Navratna PSU which is India’s largest iron ore producer involved in the exploration of a range of minerals like copper, rock phosphate, limestone, and many more jumped upto 5 percent in the day’s trade following proposal of issuing bonus shares of the company.
Price Action
With a market capitalization of Rs. 68,796 Crores, the shares of NMDC Limited were trading at Rs. 235 per equity share, up 4 percent from its previous day’s close price of Rs. 226.55.
What Happened
The Board of Directors of NMDC Limited are scheduled to meet on Monday, 11th November 2024, to consider and approve a proposal for the issue of Bonus Shares to the shareholders of the company and the Unaudited Financial Results of the Company for the quarter ended 30th September 2024.
Monthly Sales Update
The monthly production of iron ore grew by 4 percent YoY from 3.92MT on October 23 to 4.07MT on October 24 and the total sales grew by 17 percent from 3.44MT to 4.03MT on the same time basis.
About the Company
NMDC Limited is a Navratna Central Public Sector Enterprise, which is India’s largest iron ore producer contributing around 16.07 percent of the total iron ore produced in India. It is involved in the exploration of a range of minerals like copper, rock phosphate, limestone, magnesite, diamond, tungsten, and many more.
Financials & Ratios
Its Revenue from operations grew by 0.36 percent from Rs. 5,395 Crores in Q1FY24 to Rs. 5,414 Crores in Q1FY25, accompanied by profits of Rs. 1,653 Crores to Rs. 1,969 Crores.
In terms of Return ratios, it has reported a return on equity (ROE) of 23.9 percent, and a return on capital employed (ROCE) of 30.9 percent. It has reported a debt-to-equity ratio of 0.13.
Written by: Bharath K.S
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