Business Standard

Multiple tailwinds emerge for Coal India after a strong Q3 despite hurdles

Increase in production, higher prices, better margins and high dividend yield are key positives

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Devangshu Datta
Coal India delivered a strong performance in Q3, 2021-22 despite facing hurdles such as heavy rainfall and the pandemic which affected physical performance. Coal prices are ruling very high globally, and this effect showed up in e-auctions, where prices were at 100 per cent premium to the agreed Fuel Supply Agreements (FSA).

The miner managed to produce 163 million tonnes (MT) in Q3, and sold 173 MT, which is higher YoY than 156 MT production and 154 MT sales. The company is considering a hike of about 4 per cent in the FSA rates as of now.

In financial terms,

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First Published: Feb 18 2022 | 7:47 PM IST

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