Fire at Novelis’ New York Plant to Impact Hindalco’s 2026 Cash Flow by Up to $650 Million
Hindalco Industries Ltd, one of India’s leading metal producers, announced that a recent fire at the New York facility of its U.S. subsidiary, Novelis Inc., will impact its 2026 cash flow by approximately $550 million to $650 million. The incident, which occurred in September, led Novelis to record a $21 million charge in its second-quarter financials, even as the world’s largest aluminum recycler reported a 27% increase in consolidated net profit.
According to the company, the blaze was contained to the plant’s hot mill section, and no injuries were reported. Restoration work is underway, with operations expected to restart by the end of December, followed by a four-to-six-week ramp-up period to reach full production capacity.
Despite the setback, Hindalco emphasized that safety measures were promptly executed, minimizing potential damage and ensuring employee safety. The company is scheduled to release its second-quarter earnings on November 7, where it is expected to provide further details on the financial and operational impact of the incident.
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