Coal India's Supplies to Power Sector Grow 5.9% in June FY'27

Coal India Limited (CIL) increased coal supplies to the country's power plants to 51.44 million tonnes (MTs) in June FY 26-27, registering a 5.9% growth over 48.57 MTs supplied in the corresponding month last year, driven by rising electricity demand in the peak summer season.

During the first quarter (Q1) of FY 26-27, CIL supplied 154.75 MTs of coal to the power sector, an increase of 1.8% over 151.93 MTs supplied during Q1 FY 25-26.

The company also recorded a 7.5% growth in its overall coal supplies during June FY 26-27, reaching 65.8 MTs compared to 61.2 MTs in June of the previous year. Total coal supplies during Q1 FY 26-27 stood at 197.7 MTs, up 3.5% from 191 MTs supplied during the corresponding period of the previous fiscal.

Coal supplies to the non-regulated sector registered robust growth as well, increasing by 14.8% to 14.50 MTs in June FY 26-27 from 12.63 MTs in June last year. During Q1 FY 26-27, supplies to the non-regulated sector rose 10% to 43.10 MTs, compared to 39.02 MTs in the same period of FY 25-26.

The higher supplies also enabled CIL to liquidate 28.3 MTs of pithead coal stock during the first quarter of FY 26-27. The reduction in pithead stock during the quarter was a conscious business decision aimed at improving inventory turnover, reducing carrying costs, and enhancing supply chain efficiency. This forms part of Coal India's consciously adopted strategy of demand-synchronized mining and inventory optimization, marking a shift from a purely volume-driven approach to a value-driven and demand-responsive operating model. The objective was to meet consumer requirements while systematically reducing excess inventory accumulated over previous years.

Further strengthening its logistics network, CIL recorded a 23% growth in coal supplies through its first-mile connectivity (FMC) infrastructure during Q1 FY 26-27. Supplies through FMC reached 66.76 MTs, compared to the corresponding quarter of FY 25-26, reflecting continued progress in enhancing evacuation infrastructure and improving operational efficiency.

The company is progressing towards its production target of 815 MTs and supply target of 850 MTs for the ongoing financial year FY 2026-27.

Shares of Coal India Limited was last trading in BSE at Rs. 438.60 as compared to the previous close of Rs. 438.70. The total number of shares traded during the day was 244759 in over 4496 trades.

The stock hit an intraday high of Rs. 445.00 and intraday low of 437.70. The net turnover during the day was Rs. 107849975.00.

Source : Equity Bulls

Keywords

CoalIndia INE522F01014 Q1FY27 OperationalUpdate