Buoyed by higher revenue from operations due to higher realisation, state-run miner Coal India on Tuesday reported a 69.41% year-on-year rise in its net profit to `7719.11 crore during the third quarter ended December 31, 2022.
The company had posted Rs. 4.556.54 crore net profit in the third quarter last fiscal.
CIL’s revenue from operations grew 23.69% y-o-y to `35,169.33 crore during the quarter under review from `28,433.50 crore for the corresponding period of FY22, according to a stock exchange filing. “The steep rise in profit came on the back of higher add-on over the notified price in e-auction sale of 14.65 million tonnes (MTs) coal during Q3FY23,” the coal miner said in a release.
Though auction volumes were lower by 44% in Q3FY23, compared to 26 MTs of same quarter of FY22, higher premiums under the e-window helped CIL in cranking up sales by `2,341 crore. “The realisation per tonne of coal of was `5,046 under auction segment, in Q3 against `1,947 per tonne for comparable quarter in FY22. The jump was `3,099 per tonne or 159%,” it added.
The company said volume sale of 158 MTs and better average realisation under the FSA resulted in a net impact of around `3,580 crore. FSA sale increased by 13.2 MTs in the Q3FY23 compared to 144.6 MTs of Q3FY22. Realization per tonne of coal under FSA category was Rs 1,482 in Q3 FY23, which was an increase of 8.2% compared to Rs 1,370 per tonne of Q3 FY22.
The company’s net sales during the third quarter this fiscal was up by 25% y-o-y to `32,429 crore compared to `25,991 crore of third quarter of last fiscal. Earnings before interest, tax, depreciation, amelioration (EBITDA) – the measure of a company’s financial performance – rose by 91% for the nine month period to Rs 31,998 crore from Rs 16,769 crore of same period in FY22.
“CIL scaled up its profit to higher orbit despite capping coal prices for the past five years amidst rising input costs especially diesel and explosives,” the company stated.
Till nine months ending December FY23, CIL output logged 16% growth at 479 MTs while supplies to coal fired plants expanded by 18.8 MTs to 432.7 MTs.
CIL board gave its nod for the payment of second interim dividend of `5.25 per share. Earlier, first interim dividend of `15 was declared.
