Coal India Limited (CIL) is an organized state owned coal mining corporate, which came into being in November 1975, with the government taking over private coal mines. With a modest production of 79 Million Tonnes (MTs) at the year of its inception, CIL is the single largest coal producer in the world today.
Operating through 81 mining areas, CIL is an apex body with 7 wholly owned coal producing subsidiaries and a mine planning and Consultancy Company spread over 8 provincial states of India. In April 2011, CIL was conferred the Maharatna status by the Union Government of India and ranked as one of India’s most valuable companies by market value
The Coal India Limited aims to produce the planned quantity of coal efficiently and economically, with due regard to safety, conservation and quality.
CIL is a low cost producer and enjoys a competitive advantage over its global peers primary due to:
Also Read about Coal Advantages & Disadvantages.
In 2010, CIL’s initial public offering (IPO) got subscribed 15.28 times, collecting a record over 2.4 trillion—the highest IPO subscription so far. On the first day of its listing on the Sensex, its stock closed 40% higher than IPO price. It is India’s largest ever public offer from Coal India Ltd. to raise up to 15,000 Crore. It is currently 90% owned by the Government of India with the remaining 10% owned by the public.
MARKET CAP (RS CR) | |
2,27,673.35 | |
P/E | INDUSTRY P/E |
27.71 | 17.74 |
BOOK VALUE (RS) | EPS (TTM) |
30.97 | 13.01 |
P/C | PRICE/BOOK |
27.68 | 11.64 |
Net Operating Profit Per Share (Rs) | 0.66 |
Profitability Ratios | |
Operating Profit Margin(%) | -28.02 |
Profit Before Interest And Tax Margin(%) | -1.29 |
Gross Profit Margin(%) | -29.69 |
Cash Profit Margin(%) | 85.69 |
Net Profit Margin(%) | 84.73 |
Return On Capital Employed(%) | 43.29 |
Liquidity And Solvency Ratios | |
Current Ratio | 2.41 |
Quick Ratio | 2.4 |
Debt Equity Ratio | 0.06 |
Competition | ||
Name | Market Cap (Rs. cr.) | Net Profit |
Coal India | 2,26,852.23 | 8,065.10 |
NMDC | 64,367.16 | 7,265.39 |
Sesa Goa | 17,108.26 | 1,679.94 |
Guj Mineral | 6,450.63 | 486.83 |
MOIL | 4,403.28 | 410.77 |
Orissa Minerals | 2,623.62 | 3.44 |
Indian Metals & | 766.32 | 63.93 |
Ashapura Mine | 388.37 | 6.61 |
Rohit Ferro Tec | 332.8 | 40.31 |
20 Microns | 231.37 | 10.78 |
Maithan Alloys | 167.9 | 47.74 |
Parrys Sugar | 114.88 | -6.37 |
Impex FerroTech | 39.47 | 3.59 |
Hira Ferro | 37.22 | 4.83 |
Resurgere Mines | 27.84 | -77 |
AML Steel | 6 | 0.03 |
According to International Energy Agency (IEA)’s World Energy Outlook 2012 report India, China and West Asian nations will account for 60% of the world’s energy demand by 2035, when the price of imported crude oil will be $215 a barrel in nominal terms.
India, the other big Coal market, has more than 450 proposed Coal plants on the book – and it also has a desperate need to increase electricity generation, as this summer’s massive New Delhi blackout demonstrated. The International Energy Agency recently predicted that India will overtake the U.S. as the second biggest user of Coal, after China by 2025 and will be the largest net importer of Coal as early as 2020. Indian Prime Minister Manmohan Singh, has promised to electrify every household in the next five years. By 2025, India will also be the world’s second largest consumer of Coal after China, playing a major role in international energy pricing.
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