Coal India final dividend to enrich govt by ₹1,426 crore

The total dividend payout for FY'21 stood at ₹16 per share or 160 per cent.

The government is the largest shareholder with control of 66.1 per cent in the CIL. Its shareholding in the company has reduced from 71 per cent due to continuous dilution in small tranches since March 2019. However, the CIL's generous dividend policy and high capital expenditure led to a sharp drop in the free cash position of the worlds largest miner, the official said.

Coal India's free cash balance (cash, equivalent and bank balances) dropped to ₹17,309 crore in FY21 from around ₹28,000 crore in 2019-20 as its cash flow generation could not match the outflow due to lower sales trend last year owing to slowdown and Covid-19 pandemic related disruptions.

E-auction sale for the quarter was 28.92 million tonnes that realized ₹1752 per tonne against Fuel Supply Agreement (FSA) that fetched ₹1391 a tonne. It sold total raw coal of 165 million tonnes during the quarter.

The CIL on Monday reported ₹4,588.96 crore consolidated net profit (before other comprehensive income) for the fourth quarter ended March 2021, a marginal decline over the corresponding quarter profit of FY'20 of ₹4,625.76 crore.

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