Coal India (COALINDIA) Q4 79/80 earnings summary

Executive summary

• FY 1979-80 raw coal output reached 91.44 million tonnes, up 1.52% YoY but 2.98 million tonnes below the revised target; persistent power, labor and transport constraints limited performance.

• Coal India Limited and its subsidiaries recorded a combined loss of Rs 88.0562 crore; Central Coalfields, Western Coalfields and CMPDIL were profitable, while the parent, Bharat Coking Coal and Eastern Coalfields reported losses.

Financial highlights

• Standalone net loss was Rs 2.0496 crore for FY 1979-80, versus Rs 3.2806 crore in FY 1978-79; the FY 1979-80 figure reflects post-audit revisions.

• Standalone sales of coal, bricks and other products were Rs 603.00 lakh; cost of sales was Rs 807.96 lakh, or 133.99% of sales.

• Combined FY 1979-80 capital expenditure was Rs 261.91 crore; 51 capital schemes, including revisions and expansions, were approved versus 34 in FY 1978-79.

Outlook and guidance

• Coal and coke selling prices rose by an average Rs 36 per tonne from July 1979; a further average increase of Rs 26.84 per tonne was approved from 14 February 1981.

• Dankuni low-temperature carbonization plant construction began; planned daily output is 1,000 tonnes of smokeless coke and over 18 million cubic feet of town gas for Calcutta and Howrah.

• Five new washeries were under construction, with input capacities of 0.4–3.0 million tonnes and expected completion dates from 1981-82 to 1982-83 for four; Kedla was at preliminary-work stage.