Coal India Q1 FY27 profit rises 0.6% to ₹8,852 crore; ₹5.50 interim dividend declared
Synopsis
Coal India posted a near-flat profit rise of just 0.6 per cent in Q1 FY27 even as revenue surged 7.8 per cent — a telling gap that reveals rising cost pressures eating into margins. With EBITDA contracting over 320 basis points, the state-owned miner's ability to translate topline growth into bottom-line gains is the real story behind the headline numbers.
Key Takeaways
Coal India reported a consolidated net profit of ₹8,852 crore in Q1 FY27 , up just 0.6 per cent year-on-year.
Revenue from operations rose 7.8 per cent to ₹46,255 crore for the April–June 2026 quarter.
EBITDA fell 4.1 per cent to ₹12,069 crore ; EBITDA margin narrowed to 26.1 per cent from 29.3 per cent .
An interim dividend of ₹5.50 per share was declared, with record date 31 July 2026 and payment by 25 August 2026 .
The stock closed at ₹427.50 on the NSE , up 0.02 per cent , with a market cap of approximately ₹2.43 lakh crore .
Coal India Limited on Monday, 27 July 2026, reported a marginal 0.6 per cent year-on-year rise in consolidated net profit for the first quarter of FY27, even as revenue posted a strong jump on the back of higher sales volumes. The state-owned mining giant also announced an interim dividend of ₹5.50 per equity share, according to its stock exchange filing.
Quarterly Earnings at a Glance
Coal India's consolidated net profit for the quarter ended 30 June 2026 came in at ₹8,852 crore, compared with ₹8,797 crore in the corresponding quarter of the previous financial year (Q1 FY26) — a thin improvement that underscores the pressure on margins even as topline growth held firm.
Revenue from operations climbed 7.8 per cent year-on-year to ₹46,255 crore during the April–June 2026 quarter, up from ₹42,919 crore a year earlier — a healthy expansion driven by stronger coal offtake.
Margin Pressure Weighs on Operating Performance
Despite the revenue uptick, operating performance remained under strain. EBITDA (earnings before interest, tax, depreciation and amortisation) declined 4.1 per cent year-on-year to ₹12,069 crore, from ₹12,588 crore in Q1 FY26. The EBITDA margin consequently narrowed to 26.1 per cent from 29.3 per cent in the year-ago period — a contraction of more than 320 basis points. This divergence between revenue growth and operating profitability points to rising cost pressures, a pattern that has emerged across the broader mining sector this fiscal.
Interim Dividend and Record Date
Alongside its quarterly results, Coal India declared an interim dividend of ₹5.50 per equity share. The company has fixed 31 July 2026 as the record date for determining shareholder eligibility, and the dividend is scheduled to be paid on or before 25 August 2026. The payout reflects the company's continued commitment to rewarding shareholders even as profitability growth remains subdued.
Stock Performance and Market Metrics
Coal India shares ended Monday's session marginally higher by 0.02 per cent at ₹427.50 on the National Stock Exchange (NSE), underperforming the benchmark Nifty index, which gained 0.96 per cent on the day. The stock opened at ₹429.50 and traded in a range of ₹425.75 to ₹431 during the session.
Over the past 52 weeks, the stock has touched a low of ₹368.65 and a high of ₹491.25. Despite recent volatility, Coal India shares have gained 12.26 per cent over the past year. The company currently commands a market capitalisation of approximately ₹2.43 lakh crore and trades at a price-to-earnings ratio of 7.58.
What to Watch Next
Analysts will track whether Coal India can arrest the EBITDA margin slide in the coming quarters, particularly as input and operational costs remain elevated. The government's energy transition roadmap and domestic power demand trajectory will be key variables shaping the miner's volume outlook through the rest of FY27.
Point of View
But the margin is shrinking — and that gap matters more than the headline profit figure. A 7.8 per cent revenue jump producing only a 0.6 per cent profit rise signals that cost escalation is outpacing pricing power, a structural concern for a company whose tariffs are closely linked to government energy policy. The EBITDA margin contraction of over 320 basis points in a single quarter is not trivial for a firm of this scale. With India's energy transition debate intensifying, Coal India faces the dual challenge of defending near-term profitability while navigating long-term demand uncertainty — and the market's muted stock reaction on results day suggests investors are already pricing in that ambiguity.
NationPress
27 Jul 2026
Frequently Asked Questions
What was Coal India's net profit in Q1 FY27?
Coal India reported a consolidated net profit of ₹8,852 crore for the quarter ended 30 June 2026, a marginal 0.6 per cent increase over ₹8,797 crore in Q1 FY26.
What interim dividend has Coal India declared?
Coal India declared an interim dividend of ₹5.50 per equity share. The record date is 31 July 2026, and the dividend will be paid on or before 25 August 2026.
Why did Coal India's EBITDA margin fall despite higher revenue?
Coal India's EBITDA declined 4.1 per cent to ₹12,069 crore even as revenue rose 7.8 per cent, indicating that operating costs grew faster than revenues. The EBITDA margin narrowed to 26.1 per cent from 29.3 per cent a year earlier, pointing to rising cost pressures across operations.
How did Coal India shares perform on results day?
Coal India shares closed marginally higher by 0.02 per cent at ₹427.50 on the NSE on 27 July 2026, underperforming the Nifty index which gained 0.96 per cent on the same day.
What is Coal India's current market capitalisation?
Coal India commands a market capitalisation of approximately ₹2.43 lakh crore and trades at a price-to-earnings ratio of 7.58, as of 27 July 2026.
