Coal India shares climb 4% on price hike, quarterly results
CIL’s scrip on Monday rose by 4 per cent after the company announced nearly 6.3 per cent increase in coal prices and reported a marginal rise in consolidated net profit for the fourth quarter ended March. Shares of the state-owned firm went up 3.80 per cent to settle at Rs 292.05 on BSE. During the day, it gained 5.2 per cent to Rs 296. On NSE, the stock climbed 3.99 per cent to close at Rs 292.55. CIL on Sunday announced nearly 6.3 per cent increase in coal prices and that it will earn an additional revenue of around Rs 3,234 crore during the current fiscal. The decision was taken at the Coal India’s board meeting, the company said in a BSE filing.
“The Board of Directors at its meeting held on May 28, has approved revision of coal prices with effect from May 30, 2016, approximately 6.29 per cent increase over the current price,” the filing said. It will be applicable to all CIL subsidiaries and NEC for regulated and non-regulated sectors, the filing said. Due to this revision, CIL will earn additional revenue of Rs 3,234 crore for the balance period of financial year 2016-17 - from May 30, 2016 to March 31, 2017, it said. Moreover, Coal India has reported a marginal rise in consolidated net profit at Rs 4,247.93 crore for the fourth quarter ended March. It had posted a net profit of Rs 4,238.55 crore in the corresponding quarter of financial year 2014-15.