Maharatna stock gained 3.3 percent to a 52-week high price of Rs 394.6 apiece after the company reported strong coal production in December month, reflecting a growth of 8.2 percent year on year.
At 2:25 p.m., Coal India Ltd shares were trading at Rs 391.60 per share, up Rs 2.57 percent on the stock exchange from the previous close price. The company has a market capitalization of Rs 2,40,932 crore.
Coal India’s output in December 2023 was 71.9 million tonnes, up 8.2% year on year. The cumulative production over the first nine months (April-December) was 531.9, up 11% year on year.
Coal India reported sales(offtake)of 66.6 million tonnes in December, up 6.2% year on year from 62.7 million in December 2022. Coal India’s sales for the first nine months of FY24 are up 8.7% to 552 million tonnes. the company reported in its exchange filing.
The country’s coal demand has substantially increased, driven by increased electricity demand. Coal India, which has a long-term fuel supply for power companies, has increased output to fulfill power demand. Coal India intends to produce 780 million tonnes in FY24 and 850 million tonnes in FY25.
In the first half of FY 2023-24, the Company supplied 360.66 MT of coal against 331.99 MT of coal supplied during the same period last year thereby registering a growth of 8.6%. Supplies to the power sector also increase by 1% during the same period.
The company’s revenue has increased by 10 percent yearly, from Rs 29,838 crore in Q2FY23 to Rs 32,776 crore in Q2FY24. In the same time frame, the company’s net profit increased by 13 percent, from Rs 6,044 crore to Rs 6,814 crore.
Coal India Ltd shares have delivered returns of 68 percent in the last six months and 74 percent in a year.
In FY23, the Company approved 24 Coal Mining Projects with a total capacity of 140.30 MTY and an incremental capacity of 58.98 MTY. Additionally, In H1 of FY24, CIL approved 4 Coal Mining Projects with a total capacity of 59.50 MTY and an incremental capacity of 32.70 MTY.
Coal India has conferred the Maharatna status by the Government of India. Coal India Ltd is engaged in the mining and extraction of coal in india.
The company also produces several grades of non-coking coal and coking coal. The company serves thermal power generation companies, steel and cement factories, and other public and private industrial companies.
Written by Omkar Chitnis
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