Novelis’ Q1FY24 EBITDA (adj.) of USD 421mn (down 25% YoY) was 4% ahead of our estimates. Key points: 1) Favourable product mix/pricing due to record automotive shipments led to sequential improvement in EBITDA; 2) shipments got impacted owing to beverage can destocking; and 3) net debt/EBITDA at Q1FY24-end was 2.7x (Q4FY23: 2.3x).