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Year of Exponential Growth of Coal CPSEs

Last one year, coal CPSEs have witnessed an exponential growth commensurate with their contribution to the economy of the country, which has been reflected in their Market capitalization, CAPEX and profitability.

Market Capitalization

Coal CPSE’s CIL & NLCIL have witnessed phenomenal growth in their core operation. This has boosted investors confidence in these PSUs stocks thereby leading them to their all time high prices. Thus, the coal PSU’s have turned multi bagger during last one year and have rewarded its investors with stupendous returns both in dividend yield as well as capital appreciation. The same is substantiated by the market capitalization comparison over past few years herein below:

 

Market Cap (in Rs. Cr)
Sl no. Name of the company Market Cap as on 01.04.2021 Market Cap as on 01.04.2022 Market Cap as on 01.04.2023 Market cap as on 06.02.2024 Market cap as on 13.02.2024 Market cap as on 19.02.2024 Market Price as on 19.02.2024 % inc/dec in market cap since 2021
1 CIL 81483.45 112808.74 131666.69 269835 278462 298121 483.65 265.87%
2 NLCIL 7064.78 8673.41 10697.9 38832 33057 35172 253.65 397.85%

Note: Both CIL & NLCIL have touched their all-time high prices of Rs. 487.60/share & 293.75/share during this year

CAPEX

Coal CPSE’s have been serving as the fulcrum of economic activities and capacity building by sperheading the CAPEX. Over the past 3 years coal CPSE’s have given tremendous impetus to economy’s ecosystem by doing considerable amount of Capex as follows;

Year Capex

(in Rs. Cr)

YoY growth
2020-21 17474.91 16.52%
2021-22 19656.42 12.48%
2022-23 23400.22 19.05%

 

Profitability

Coal PSU’s have scripted new heights of profitability in last 3 years and has shown outstanding results. Same is substantiated by following details regarding Profit before Tax earned by Coal PSU’s

 

Year PBT

(in Rs Cr)

YoY Growth (%)
2020-21 20508.50
2021-22 27907.00 36.08%
2022-23 42799.17 53.36%

 

 

 

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