Calcutta, Aug. 3: Coal India Ltd (CIL) today reported a 16.51 per cent dip in net profit at Rs 3,371 crore for the first quarter of this fiscal compared with Rs 4,469 crore in the same period a year ago.
Net sales during the quarter was lower at Rs 16,472.42 crore against Rs 16,500.59 crore in the corresponding period a year ago.
CIL chairman S. Narsing Rao attributed the fall in profit to several factors, including lower realisation from e-auction sales, increase in sale of contracted coal to power producers and higher total expenses because of a rise in fuel and employee benefit costs.
?During the quarter, realisation through e-auction was lower by Rs 557 crore compared with the year-ago period, while the quantity sold was more or less the same,? Rao said.
According to him, realisation from the contracted sale to power units at Rs 1,296 per tonne is lower than its overall average of Rs 1,430. Hence an increase in contracted sale to power is less remunerative for the state-run coal miner.
He said the cost of production had gone up by Rs 758 crore during the quarter on the back of a hike in diesel price and salary and wages for employees.
While the company?s expense on contractual labour went up to Rs 1,484 crore, its employee benefit expenses during the quarter increased to Rs 6,812.79 crore from Rs 6,387.83 crore in the year-ago quarter. At present, the public sector company has a staff strength of 3.6 lakh.
Production during the period remained almost flat at 102.8 million tonnes (mt) compared with 102.4mt in the same period last fiscal.
?Impediments such as excessive heating during May and June, especially in Mahanadi Coalfields, affected coal and was an overburden on production to a large extent. The effect was so severe that even the growth of 5.7 per cent during April was wiped out,? CIL said in a note.
The miner?s coal offtake during the period increased to 115.3mt from 113mt a year ago. The company accounts for over 80 per cent of the total domestic coal production.
Though Coal India could not achieve the production target in 2012-13, it has signed a memorandum of understanding with the coal ministry to set a production and offtake target of 482mt and 490mt, respectively, for 2013-14.
Bhel shock
Bharat Heavy Electricals Ltd (Bhel) has posted a nearly 50 per cent decline in net profit at Rs 465.43 crore for the June quarter on the back of lower sales compared with Rs 920.90 crore in the year-ago period.
Net sales declined to Rs 6,352.55 crore from Rs 8,326.24 crore in the same period a year ago.
Sluggish prospects in the domestic power sector as well as cheap overseas imports of power equipment is adversely impacting its business.
Source: http://www.telegraphindia.com/1130804/jsp/business/story_17193523.jsp
mediterranean diet chase kim kardashian pregnant papa johns dominos dominos Michelle Obama Oscars
No comments:
Post a Comment