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Coal India net profit falls 55.13% to Rs 2077.51 crore in Q1

Sales during the April-June period this year fell 26.77% YoY to Rs 17,007.10 crore against Rs 23,223 crore for the same period last year, the company said in a stock exchange filing.

The state-run coal behemoth’s net profit for the first quarter of last fiscal year was Rs 4629.87 crore.
The state-run coal behemoth’s net profit for the first quarter of last fiscal year was Rs 4629.87 crore.

Coal India (CIL), the world’s largest coal miner, on Wednesday reported a 55.13% year-on-year (Y-o-Y) decline in its consolidated net profit for the first quarter of this fiscal year at Rs 2077.51 crore as its sales witnessed close to 27% Y-o-Y fall amid the Covid-19 crisis.

The state-run coal behemoth’s net profit for the first quarter of last fiscal year was Rs 4629.87 crore.

Sales during the April-June period this year fell 26.77% YoY to Rs 17,007.10 crore against Rs 23,223 crore for the same period last year, the company said in a stock exchange filing. Income for the period under review stood at Rs 19271.83 crore compared to Rs 26089.20 crore in the year-ago period. The miner realised Rs 113896.18 crore in April-June from fuel supply agreement (FSA) at Rs 1359.50 per tonne.

“The continuing Covid-19 pandemic has impacted the business of the group adversely. For the 1st quarter 2020-21, CIL offtake was 120.42 million tonnes against the last year same period offtake of 153.49 million tonnes i.e. a reduction of 33.07 million tonnes. This was mainly due to less demand from power sector as well as closure of industries in the non- regulated sector due to Covid-19, even though the company had an opening stock of 74.63 million tonnes as on April 1, 2020,” CIL said.

“The group is however taking continuous measures to combat adverse impact of Covid-19 and has implemented manifold measures for ease of doing business. The group has considered the possible effects that may arise due to pandemic in the preparation of the current quarter results, including the recoverability of carrying amounts of financial and non-financial assets as on June 30,2020. The group will continue to closely monitor any material changes arising out of future economic conditions and the resultant impact on its business,” it added.

On Wednesday, Coal India’s scrip on the BSE closed 2.10% higher at Rs 136.30. The company declared the quarterly results after normal trading hours.

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