NLC jumps over 6% after Q2 net profit zooms 164%

NLC India was trading over 6 percent higher in the morning trade on October 27, a day after the state-owned company reported a 164 percent year-on-year jump in profit at Rs 1,085 crore in the June-September quarter.

The profit increased despite a fall in revenue and EBITDA on a one-time gain of Rs 1,278.5 crore.

Revenue for the quarter at Rs 2,978 crore was down 14.66 percent. The company’s EBITDA fell 29.2 percent to Rs 834.6 crore from the year-ago quarter.

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Formed in 1956, NLC India is a Navratna public-sector enterprise under the coal ministry, which primarily works in the mining and power generation sectors. NLC India contributes a large part to the country’s lignite production, with a significant pie in thermal and renewable energy generation.

At 11.21 am, NLC India was trading at Rs 129.95 on NSE, up 6.31 percent from the previous close.

NLC India shareholding, stock movement

Over the past year, while the Nifty 50 has gained 7.14 percent, NLC has risen 71.94 percent. From their respective 52-week highs, the benchmark index is trading lower by 6 percent, while NLC has slipped 13.8 percent.

The promoter is the Union government, which holds a 79.2 percent stake in the firm. FIIs and DIIs own one percent and 13.5 percent, respectively.

According to shareholding data from September 2023, the public holds 6.4 percent in NLC India.

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