Coal India Reports 12% Profit Growth in Q4 Despite Subdued Coal Offtake
Coal India Q4 results: Net profit rises 12% on higher other income
Business StandardImage: Business Standard
Coal India Ltd (CIL) reported a 12% increase in consolidated net profit for Q4 FY26, reaching ₹10,908 crore due to higher other income and improved realizations. However, coal offtake declined by 2% to 199.1 million tonnes, reflecting weaker demand from key sectors.
- 01Consolidated net profit rose 12% year-on-year in Q4 FY26.
- 02Revenue from operations increased 6% to ₹46,490 crore.
- 03Coal production saw a slight increase to 239 million tonnes.
- 04Full-year consolidated net profit fell 12% to ₹31,071 crore.
- 05Coal India made strides in diversification, including renewable energy projects.
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Coal India Ltd (CIL) reported a 12% year-on-year increase in consolidated net profit for the quarter ending March 2026, amounting to ₹10,908 crore, primarily driven by a 30% surge in other income, which reached ₹5,128 crore. Revenue from operations rose 6% to ₹46,490 crore, while earnings before interest, tax, depreciation, and amortisation (EBITDA) climbed 12% to ₹17,917 crore. Despite these gains, coal offtake decreased by 2% to 199.1 million tonnes, indicating a slowdown in demand from key consumer sectors. For the entire financial year, CIL's performance weakened, with consolidated net profit dropping 12% to ₹31,071 crore from ₹35,450 crore in FY25. Revenue remained stable at ₹1.68 lakh crore, while EBITDA fell 11% to ₹53,276 crore. Coal production for FY26 also declined by 2% to 768.2 million tonnes. CIL's year-end inventory surged 21% to 129.96 million tonnes. The company has also made significant progress in diversifying its operations, including launching a solar power plant in Gujarat and securing a rare earth element block in Maharashtra.
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The decline in coal offtake may affect coal-dependent industries, potentially impacting jobs and energy prices in related sectors.
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