Coal India Reports 32.6% Year-on-Year Decline in Net Profit

Coal India, India's largest coal mining company, reported a significant decline in its financial performance for the second quarter of the fiscal year. The company's net profit fell by 32.6% year-over-year, while revenue declined by 3%. Despite this, Coal India has declared a second interim dividend of Rs 10.25 per share, marking a 102.5% payout. The company's financial performance was impacted by a sharp decline in EBITDA margins, which stood at 22.2%. The recent GST rate hike on coal from 5% to 18% is expected to help Coal India utilize its accumulated input tax credit of around Rs 18,133 crore.

Key Takeaways:

Coal India reported a 32.6% year-on-year decline in net profit, from Rs 6,274.80 crore in Q2FY25 to Rs 4,262.64 crore in Q2FY26.
Revenue from operations declined 3% year-on-year, coming in at Rs 30,186.70 crore.
EBITDA margins came in at 22.2%, with EBITDA recorded at Rs 6,716.
Coal India declared a second interim dividend of Rs 10.25 per share, with a record date of November 4, 2025, and a dividend payout date of November 28.
The company had announced its first interim dividend of Rs 5.50 per share in July.
Coal India's share price fell nearly 4% to touch an intra-day low of Rs 381.55 after the company announced its Q2 results on October 29.
The company's stock remains down about 1.24% on a yearly basis.
Coal India is expected to utilize its accumulated input tax credit of around Rs 18,133 crore following the recent GST rate hike on coal from 5% to 18%.

Statistics:

32.6%: Year-on-year decline in Coal India's net profit
3%: Year-on-year decline in revenue from operations
22.2%: EBITDA margins
Rs 6,716: EBITDA recorded by Coal India
Rs 10.25: Second interim dividend per share declared by Coal India
Rs 381.55: Intra-day low share price of Coal India on October 29
1.24%: Yearly decline in Coal India's stock price
Rs 18,133 crore: Accumulated input tax credit of Coal India

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