By BasisPoint Insight
September 4, 2025 at 6:15 AM IST
Coal India Ltd. reported higher production and sales in August as a temporary let-up in rains across key mining regions of east and central India allowed smoother operations and better coal movement to power plants. Sales rose even as demand for coal remained muted, helped by improved railway rake availability.
The Maharatna miner’s output in August climbed 9.4% on year to 50.4 million tonnes, while sales rose 7.6% on year to 56.7 million tonnes, the company said in a stock exchange filing. In the same month last year, Coal India produced 46.1 million tonnes and sold 52.7 million tonnes.
Among subsidiaries, Mahanadi Coalfields Ltd.—the largest unit—recorded flat output at 15.8 million tonnes but managed a 6.5% on-year increase in sales to 17.8 million tonnes. South Eastern Coalfields Ltd., the second-largest, posted a sharp 29.8% rise in production to 11 million tonnes, with sales up 22.7% on year at 12.8 million tonnes.
At the company’s annual general meeting on August 28, Chairman and Managing Director P.M. Prasad assured shareholders that production would pick up after the monsoon season despite sluggish market conditions, in order to avoid any sudden supply shortages.
Still, cumulative numbers for the fiscal year so far remain under pressure. Between April and August, output fell 3.5% on year to 280.2 million tonnes and sales declined 3.3% to 301.9 million tonnes. For 2025–26, the world’s largest coal miner has set a production target of 875 million tonnes and a sales target of 900 million tonnes