Shares of Vedanta's demerged entities showed mixed performance on Monday following the release of their Q1 business updates. While Vedanta Aluminium Metal shares rose over 1%, Vedanta Oil & Gas, Vedanta Iron & Steel, and Vedanta Power saw declines of up to 8% on the NSE.
Vedanta Oil & Gas shares fell more than 8% to Rs 39.3 after the company reported a 17% year-on-year decline in gross oil and gas production to 7.1 million boe for Q1 FY27. The company's largest asset in Rajasthan recorded a 15% YoY decline in average daily gross operated production. Despite the drop, Vedanta Oil & Gas shares have gained over 20% in the past week.
Vedanta Iron & Steel shares tumbled around 5% to Rs 38.5 following a 4% YoY rise in saleable iron ore production to 2.6 million DMT. However, the Karnataka plant saw a significant 46% YoY drop in production. The company's shares have risen around 19% in one week.
Vedanta Power shares dropped 4.5% to Rs 43.67, despite a 38% YoY growth in power sales to 5,225 million units in Q1 FY27. The decline in sales at the Sakti Thermal Plant was attributed to a boiler incident in April. Vedanta Power shares have gained over 6% in one week.
Vedanta Aluminium Metal reported its highest-ever quarterly aluminium production of 6.32 lakh tonnes, marking a 5% YoY increase. The company's shares have risen around 3% over the past week, despite a decline of more than 6% since listing.
Background
The demerger of Vedanta into separate entities earlier this year was a strategic move to unlock value for shareholders. The varied performance of these entities highlights the diverse challenges and opportunities they face in their respective sectors.
Investors will be closely monitoring the operational developments and market conditions affecting these companies in the coming quarters, as they continue to adapt to industry dynamics.
