Coal India Limited's stock rises by 1.03% after Q4FY25 results

On May 8, 2025, Coal India's stock opened at ₹390.00, up from the previous close of ₹383.30. During early trading hours, it reached an intraday high of ₹394.95 and a low of ₹387.10. At 11:05 AM IST, the stock was trading at ₹387.25, marking a 1.03% increase on the National Stock Exchange.

Q4 FY25 Financial Highlights

Coal India reported a consolidated net profit of ₹9,593 crore for Q4 FY25, a 12% increase year-on-year. However, revenue from operations slightly declined by 1% to ₹37,825 crore compared to the previous year. The company's EBITDA rose by 15% to ₹15,727 crore, with the EBITDA margin improving to 37.7%. The Board declared a final dividend of ₹5.15 per share for FY25.

The company's price-to-earnings (PE) ratio stands at 6.86, and the price-to-book (PB) ratio is at 2.83, indicating favorable valuation metrics.In Q4, e-auction volumes contributed approximately 15% of total sales, up from 8.6% in the previous quarter. a production of 51 million tonnes in September, marking a 10.4% month-on-month increase. For the first half of FY25, production totaled 341 million tonnes, with offtake at 363 million tonnes. The company is on track to meet its full-year production target of 838 million tonnes, up from 773.6 million tonnes in FY24.

Production and Offtake Metrics

In Q4 FY25, Coal India's raw coal production stood at 237.69 million tonnes, a 1.7% decrease year-on-year. The offtake was 201.38 million tonnes, marginally down from 201.66 million tonnes in the same quarter last year. For the full fiscal year, production and offtake increased by nearly 1%, reaching 781 million tonnes and 761.71 million tonnes, respectively.

Strategic Diversification Initiatives

In a move to diversify its operations, Coal India has established a new subsidiary, 'Coal Gas India', to venture into the coal-to-chemical segment. This strategic initiative aims to expand the company's footprint beyond traditional coal mining activities.

Coal India's strong Q4 performance and dividend announcement have positively influenced investor sentiment, leading to a notable uptick in its stock price.

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