Lower prices of iron-ore factored into valuations of NMDC's stock

Royalty as percentage of sales stood at 43 per cent in Q1FY24 versus 44.8 per cent in Q4FY23

Iron-ore supplier NMDC reported an operating profit of Rs 1,990 crore, up 5 per cent year-on-year (Y-o-Y) with realisations of Rs 1,800/ tonne. Operating profit decreased by 7.8 per cent on a sequential basis. 

Revenue grew 13 per cent Y-o-Y to Rs 5,390 crore in the first half of this financial year (Q1FY24), but decreased by 7.8 per cent quarter-on-quarter (Q-o-Q).

Blended average sale price stood at Rs 4,915 per tonne, down 20 per cent Y-o-Y, given the high base of Q1FY23 when global fears of supply disruption drove up prices. 

The adjusted net profit was up 13 per cent