NMDC posts 10% rise in Q2 PAT at Rs 774 cr

Hyderabad: NMDC, the country's largest Iron Ore producing Navratna Company delivered another strong operating performance, with a 13 per cent and 14 per cent increase in production and sales respectively in the Q2 of FY21. Inspite of adversities due to COVID and incessant monsoon in Chhattisgarh, NMDC has been able to outperform both production and sales over the CPLY. In this quarter, NMDC produced 5.64 million tonnes (MT) of iron ore and sold 6.60MT.

NMDC's turnover during the Q2 of FY21 is Rs 2230 crore as against the turnover of Rs 2242 crore of the CPLY. NMDC's Profit Before Tax (PBT) for the Q2 of FY21 is Rs 1063 crore against Rs 1080 crore during Q2 of FY20, a decrease by 2 per cent. Profit After Tax (PAT) for Q2 of FY21 increased by 10 per cent to Rs 774 crores against Rs 703 crores during Q2 of FY20. In a comparison of Q2 with Q1 of FY21, NMDC has shown growth in: Sales of Iron ore by 5 per cent, Turnover by 15 per cent, PBT by 40 per cent, PAT 45 per cent, EBITDA by 35 per cent. Domestic production of iron ore is down by around 47 per cent in FY21 (H1) when compared with CPLY, whereas NMDC has been able to outperform the industry and had a drop of only 9 per cent. NMDC has produced around 16% of India's total iron ore production in (H1) of 2020-21.

Sumit Deb, CMD, NMDC expressed satisfaction at the overall results and said that "NMDC's production continued without interruption despite the adverse situations we faced, providing for yet another strong operating quarter due to our realigned strategy and focus on optimum utilization of resources." "At NMDC, we have taken various steps to reduce costs, improve output and maximize the profitability with and are hoping to excel in the next two quarters and set new records in

production."