Coal India shares up 5% after July production rises 13.4%

economictimes.indiatimes.com:

Coal India (CIL) rallied 5% to Rs 240 in Tuesday's trade on BSE after the company posted 13.4% growth in coal production at 53.6 MTs in July 2023 over last year’s July. The output increased by 6.3 MTs compared to 47.3 MTs production on July 22. «Progressively CIL’s production soared to 229.1 MTs till July’23 in the current financial year achieving 99% target satisfaction.

The production is almost on track with the asking growth rate for the year. Marking a whopping 22.2 MTs increase in volume terms CIL logged 10.7% growth compared to 207 MTs of April-July 2022,» the company said in an exchange filing. At 12.22 pm, the stock was 4.4% higher at Rs 239 on BSE.

The stock has also surged 12% in the last one year. “All our subsidiaries have registered growth over the previous FY with SECL coming back strongly with a 10 MT production increase. BCCL, NCL, WCL and SECL have sailed past their respective targets progressively till July 2023” said a senior official of the company.

Total supplies during April-July 2023 to all-consuming sectors were up to 244.5 MTs clocking 5.7% growth over a high base of 231.2. MTs of the same period last fiscal. Supplies on a year-on-year basis have witnessed 13.3 MTs expansion during the first four months of the financial year in reference.

With no letup in the momentum set into motion since the beginning of the current fiscal, CIL continues to pump higher volumes of coal to a non-power sector (NPS), which at 11.7 MTs in July’23 grew by a robust 59%. Comparatively, they were 7.4 MTs in July’22. In the month alone supplies to this sector went up by 4.3 MTs.