Coal India posted a 26 percent surge in net profit in the fourth quarter of FY24, slightly below estimates, as the company's revenue from operations fell nearly two percent in a seasonally weak January-March quarter.
Despite the fall in its revenues, Coal India's net profit climbed to Rs 8,640.5 crore in the three months ended March 31 from Rs 6,869.5 crore a year earlier, beating estimates of Rs 7,617 crore.
Here are the key highlights from the fourth quarter and full year results of Coal India:
Q4 and FY24 numbers:
Consolidated net sales at Rs 39,654.5 crore recorded a fall of 1.8 percent versus Rs 40,371.5 crore in the corresponding period of the previous year
Profit after tax was Rs 8,640.5 crore compared to Rs 6,869.5 crore in the corresponding period of the previous year, registering a rise of
nearly 26 percent.
FY24 consolidated net sales was up 3.8 percent at Rs 1.5 lakh crore from Rs. nearly 1.45 lakh crore last year. FY24 profit after tax was Rs 37,369 crore, a jump of 18 percent as compared to Rs 31,723 crore in FY23.
Production
Coal India's production of raw coal during FY24 rose to 773.647 million tonnes, up 10 percent when compared to FY23.
The Public Sector Undertakings' (PSU) offtake for FY24 stood at 753.541 million tonnes, up 8.5 percent when compared to FY23.
Coal India has set a target to produce 838 million tons (MT) of coal in the financial year 2024-25, of which 661 MT will be supplied to the power sector alone, the state-owned company's Chairman and Managing Director (CMD) PM Prasad had said in February.
Capacity Additions:
India plans to continue expanding its coal production capacity beyond the stated target of doubling it by 2030, prioritising its needs over mounting global pressure to cut the use of fossil fuels.
In an exclusive interview to Moneycontrol, Minister for Coal, Mines and Parliamentary Affairs, Pralhad Joshi, said the government will continue increasing coal production even beyond 2030 given the steep surge in the country’s power demand projected for the coming years.
“There is no question of any reduction in coal production after 2030. For the next 40 years at least, coal is going to stay (as a key energy source) in India,” Joshi added.
Coal accounts for about three-quarters of India’s power generation and its demand is seen to be rising despite the country’s renewables plans. India has seen spikes in peak demand for electricity in the last two years, even as it has struggled to add renewable energy capacity in line with its goal of 500 gigawatts (GW) of non-fossil fuel capacity by 2030.
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