State-owned Coal India Limited (CIL) has announced a 32% decline in its consolidated profit for the September quarter, citing lower sales and rising expenses as primary factors. The company, which is India’s largest coal producer, reported a profit of Rs 4,262.64 crore, down from the Rs 6,274.80 crore it clocked in the same quarter last year.
CIL’s latest figures reveal a slight decline in consolidated sales, dropping to Rs 26,909.23 crore this year from Rs 27,271.30 crore in the year-ago period. Meanwhile, its expenses saw a 7% increase, rising to Rs 26,421.86 crore compared to Rs 24,670.70 crore last year.
The decline in production was partly attributed to heavy rains and waterlogging that hampered mining activities. Nevertheless, the government aims to increase coal production to reduce imports, setting ambitious targets for the coming years. Despite the dip in production, officials assured that there is no coal shortage in the country.