulations on the great set of numbers. So my question is we are hearing that government is taking various measures to ensure availability of iron ore. Like they have to bring our iron ore iron products prices at par with international markets so we can compete and export iron goods. So can you comment on the pricing outlook going forward and how to look at this?
Rajesh Gupta
See if you look at iron ore in India the growth is around 5,6%. The steel growth is around 8,9%. Even now if you look at 5 years CAGR it is 5,6% for iron ore and around 9,10% for iron ore. So there’s been a continuous shrinkage of the supply, extra supply and therefore exports either in the form of low grade iron ore or in the form of pellets have reduced. So the overall supply demand gap is very, very Favorable in supply of iron ore. Number one. Number two, as we go forward over the next five years around one third of the capacity which is premium free will go into auction over the next five years.
And. And that will add to the. Not the lesser supply but definitely to a higher cost mechanism for the industry. So we are pretty confident of our commercial part of selling iron ore. And over a period our value added business will be quite a lot. And we can therefore be well equalized in both iron ore as well as value added products like pellets or steel as well in the future.
Vedant Sarda
Thank you for explanation sir. Thank you so much.
operator
Thank you. Ladies and gentlemen. In order to ensure that the management is able to address questions from all the participants in the conference please limit your question to one per participant. If you have a follow up question, you may rejoin the queue. The next question is from the line of Harsh Shah from Seven Rivers Holding. Please go ahead.
Harsh Shah
Hello. Yeah. Good afternoon sir. And our heartiest appreciation for excellent execution over last three years. My first question is on the MoU with Tata Steel. Given that it could end up being quite an extensive agreement eventually. So will it in any way affect or change our plans for the integrated steel plant which would be our 16,000 crore capex plan.
Rajesh Gupta
Our future steel plant in Gachiroli is being looked at internally. Nothing to do with the Tata. Tata mou. Any Tata mou. Any Tata set up together would be for a different plant than that.
Harsh Shah
Okay. And so one bookkeeping question. What would be warrants outstanding now as of today, what is the outstanding warrants? As of today.
Rajesh Gupta
We should be getting around 900 crore rupees from it. I’ll give you a lot the number but the value around 900 crore rupees spending which should be coming up in the month of March. That is something between. Between the 15th or 18th March. That’s the last. So we should be getting.
Harsh Shah
Okay. And on the copper part the 10,000 metric ton capacity which we have what would be the average realization and EBITDA margin on those?
Rajesh Gupta
The. This is copper cathode. So the current copper price is around $11,000. $11,512,000. And normally there’s a premium to Congo because of the. The transport cost. So the. That’s the approximate range. And the margins that we anticipate are approximately 30, 30, 32%. So that gives that 570 crore rupees that we’re talking about next year.
Harsh Shah
Okay. And since we have 50% stake in this. It is relating to this. So with the MDO Partner here or mining will be done by someone else.
operator
Hello.
Rajesh Gupta
Mining would be by Triveni, by a subsidiary of training in that area. Yes,
Harsh Shah
okay, sure. Thank you. Thank you so much.
operator
Thank you. The next question is from the line of Hardik Ghori from Aban’s investment managers. Please go ahead.
Unidentified Participant
Hello sir. Thank you for the opportunity and congratulations on a great set of numbers. Firstly on the growth outlook for our MDO business in FY27. And secondly what was the IPS benefit for Q3?
Rajesh Gupta
IPS benefits? We have been drawing the benefits from day one of the parent land production. And this this year has been around 130 crore rupees. The Trimani outlook is around 40% increase in iron ore non loyalty metal around 60%. 70% increase in the loyal metal because of the BHQ increase. 15% in NTPC. That is both the Pakharbadi mines around 60 crore rupees. EBITDA. They have come up directly with the EBITDA figure expected for the gold mine. Not. Not
Unidentified Speaker
Goldberg. 0.3 million tons,
Rajesh Gupta
0.3 million tons output and that would be the profitability. There would be some reduction in volumes in Indonesia and in the barrack operations. Overall a top line growth of around 2015 to 20% and a bottom line growth of around 35%. Right.
Unidentified Participant
Got it sir. And our expected debt trajectory on a console level.
operator
Sorry to interrupt. Please rejoin the queue for more questions.
Unidentified Participant
All right, thanks.
operator
Thank you. The next question is from the line of Vinit Thakur from Plus 91AMC. Please go ahead.
Vinit Thakur
Hi, good evening sir. Thank you for the opportunity. Sir, I would like to know what would be the expected debt console figure for the year and what would be our peak debt.
Riyaz Shaikh
As of 31st December? If I would say the consolidated net debt would was around 7100 crores this year it should be not more than that. And FY28 is when I would say the peak. That when we reach the peak debt we should be on the console basis should be around 10,500, 600 crore rupees. So we are always targeting at one is to one debt to EBITDA and that is what we are working on.
Vinit Thakur
Thank you sir.
operator
Thank you. The next question is from the line of Shubham Harne from Parta Investment Advisors. Please go ahead.
Shubham Harne
Hi sir. Thank you for the opportunity. The question was I think EBITDA per ton for talents has declined on a Q on Q basis. Last quarter it was 5,000 per ton. This quarter little less around 4,000 or so. So any reason for that DRI is.
Rajesh Gupta
One of the most challenging businesses. Like some other question had asked earlier about the down cycle. It’s most affecting the secondary steel market. And that prices on pellets, if you’re asking it’s gone up.
Riyaz Shaikh
No, no, no.
Shubham Harne
Prices the EBITDA for pellets.
Rajesh Gupta
If you look at the pellet prices, the pellet pricing has gone up. Therefore spawn and pricing is showing that there’s a pressure on that. Right. EBITDA on DLI pricing. So basically it’s a, it was a cycle. The cycle has crossed the hump.
Riyaz Shaikh
The pellet prices in quarter two was around 11,000. What we had got an average realization and it has come down to 10,000 in quarter three. That is why the margins have been reduced.
Rajesh Gupta
The pricing is lower because we have added more export to the mix.
Shubham Harne
Okay.
Rajesh Gupta
The volume has picked up. We have had to add some volume of export. The EBITDA is still very strong and much stronger than the rest of the industry put together.
Shubham Harne
Okay, got it. Thank you so much.
operator
Thank you. The next question is from the line of Tanmay Chaudhary from Ventura Securities. Please go ahead.
Unidentified Participant
Hi sir. Thank you for the opportunity. So given Lloyd’s ongoing CAPEX plan pipeline. So can you just outline the expected funding mix and cash outflows over next two years and also the scheduled debt repayments and RTSP payment and providing TMPL not declared any dividend.
Riyaz Shaikh
The debt schedule and all. We can give it to you separately. I won’t be able to do that. But yes, the, the capex outlay is around 14,000 crores including from this year and the next year we would be around 6. We intend to around 6,000 crore rupees from debt and then the balance should be from the internal approval. So that is where we are.
Unidentified Participant
Okay. And so just last one question in PPT then we have mentioned the realization of valid increases because of the geographical location. So can you just throw some light on it?
Rajesh Gupta
Sorry, can you repeat your question?
Unidentified Participant
I’m seeing in the PPT we have mentioned the realization of pallets increases because of the geographic location. So can you just throw some light on it.
Rajesh Gupta
Geographically? I mean I, I, I cannot relate right directly to the PPD question but geographically our location is such that we can market to. You know we have been very strong in marketing to the south as well as the Chandrapur area itself. So that’s why our realization in pellet is around 4505 and the EBITDA is around 45005000 crore rupees per ton. Because of the market friendly nature as well as our costly costing and logistics cost. So I think that’s where. Does that answer your question or is there something special?
Unidentified Participant
No, sir. Like I’m asking about the realization.
Rajesh Gupta
The realization is a factor of trade versus market and that’s where we are being
Riyaz Shaikh
located. It helps. The location helps. That’s how we are better than others. That’s. That’s the only reason.
Unidentified Participant
Okay, thank you.
operator
Thank you. The next question. Thank you. The next question is from the line of Karthik Srinivas from Unifi Mutual Fund. Please go ahead.
Karthik Srinivas
Thanks for the opportunity. So I just had one question or just on the policy level. Now that many minds are coming up for auction till 2030 and there is significant demand supply gap between iron ore and steed, is there any possibility that the government has to intervene and put a cap on the auction premiums? And is there a risk that we run because the government has intervened and put this thing on the auction premiums or change some of the policies? At the policy front.
Rajesh Gupta
The government we believe is still believing in free market and the premiums are quoted by the biggest consumers of iron ore which are one of the biggest, some of the biggest corporates in the country. So we have not seen any policy change or policy announcement which would indicate that there’s being a cap on the premiums being put.
Karthik Srinivas
Okay.
operator
Thank you. The next question we have is from a follow up question from Jashindeep Singh Chaddha from Nomura. Please go ahead.
Jashandeep Chadha
Thank you for the opportunity again. So my question was regarding Trivini. Just wanted to understand, you know, on the remarkable performance the EBITDA has doubled quarter and quarter. I wanted to understand that the proportion of the ebitda. So is it the large chunk of increase, is it coming from increased volumes from Lloyds or there are other major hedge also because of which the EBITDA has improved. And wanted to understand how should we model the growth in EBITDA going forward till FY28. If you can help us.
Unidentified Speaker
In Q3 the EBITDA is increased mainly up to Q2 due to rains and other local factors. The EBITDA was. The production was lower. The EBITDA was lower. In Q3 when the rains were not there, we came to our original strike rate and the EBITDA was normal as what we had planned. And for the next year what we are targeting Q4 again the Lloyds will be doing the full production. This year also we are in Q4. We are starting one new mining lease and next year we are getting three, four new contracts and extended capacity. So the volumes will be higher. And accordingly we don’t face see any challenge in ebitda.
Jashandeep Chadha
Understood. So just. Just concluding that. So this appears to be the normal run rate for ebitda. And as contracts increase and volume increase there will be, you know, growth from here on. Is my understanding. Right, sir.
Unidentified Speaker
Yeah.
Jashandeep Chadha
Okay. Thank you so much, sir. Thank you.
operator
Thank you. The next question is from the line of Rushav Dhruv from Uttam Investments. Please go ahead.
Rushabh Dhruv
Yeah. Hi. Am I audible?
Riyaz Shaikh
Yes.
Jashandeep Chadha
Yeah. So my question is regarding iron or sales volume. So for this quarter we just did around 4.1 million tons. Right? Then why is this PPD also showing 5.39 million tons? What’s the difference here?
Riyaz Shaikh
That also includes the internal transfers. That’s how it was. That is the dispatches from the mines.
Rushabh Dhruv
Okay. Okay. So it’s captive. Right.
Riyaz Shaikh
The Sales figure is 4.1 million, which
Rushabh Dhruv
is 4.1. Okay. Thank you.
operator
Thank you. The next question is from the line of Pratik Singh from IIFL Capital. Please go ahead.
Prateek Singh
Hi. Thanks for the opportunity again. Just wanted to get a sense as to when we had showcased the transaction with trivedi back in December 24. We had given a sense of an ebitda of around 3500 crores in FY27 by Trivedi. Is that something which we stand by or are on track right now as well or is that number a bit changed up or down?
Unidentified Speaker
FY27, the EBITDA revenue should be close to 3000 crores.
Prateek Singh
Understood. Understood. Thanks. That’s all from my side.
operator
Thank you. The next question is from the line of Divya Agrawal from Fincom Family office. Please go ahead.
Unidentified Participant
Yeah. Hi sir. Thanks for taking my question. My question is on Triveni MDO business. So in Q2 call it to achieve a bit of around 2000-2200 crores for FY26. However, if you see 9 months, the total EBITDA stands at around 1100 crore. So do you still stick to your earlier guidance or would you like to revise it downwards?
Riyaz Shaikh
We stick to the guidance. Yes.
Unidentified Participant
You stick to the guidance, sir.
Riyaz Shaikh
Yes, we stick to the guidance.
Unidentified Participant
Okay. And on the revenue guidance as well. So just wanted to know for FY26 and 27 what would be a revenue guidance for 320,
Unidentified Speaker
FY2
Unidentified Participant
6 and 27 for the entire year FY26 and entire year FY27.
Unidentified Speaker
FY26 and FY27.
Unidentified Participant
Right. Right, sir.
Unidentified Speaker
Yeah. So FY26 we are looking at the revenue guidance of around 7,500 plus crores and FY27 revenue guidance of 10,000 plus.
Unidentified Participant
10,000 plus doors.
Unidentified Speaker
Yeah.
Unidentified Participant
And lastly sir, just what would be the actual.
operator
Sorry to interrupt you, Mr. Agarwal. Please rejoin the queue for more questions.
Unidentified Participant
Sure. Thanks.
operator
Thank you. We’ll take the next question from the line of Partif Johnsa from Anandrati Share and Stockbrokers limited. Please go ahead.
Parthiv Jhonsa
Hi. Thank you for the opportunity and thank you for allowing us to host the call. My quick question is on again on Trivini MDO a couple of quarters back. You had given us the guidance for almost up to 28 and 29. I believe sir has given the EBITDA guidance of about 30% in 27. Thereafter is it possible to give a guidance of 28 and 29? Because I think it was about 32 odd percent, give or take. Considering you are looking to do 40% higher volumes than iron ore, Non Lloyd’s and for the other minerals as well, is it possible to give some guidance?
Rajesh Gupta
28, 29. See, it’s a contracting company. We are looking at contracts on a continuous basis. It will be very difficult to see give a further guidance than what we have. Even the guidance that Mr. Naridi just gave would have some surprises upwards because some contract would come up. Hopefully future.
Parthiv Jhonsa
Absolutely. Absolutely. Yeah. Okay. And so is it possible to repeat that number, that 40% increase in iron ore and everything? I think I missed a couple of them actually for next year.
Rajesh Gupta
The internal, sorry, the external iron on figure is around 40% increase in 27. FY27. The external coal I.e. nTPC contract is around 15 growth. Correct me if I’m wrong.
Parthiv Jhonsa
Yeah.
Rajesh Gupta
There would be a reduction of around 65% in the Barrite operations. There will be reduction of around 25% in the Indonesian operations. Add to that gold and copper of the Kananga, the Taranka area. With that we expect that figure that Mr. Daraini just gave us.
Parthiv Jhonsa
Perfect. Sounds great sir. Thank you sir.
operator
Thank you. Ladies and gentlemen. Due to time constraint, that was the last question. I would now like to hand the conference over to Mr. Partif Johnsa for closing comments. Over to you.
Parthiv Jhonsa
Thank you all for joining us for the conference call today. We at Anandrati would like to thank the management for giving us this opportunity. This concludes this conference call. Thank you everyone and have a good day.
Rajesh Gupta
Thank you.
Unidentified Speaker
Thank you.
Riyaz Shaikh
Thank you
operator
on behalf of Anand Rati Shares and Stock Brokers limited. That concludes this conference. Thank you for joining us. And you may now disconnect your lines.