Coal India Q4 Results: Profit Rises 49%, Misses Estimates

Coal India Ltd.’s quarterly profit rose, missing estimates, amid cost control measures and an increase in other income.

Net profit rose 48.6% quarter-on-quarter to Rs 4,587 crore in the three months through March, according to its exchange filing. The consensus of analysts’ estimates compiled by Bloomberg pegged the metric at Rs 4,841 crore. That came as the coal miner’s other income jumped 96.4% sequentially to Rs 1,274 crore.

Revenue rose 12.7% over the preceding quarter to Rs 26,700 crore. That compares with the Rs 26,367-crore forecast.

Highlights (QoQ)

• Operating profit increased 23.5% quarter-on-quarter to Rs 6,382 crore, aided by higher realisation through e-auctions. That compares to Rs 5,943-crore estimate.
• Operating margin was 23.9% compared with 21.8%, as employee benefits expenses and power expenses remained largely stable.
• Power expenses as a percentage of revenue fell to 2.3% vs 2.7%.

Sales Volumes

• The company’s offtake rose 7.2% sequentially to Rs 165 million tonnes versus Rs 154 million.
• Fuel supply agreement volumes increased 7.9% quarter-on-quarter to Rs 133 MT.
• E-auction volumes, too, jumped 6% quarter-on-quarter.

Realisation

Coal India’s total realisation rose 5.4% quarter-on-quarter to Rs 1,483 per tonne, as e-auction realisation jumped 19.5% over the last quarter to Rs 1,752 per tonne. Realisation through fuel supply agreements rose 2.8% to Rs 1,392 per tonne

Coal India announced an additional final dividend of Rs 3.50 per share at its board meeting on June 14.