Coal India Ltd.'s profit for the first quarter beat estimates.
Net profit jumped 22.3 percent year-on-year to Rs 4,629.7 crore in the quarter ended June, the world's largest coal miner said in an exchange filing. That compares with the Rs 4,261-crore consensus estimate of analysts tracked by Bloomberg.
Revenue rose 3.6 percent over the last year to Rs 24,939 crore, in line with analysts' expectations of Rs 24,843.9 crore.
The company's earnings before interest, tax, depreciation and amortisation, or operating profit, rose 17 percent to Rs 6,613 crore in the first quarter—compared with the Rs 6,213.2-crore estimate. Operating margin expanded 300 basis points to 26.5 percent.
Total raw coal produced in the quarter was 149.38 million tonnes, with an average realisation of Rs 1,470 per tonne.
The company is aiming for an annual production target of 660 million tonnes for the 12 months ending March 2020, an 8.7 percent gain over 2018-19's actual production volume, according to a Bloomberg Intelligence report.
Up till last week, the company had 120 ongoing projects, having ultimate capacity of 610 metric tonnes per annum and sanctioned capital of Rs 72,900 crore under various stages of implementation, according to a report by Edelweiss. Coal India has planned a capital investment of Rs 10,000 crore for maintaining its volume growth in fiscal year 2020, the report said.
Shares of Coal India closed 1.5 percent lower ahead of the earnings announcement, compared with a 1.65 percent fall in the benchmark Nifty 50 Index.
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