Coal India Q3 net seen to jump 46%, volume, wage hike in focus
DLF on Friday last week reported 45 per cent decline in consolidated profit after tax at Rs 258 crore for the third quarter ended December, on account of lower than expected sales.
World's largest coal miner, Coal India Limited, is estimated to report a 46% sequential jump in net profit for the October-December quarter. At 1102 hours, shares of the company traded 1.9% higher at Rs 338.10 in a flat market.
Analysts said key focus would be on volumes and the provisioning for wage hike. CIL had earlier announced a 25% hike in wages. The company is likely to provision Rs 750 crore for wage hikes.
A brokers' poll conducted by NDTV Profit estimated net sales at Rs 16,063 crore against Rs 13,148.1 crore ( up 22% quarter-on-quarter). Profit after tax (PAT) is seen rising at Rs 3,765 crore against Rs 2,576.6 crore (QoQ).
Earnings before income, tax, depreciation and amortization (EBITDA) margins are expected to grow at 27.3% against 18.8% (QoQ).
Here's what to watch out for:
Expect production to be 115 million tonne (up 2% year-on-year) and dispatch 113 million tonne (up 2% YoY)
3QFY12 imported coal prices stood at $107/tonne, down 3% YoY and 8% QoQ.
Regulated blended realization at Rs 1,190/tonne against Rs 1249/tonne
Expected e-auction prices at Rs 2,630 against Rs 2,435/tonne
In October-November 2011, coal production rate stood at 1.2 million tonne per day