CIL's output up 77 MTs till Feb FY'23 at 620 MTs

Coal India's (CIL) production of 619.7 million tonnes (MTs) till February in the current financial year posted a strong 14.3% growth over 542.4 MTs of same period last year. This is 100% achievement against progressive target. With a quantum gain of 77.3 MTs CIL is well on its way to breach the production target of 700 MTs of FY'23.

All the subsidiaries of the company have logged growth over previous year. The Dhanbad based Bharat Coking Coal Limited has already wrapped up its annual production target of 32 MTs on 27 February.

On progressive basis, CIL has consistently maintained a high double digit production growth since the beginning of the fiscal. This was catalytic in flattening the annual asking growth rate to a mere 0.07% at February end, a month ahead of year's closure. CIL began its 700 MT target chase with an asking growth rate of 12.4%.

"The company is aiming to augment the growth further in March'23 and any increase would have supplementary influence over the target" said a senior official of the company.

Picking up the production tempo, despite being a shorter month, CIL's output in Feb'23 stood at 68.8 MTs, the highest for the month in any year till now. This represents a growth of 7% compared to February'22. The increase of 4.5 MTs in volume terms was notched over a high base of 64.3 MTs. Sequentially, compared to January'23, CIL on an average produced 1.37 Lakh tonnes more coal per day in February.

CIL's total supplies at 630.5 MTs increased by 30.6 MTs, year-on-year, during April'22-February'23. The company posted a growth of 5.1% compared to 599.8 MTs of corresponding period last year. Three of CIL' subsidiaries BCCL, NCL and MCL have surpassed their respective annual off-take targets.

Amid rising demand CIL supplied 46 MTs more coal to the power sector in the eleven months of the current financial year at 534 MTs. This is a 9.4% growth compared to 488 MTs of same period last year. CIL is confident of going past the annual programme of 565 MTs supply to power sector by at least 20 MTs more to 585 MTs.

Going forward future production of coal would be easier and faster as CIL has excavated large volumes of over burden (OB). Ending February'23 OBR at 1486.5 million cubic metres (M.CuM) posted a robust 21% growth achieving 101.4% of the target.

Despite higher supplies to consuming sectors CIL ended February'23 with 50 MTs coal stock at its pitheads.

Shares of Coal India Limited was last trading in BSE at Rs. 218.60 as compared to the previous close of Rs. 215.15. The total number of shares traded during the day was 131642 in over 2647 trades.

The stock hit an intraday high of Rs. 219.05 and intraday low of 214.65. The net turnover during the day was Rs. 28583885.00.

Source : Equity Bulls

Keywords

CoalIndia INE522F01014 Production February2023