Coal India share price feels the pressure of flagging volume growth
Beset by production challenges and lower price realizations in recent times, Coal India Ltd’s share price fell to an all-time low of ₹214 on 11 February on the National Stock Exchange.
For all the pessimism, though, Coal India surprised the Street with better-than-expected volume growth and higher realizations. This was topped off with good discipline in operating expenditure, resulting in better operating margin.
The company achieved a substantial 13% increase in FSA realizations to ₹1,334 a tonne. (FSA is the fuel-supply agreement the company has inked with power producers.)
