CIL net up 8% as income grows

Net sales also increased 8% to Rs 17,799 cr

State-owned Coal India Ltd (CIL) on Tuesday reported a 8.09 per cent jump in the consolidated net profit at Rs 4,033 crore for the first quarter ended June 30 backing higher volumes.

The company had posted a consolidated net profit of Rs 3,731 crore in the corresponding period of 2013-14, the company said. Net sales in the first quarter increased 8.06 per cent to Rs 17,799.54 crore from Rs 16,472.42 crore in the year-ago period.

"The result is up to the expectation. The higher volume has contributed to the profit growth," a senior CIL official said.

During the quarter, the company reported a 5.29 per cent production growth at 108.33 million tonnes (mt) against 102.89 mt for the year-earlier period. Its offtake for the quarter was 119.54 mt, up 3.62 per cent from the year-ago period. Although the output and off-take was higher on year-on-basis, the miner has missed its output and offtake target of 113. 01 mt and 130.95 mt respectively.

Coal India's production target for 2014-15 has been set at 507 MT, while the offtake target is 520 MT.