Coal India falls on disappointing Q2 results
Coal India has dipped 3.6% to Rs 295 on the BSE in early morning trade, after the company reported a sharp 77% year-on-year (Y-o-Y) dip in its consolidated net profit at Rs 600 crore for the quarter ended September 30, 2016 (Q2FY17),due to lower sales realisation and higher provisioning on employee benefits. Coal India had reported a profit of Rs 2,654 crore in the same quarter last fiscal.
Net sales during the quarter under review declined 7.7% to Rs 15,645 crore from Rs 16,958 crore in the corresponding quarter of previous year.
Employees benefit expenses, on the other hand, rose from Rs 7,334 crore a year ago to Rs 8,407 crore, which included Rs 711 crore ad-hoc provisions towards salary and wages of the employees of the company during this quarter.
At 09:30 am; the stock was down 2.6% at Rs 298 on the BSE as compared to 0.09% decline in the S&P BSE Sensex. A combined 1.5 million shares changed hands on the counter on the BSE and NSE.