Coal India has reported a sharp jump in profit for the September quarter, helped by higher coal sales and better prices. The state-owned miner said on Thursday, October 29, that its consolidated net profit rose 53 percent to Rs 6,516 crore in the second quarter of 2026-27, from Rs 4,259 crore in the same quarter last year.
Revenue from operations climbed 20.9 percent to Rs 44,179 crore, up from Rs 36,553 crore a year earlier. For a company that supplies most of the coal burned in India’s power plants, the quarter was about selling more coal at a better price, not simply selling more coal at any price.
What drove the profit jump
Offtake, the coal actually dispatched to buyers, rose 12 percent to about 186 million tonnes, driven mainly by higher demand from the power sector. Production grew 4 percent to about 151 million tonnes. Average price realisation rose 7 percent to Rs 2,346 per tonne, from Rs 2,186 per tonne a year earlier.
Operating earnings also grew strongly. Earnings before interest, tax, depreciation and amortisation rose 28.9 percent to Rs 8,499 crore, from Rs 6,593 crore in the year-ago quarter, and the margin improved to 19.2 percent from 18 percent. Rising input costs, including materials, fuel and machinery spares, limited how much of the revenue gain flowed through to operating profit.
- Net profit: Rs 6,516 crore, up 53 percent.
- Revenue: Rs 44,179 crore, up 20.9 percent.
- EBITDA: Rs 8,499 crore, up 28.9 percent; margin 19.2 percent.
- Production: about 151 million tonnes, up 4 percent.
- Offtake: about 186 million tonnes, up 12 percent.
- Realisation: Rs 2,346 per tonne, up 7 percent.
Rs 10.25 dividend: dates shareholders should note
Along with the results, the board declared a second interim dividend of Rs 10.25 per equity share for 2026-27, on shares with a face value of Rs 10 each. The company has fixed Wednesday, November 4, 2026, as the record date to decide which shareholders are eligible.
Coal India said the dividend will be paid on or before November 27, 2026. Shareholders should update their KYC details with their depository participants so the payment can be credited directly to their bank accounts. Payments will be made only through electronic modes approved by the Reserve Bank of India.
Operations: a strong quarter inside a mixed half year
The September quarter looks better than the first half as a whole on production. In April to September, Coal India produced 321 million tonnes, down from 329.14 million tonnes a year earlier, while offtake rose to 384.20 million tonnes from 357.05 million tonnes. The company drew on stocks and dispatches to meet demand even as production slipped.
For the full year, Coal India targets production of 815 million tonnes and offtake of 850 million tonnes. Half-year production is about 39 percent of the production target, so the second half must do heavy lifting. Output often picks up in winter, but this remains the number to watch.
Capital spending rose 27 percent in the first half to Rs 7,966 crore, about 109 percent of the planned outlay for the period, focused on mining infrastructure, land, heavy machinery and diversification projects.
What to watch next
The test now is whether this momentum holds. Investors will watch production, power-sector demand as winter sets in, and whether price realisations stay at the higher level seen in this quarter. If input costs keep rising, Coal India will need higher volumes or prices just to hold its margin.
In August, the company also set up a Singapore-based arm, CIL Global Pte Ltd, to explore overseas critical minerals opportunities. That does not change this quarter’s earnings, but it signals where part of its diversification effort is headed. For now, the headline is clear: profit up by more than half, revenue up by more than a fifth, and a dividend on the table.
FAQs
How much profit did Coal India report in Q2 FY27? Net profit rose 53 percent to Rs 6,516 crore, from Rs 4,259 crore a year earlier.
What was Coal India’s Q2 revenue? Revenue from operations rose 20.9 percent to Rs 44,179 crore, from Rs 36,553 crore.
What dividend has Coal India declared? A second interim dividend of Rs 10.25 per share. The record date is November 4, 2026, and payment is due on or before November 27, 2026.
How much coal did Coal India produce and dispatch? Production was about 151 million tonnes, up 4 percent, and offtake was about 186 million tonnes, up 12 percent.
What is the full-year target? Production of 815 million tonnes and offtake of 850 million tonnes for 2026-27.
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