Realisation worries, capital expenditure likely to hit NMDC stock

In Q4FY25, volume growth picked up. NMDC implemented price hikes in FY25. In future, volume pick-up and stable realizations will be key

NMDC’s revenue in Q4FY25 was at ₹7,000 crore, up 8 per cent year-on-year (Y-o-Y)  and 7 per cent quarter-on-quarter (Q-o-Q), driven by healthy volumes and net sales realisation (NSR). Iron ore production stood at 13.3 million tonnes (mt) (flat Y-o-Y and Q-o-Q). Sales were at 12.7 mt (up 1 per cent Y-o-Y and up 6 per cent Q-o-Q) in Q4FY25. The average sales price was ₹5,530 per tonne (up 7 per cent Y-o-Y and flat Q-o-Q).

 

The operating profit was ₹2,050 crore (down 2 per cent Y-o-Y, down 14 per cent Q-o-Q). The operating profit per tonne stood at ₹1,620