Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Coal India Profit Falls for Second Straight Quarter on Costs

Nov. 13 (Bloomberg) -- Coal India Ltd., the world’s largest producer of the commodity, reported its second profit decline in a row and missed analyst estimates because costs increased and waning demand damped prices.

Net income dropped to 30.5 billion rupees ($482 million), or 4.83 rupees a share, in the three months ended Sept. 30 from 30.8 billion rupees, or 4.88 rupees, a year earlier. The median of 16 analyst estimates compiled by Bloomberg was for a profit of 33.3 billion rupees. Sales rose 5.8 percent to 154.1 billion rupees.

The company reported an average price of 1,418 rupees a metric ton, compared with 1,437 rupees a ton in the year-ago quarter. Prices at electronic auctions, which comprise almost 1/10 of volume sales and 40 percent of earnings before interest, tax, depreciation and amortization, dropped almost 10 percent to 2,220 rupees a ton. The company had cash reserves of 642.7 billion rupees as on Sept. 30.

Costs rose 8.3 percent to 131.1 billion rupees. Sales volumes rose to 109.1 million metric tons in the three-month period from 101.74 a year ago, while production rose to 97.6 million metric tons from 89.07 million tons.

Higher wages and an increase in the price of diesel to run machines boosted mining costs, while subdued demand from captive power plants and sponge-iron makers led to a decline in e-auction coal prices, Chairman S. Narsing Rao told reporters today in New Delhi.

The company, coping with delays in acquiring land and getting environmental clearances, produced 452.2 million tons in the year ended March 31, missing its target of 464 million tons for the year.

Coal India rose 0.1 percent to 285.10 rupees in Mumbai. The shares are down 20 percent this year, compared with a 4 percent gain in the benchmark S&P BSE Sensitive Index. The company reported earnings after the close of trading.

To contact the reporters on this story: Rajesh Kumar Singh in New Delhi at; Pradipta Mukherjee in Kolkata at

To contact the editor responsible for this story: Jason Rogers at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.