Coal India Ltd. · NSE:COALINDIA
Coal India — Q1 FY2024-25 Earnings Presentation
46 slides from Coal India's earnings presentation, Aug 9, 2024
Slide 1: Intimation of Corporate Presentation of Analyst/Investor Meet
कोल इि डया ल मटे ड Coal India Limited कंपनी स चवालय Company Secretariat Regd. Office:3rd floor, Core-2 3 त ला, कोर-2, े मसेस-04-एमआर, लॉट-ए एफ- Premises no-04-MAR, Plot no-AF-III, Action III,ए शन ए रया-1A, यट ू ाउन, रजरहट, कोलकाता- Area-1A, Newtown, Rajarhat,Kolkata-700156 700156, फोन-0332324555, PH
Slide 2: Marching towards 1 Billion Tonne Production: Q1 of FY 2024-25 Performance
Marching towards 1 Billion Tonne Production Q1 of FY 2024-25 Performance www.coalindia.in twitter.com/CoalIndiaHQ www.facebook.com/coalindiaHQ
Slide 3: Coal India – Vision & Mission, Key Value Propositions, Our Genesis
Coal India –Vision & Mission , Key Value Propositions , Our Genesis To emerge as a global player in the primary energy sector To produce and market the planned quantity of coal and coal Mission Vision committed to provide energy security to the country by attaining products efficiently and economica
Slide 4: Location of the Subsidiary Companies
Location of the Subsidiary Companies Bharat Coking Coal Limited Central Coalfields Limited Eastern Coalfields Limited Mahanadi Coalfields Limited Northern Coalfields Limited South Eastern Coalfields Limited Western Coalfields Limited Bharat Coal Gasification & Chemicals Limited (BCGCL) for Coal gasi
Slide 5: Key Company Highlights – Q1 24-25
Key Company Highlights – Q1 24-25 Profit Revenue from 6% Operation PBT - ₹ 14,147 Crores LYSP Offtake 1% 4% ₹ 36,465 Crores PAT - ₹ 10,944 Crores LYSP LYSP Production 6% Coal - 198.50 MT LYSP 8% Coal - 189.29 MT LYSP 5% OBR - 524.93 M. CuM LYSP
Slide 6: Key Company Highlights
Key Company Highlights Commitment to • Intense focus on social, environmental and health & safety initiatives. Sustainable • Committed to ESG parameters Development • FY 23-24 EBITDA1 margin of 40% and Q1 24-25 EBITDA1 margin of 47%. Positive Margin and Returns • Last 5 year average Dividend Payout
Slide 7: Primary Energy – World Consumption
Primary Energy – World Consumption* Share of global primary energy 2023 Consumption Pattern 2023 of Asia Pacific Region Coal is the second largest fuel for primary Coal is the dominant fuel in the Asia Pacific region. energy consumption. At a global level, Coal remained the dominant fuel for power g
Slide 8: Increasing Power Demand in FY 23-24
Increasing Power Demand in FY 23-24 Peak Demand Trend Power demand increased during Q1 24-25 as compared to Q1 300000 2023-24 2024-25 23-24. Peak demand in Q1 24-25 was 249856 MW which was 250000 higher by 11% than peak demand in Q1 23-24 of 224106 MW. MW 200000 Coal based generation followed a
Slide 9: Consequently, Demand for Coal increased
Consequently, Demand for Coal increased Coal Production Trend Coal Offtake Trend Offtake (MT) Growth YoY (%) Production (MT) Growth YoY (%) 80 20% 100 35% 70 Million Tonnes 30% 15% Million Tonnes 80 60 25% 10% 50 60 20% 40 5% 40 15% 30 0% 10% 20 20 -5% 5% 10 0 0% 0 -10% Apr-22 Apr-23 Apr-24 Oct-22 F
Slide 10: EC, FC, Land & PR for Q1 24-25
EC, FC, Land & PR for Q1 24-25 EC Forest Approval of Coal Environment Land FC Land Clearance mining Project Clearance Possession Report (FC) PR 6 Proposals 2 proposals 4 Projects (Incremental EC 981.7 Ha. [FC 1295.74 Ha [total capacity capacity - 4.667 Stage-I] of forest MTY) 14.63 MTY] land
Slide 11: Railway Lines for Coal Evacuation – Key to Capacity Building
Railway Lines for Coal Evacuation – Key to Capacity Building Commissioned Tori- Shivpur at CCL BG Triple line (44.37 KM) capacity to evacuate ~100 MTPA Jharsuguda –Barpali- Sardega at MCL Double line (52.41 KM) capacity to evacuate 35 MTPA works of loading bulbs at Barpali and flyover complex a
Slide 12: Railway Lines for Coal Evacuation – Under Construction
Railway Lines for Coal Evacuation – Key to Capacity Building Under Construction Chhattisgarh East Rail Ltd (CERL) Phase – II at SECL Total capacity 65 MTPA of coal. Expected to be commissioned by Aug’2026. Chhattisgarh East West Rail Ltd (CEWRL) at SECL Total capacity 65 MTPA of coal. Constructi
Slide 13: Infrastructure Building – First Mile Connectivity Projects
Infrastructure Building – First Mile Connectivity Projects First Mile Connectivity - Mechanized coal transportation and loading system. Phase - I Phase - III 33 projects of total 382.5 MTPA 17 projects of 324 MTPA Investment of INR 10,750 Cr.; investment around INR 11,500 Crore. 15 projects
Slide 14: Quality Control Measures
Quality Control Measures Review of complaints by CCO/MOC/CIL Committees of coal companies, consumers Grade conformity and third party agency to resolve quality of third-party issues. sampling results Q1 of 24-25 Deployment of continuous miners in UG 79% mines and surface miners in opencast mines Q1
Slide 15: Import Substitution Measures
Import Substitution Measures Under the backdrop of ‘Aatma Nirbhar Bharat’ mandate To promote usage of domestic coal in the country Linkage Auctions for Power Coal supply Growth E-auction Sector 6% Over LYSP Offered quantity Shakti policy Supplies to power 32.66 MT. sector increase Linkage auctio
Slide 16: Cost Control Measures
Cost Control Measures 131 underground Attrition of Emphasis on mines employ around First mile 36.73 % of the manpower: Around digitization of mines connectivity & workforce with 3.24% 5% reduction in for increasing infrastructure share in total manpower annually efficiency in overall creation to red
Slide 17: Cost Control Measures – Closure of Unviable Mines
Cost Control Measures – Closure of Unviable Mines Open Cast & Underground Production Open Cast & Underground Manpower 800 180 Coal Production (Mill. Te.) Manpower (in ‘000s) 700 160 600 140 500 120 100 400 80 300 60 200 40 100 20 0 0 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 17 FY 18 FY 19
Slide 18: Mine Developer cum Operators (MDO)
Mine Developer cum Operators (MDO) MDO projects For efficient operationalization of greenfield projects Phase – I Phase –II Capacity 173 MTY Capacity 80.62 MTY 15 projects in Phase-I (11 OC and 4 UG) 13 Projects (7 OC and 6 UG) ECL & CCL-4 each, MCL& SECL-3 each, & BCCL -1 ECL - 9, BCCL-2, and NCL &
Slide 19: Moving towards Clean Coal – Coal Gasification
Moving towards Clean Coal 1. Coal Coal-to-Ammonium Nitrate BCGCL JV - CIL(51%) and BHEL (49%) incorporated in May-2024. Gasification Project at Lakhanpur Area in Pre-project activities initiated. MCL projects Project Cost –₹ 11782 Crore Coal-to-Synthetic Natural Gas JV - CIL (51%) and GAIL (49%) Pro
Slide 20: Moving towards Clean Coal – Coal Bed Methane
Moving towards Clean Coal 2. Coal Bed Methane (CBM) • Jharia: • Jharia CBM-I under BCCL leasehold area is in Exploration Phase through operator. Jharia CBM Block under ONGC-CIL JV is in Development Phase. • Raniganj: • Raniganj CBM Block under ONGC-CIL JV is in Development Phase.
Slide 21: Moving towards Clean Coal – Coal Washery
Moving towards Clean Coal Washery at I B Valley MCL with 10 MTPA Capacity 3. Coal Washery Operational Under Development 13 Coal 39.35 6 8 Coal 21.5 Washery MTPA Coking Coal Washery Washery MTPA in BCCL 4 coking 1 Non Coking Coal 5 coking 3 Coal Coal Coking Coal Washery in Washery in CCL, NCL Washery
Slide 22: Diversification – Solar Power
Diversification 5GW 3GW capacity solar to be power projects installed 25-26 by 2X800 MW Project by FY 28-29 Phase-I at Cost Sundargarh (Odisha) – by ₹15,947 8MW 91MW Total capacity MBPL, SPV of MCL Crores. solar capacity commissione commissioned d by end of Your Picture Here Your Picture Here Q1 24-
Slide 23: Diversification – Renewable Power
Diversification.. CIL to set up 3,000 MW renewable power capacity by 2026-27. MOU executed with RRVUNL for fossil-based and renewable power generation and Setting up 1190 MW Solar power plant in Rajasthan CIL is implementing energy efficiency measures for Carbon reduction for CIL and its subs
Slide 24: Diversification – Fertilizer Projects
Diversification.. Fertilizer Projects Talcher Fertilizer Limited Hindustan Urvarak and Rasayan Limited JV among ₹ 902.15 Cr. JV among ₹ 2642.99 Cr. CIL, RCFL, 33.33% CIL, NTPC, IOCL, 33.33% GAIL & FCIL CIL Share Invested FCIL HFCL CIL Share Invested ₹ 0.22 Cr. ₹ 17081 Cr. 1.27 MMTPA ₹ 254.14 Cr. ₹ 2
Slide 25: Maximizing Shareholder Value and Returns
Maximizing Shareholder Value and Returns 30 Dividend per Share CIL intends to payout maximum dividend post capex out of the cash 25 profits 20 • CIL is regularly paying considerable dividend to its shareholders. 15 • CIL intends to pay free cash flow after capex as dividends annually. 10 • CIL inten
Slide 26: Coal India's Commitment on Carbon Emission and Climate Change
Coal India’s Commitment on Carbon Emission and Climate Change Despite absolute growth in India’s demand for coal, Coal India is committed to support India’s journey to achieve its Intended Nationally Determined Contributions (INDCs) by 2030 and utilize the opportunity to devise our own journey towar
Slide 27: Carbon Emission and Climate Change – Coal India's Objectives
Carbon Emission and Climate Change – Coal India’s Objectives Support and contribute towards India’s Reduce emissions in the most cost effective INDCs to reduce emissions manner while ensuring India’s energy security Coal India’s Objectives Expedite move towards better, Continue to responsibly play o
Slide 28: How CIL aims to move towards a Net Zero Emission Company
Carbon Emission and Climate Change – How CIL aims to contribute and move towards a ‘Net Zero Emission’ Company • Both for captive and non-captive power requirement. Aim at 3 GW of • Enhancing coal production through Surface Miner RE capacity by FY 25-26. CIL intends to add another 2 GW of renewable
Slide 29: Q1 24-25 Operational Highlights
Q1 24-25 Operational Highlights Production Offtake OBR (Raw coal) (Raw coal) 189.29 million tonnes 198.50 million tonnes 524.93 Million CuM (175.48 million tonnes in Q1 23-24) (186.95 million tonnes in Q1 23-24) (498.27 Million CuM in Q1 23-24) Manpower Average Realization (as on 01.07.2024) INR 1,6
Slide 30: Q1 24-25 Financial Highlights
Q1 24-25 Financial Highlights Sales (Net) PBT PAT INR 33,170 crores INR 14,147 crores INR 10,944 crores (INR 33,072 crores in Q1 23-24) (INR 13,385 crores in Q1 23-24^) (INR 10,498 crores in Q1 23-24^) EPS EBITDA* margin CAPEX # INR 17.78 per share 47% INR 3,331 crores (INR 17.08 per share in Q1 23-
Slide 31: Consolidated Statement of Sales
Consolidated Statement of Sales Q1 FY 2024-25 Q1 FY 2023-24 Avg. Avg. Realization Realization Particulars Qty (Mill Te) % of Total Net Sales (₹Crore) % of Total (₹ Per Qty (Mill Te) % of Total Net Sales (₹Crore) % of Total (₹ Per Tonne) Tonne) FSA 172.43 86.86% 26,280 79.23% 1,524 167.51 89.59% 25,7
Slide 32: Consolidated Financial Performance – Statement of Profit & Loss
Consolidated Financial Performance – Statement of Profit & Loss Q1 23-24 Particulars (₹ Crore) Q1 24-25 % change (Restated) Revenue from operations (Net of Levies) 36,464.61 35,983.21 1% Other income 1,884.60 1,537.82 23% Total income 38,349.21 37,521.03 2% Cost of materials consumed 2,596.31 2,936.
Slide 33: ESG Initiatives
SUSTAINABILITY A INITIATIVES
Slide 34: ESG – Committed to continuous improvement
ESG – Committed to continuous improvement Environment initiatives Social initiatives Governance initiatives • Coal evacuation and FMC projects will help • Risk assessment based Safety Management Plan (SMP) have been prepared in mines. • With an objective of becoming an efficient and reduce air pollu
Slide 35: Environmental Highlights
Environmental Highlights In 2023-24, 90.03% discharged mine water utilized for internal & 614.64 Lakh KL mine water has community use and remaining 9.97% been shared for community use is retained for future use and ground till June in 2024-25. water recharging. Apart from this, 54.57 Lakh KL mine wa
Slide 36: Social and CSR Initiatives
Social and CSR Initiatives Social Highlights CSR Goals Good Health & Decent work & Female employees working in CIL and 19,438 its Subsidiary companies Well Being Clean Water & Economic growth No Poverty Sanitation Remuneration at CIL for Women & Reduce 1:1 Men, focusing on gender equality Gender Equ
Slide 37: Committed to a Cleaner Environment
Committed to a Cleaner Environment Production of Coal by Surface Miners Rail and Road share of Coal Transportation Total Production by Surface Miner Rail Road Total production from Open cast Mines 476 437 597 678 748 500 416 570 Million Tonnes Million Tonnes 347 600 400 425 313 378 300 400 280 163 1
Slide 38: Biodiversity Management and Occupational Health & Safety
Biodiversity Management and Occupational Health & Safety TOTAL PLANTATION AREA OF CIL IN • CIL has carried out plantation over 2,167.61 Ha land area and HA. grassing over 248.65 Ha during 2023-24 against the target of 1,820 Ha. In FY 2024-25, Till June 2024, 1.7 Ha area has been covered under planta
Slide 39: Corporate Social Responsibility – Major activities commenced in FY 23-24
Corporate Social Responsibility – Major activities commenced in FY 23-24 Projects for entrance examination coaching & support CCL Ke Laal/Laadli, SECL Ke Sushrut, WCL TARASH Super 30, CIL NIRMAN, CIL Udaan 2.0 Construction of 5,000 seater library at Ranchi Project Nanha Sa Dil in 4 districts of Jhar
Slide 40: Notable CSR Initiatives in recent years
Notable CSR Initiatives in recent years Commenced on the line of CCL Ke Laal/Laadli, ‘SECL Ke Sushrut project’ for providing free NEET coaching to underprivileged students has tasted astounding success in its very first year with 31 out of 39 students qualifying for different medical undergraduate c
Slide 41: Notable CSR Initiatives in recent years (Contd…)
Notable CSR Initiatives in recent years (Contd…) CIL is supporting 29 aspirational districts under the ‘Transformation of Aspirational Districts’ programme. During the last 5 FY, a total of Rs. 644 cr. have been spent in these districts under CSR. 3 districts (Sonbhadra (UP), Simdega and Ranchi (bot
Slide 42: Notable CSR Initiatives in recent years (Contd…)
Notable CSR Initiatives in recent years (Contd…) Thalassemia Bal Sewa Yojana (TBSY) is a first of its kind CSR project under which CIL has joined hands with 11 major hospitals of the nation under the guiding framework of Ministry of Health & Family Welfare, Govt. of India to provide ₹ 10 lakh per BM
Slide 43: Initiatives to mitigate COVID-19
Initiatives to mitigate COVID – 19 • CIL and subsidiaries have spent Rs. 734 cr. in total on COVID-19 relief during FY 19- 20 to FY 21-22 • CIL had contributed Rs. 221 crores to PM-CARES fund for supporting COVID-19 relief measures. • In addition, Rs. 90 crores in total have been contributed to the
Slide 44: Environmental Highlights
ENVIRONMENTAL HIGHLIGHTS Mansarovar, WCL Solar Park Nigahi, NCL
Slide 45: Environmental Highlights
Environmental Highlights CIL undertook extensive plantation along avenues, on OB dumps, around mines & residential colonies to maintain the ecological balance in & around its operations. Subsidiary companies of CIL have developed Miyawaki Plantation in their command area covering 15.9 Ha land area i
Slide 46: Thank You
Thank You