Coal India Limited (CIL), the largest coal-producing company in the world and a public sector undertaking under the Ministry of Coal, Government of India, is a key player in the Indian energy sector.
Let’s dive in-depth analysis of Coal India’s share price performance, its financials, operations, and a projection for Coal India share price target 2025.
Company Overview
Introduction to Coal India Limited
Coal India Limited (CIL), headquartered in Kolkata, is the world’s largest government-owned coal producer.
Established under the Ministry of Coal, Government of India, CIL plays a pivotal role in meeting the nation’s energy requirements.
It also ranks as the ninth largest employer in India, with a workforce of nearly 272,000 employees.
Key Operations and Contributions
CIL contributes approximately 82% of the total coal production in India. In the fiscal year 2016-17, it produced 554.14 million tonnes of raw coal, a significant increase from 494.24 million tonnes in FY 2014-15.
During the same period, it earned revenues of ₹95,435 crore (US$11 billion). CIL operates through 83 mining areas across 8 states in India, managing 430 coal mines, which include 175 open cast, 227 underground, and 28 mixed mines.
The company also operates 15 coal washeries and manages numerous other establishments, including workshops, hospitals, and training institutes.
Financial Performance
Quarterly Results
Coal India’s quarterly results have shown a strong financial performance over the past few years. Here’s a summary of the consolidated figures:
| Quarter | Sales (₹ Crores) | Expenses (₹ Crores) | Operating Profit (₹ Crores) | OPM % | Net Profit (₹ Crores) | EPS (₹) |
|---|---|---|---|---|---|---|
| Mar 2023 | 38,152 | 28,819 | 9,333 | 24% | 6,869 | 11.16 |
| Jun 2023 | 35,983 | 25,492 | 10,491 | 29% | 7,941 | 12.93 |
| Sep 2023 | 32,776 | 24,639 | 8,137 | 25% | 6,814 | 11.03 |
| Dec 2023 | 36,154 | 23,133 | 13,021 | 36% | 10,155 | 16.44 |
| Mar 2024 | 37,410 | 26,073 | 11,338 | 30% | 8,640 | 14.09 |
Annual Performance
The annual performance data reflects Coal India’s consistent growth in revenue and profitability over the years.
| Year | Sales (₹ Crores) | Expenses (₹ Crores) | Operating Profit (₹ Crores) | OPM % | Net Profit (₹ Crores) | EPS (₹) |
|---|---|---|---|---|---|---|
| Mar 2023 | 138,252 | 101,442 | 36,810 | 27% | 28,125 | 45.70 |
| Mar 2024 | 142,324 | 94,352 | 47,971 | 34% | 37,369 | 60.69 |
Growth Metrics
Coal India has demonstrated impressive growth across various metrics:
- Compounded Sales Growth: 7% over 10 years, 7% over 5 years, 16% over 3 years, and 3% for the trailing twelve months (TTM).
- Compounded Profit Growth: 9% over 10 years, 16% over 5 years, 43% over 3 years, and 33% for TTM.
- Stock Price CAGR: 3% over 10 years, 19% over 5 years, 51% over 3 years, and 116% over the last year.
- Return on Equity: 46% over 10 years, 50% over 5 years, 52% over 3 years, and 53% for the last year.
Shareholding Pattern
The shareholding pattern of Coal India as of the latest quarter is as follows:
- Promoters: 63.13%
- FIIs: 8.39%
- DIIs: 23.15%
- Government: 0.11%
- Public: 5.21%
Coal India Share Price Target 2025
Analyzing the Financial Trends
Given the consistent financial performance and the strategic importance of Coal India in the energy sector, several factors will influence its share price in 2025.
These factors include production capacity, government policies, global coal demand, and operational efficiency.
Coal India Share Price Target 2025 Monthly
Based on the financial trends and growth metrics, we predict Coal India’s monthly share price target for 2025. The projection considers the historical growth rates and market conditions.
| Month | Share Price Target (₹) |
|---|---|
| January 2025 | 550 |
| February 2025 | 560 |
| March 2025 | 570 |
| April 2025 | 580 |
| May 2025 | 590 |
| June 2025 | 600 |
| July 2025 | 610 |
| August 2025 | 620 |
| September 2025 | 630 |
| October 2025 | 640 |
| November 2025 | 650 |
| December 2025 | 660 |
Conclusion
Coal India Limited’s share price has shown strong growth over the past years, supported by robust financial performance and strategic importance in India’s energy sector.
With continued operational efficiency and favorable market conditions, Coal India’s share price is expected to maintain its upward trajectory.
Investors looking for long-term gains should consider Coal India as a viable option for their portfolio.
Based on current trends and financials, Coal India share price target 2025 is projected to reach around ₹660 by the end of the year.
By staying updated with the latest financial reports and market trends, investors can make informed decisions regarding Coal India Limited.