 "Coal India hits two-year low")
Coal India has dipped nearly 3% to Rs 277, its lowest level since April 7, 2014 on National Stock Exchange (NSE). In past month, the stock has lost nearly 15% after the company said that the coal stock in some of its mines has increased due to regulated lifting by power producers.
“Due to regulated lifting by the power houses, coal stock has increased in some of the mines of Coal India. Increase in stock will create stock management problems, detoriation in quality of coal and the coal may catch fire”, Coal India said in a BSE filing on March 8, 2016.
"As such some of the mines have regulated production. However, on 7th March 2016, the company achieved a positive growth of 9.3% and absolute growth of 41.81 million tonnes compared with same period last year," it added.
The company had made a clarification on the news report that Coal India temporarily halts production at its mines over lack of demand.
Since then, the stock is underperforming the market by falling 14.5% from Rs 325 as compared to 1.6% rise in the Nifty 50.
Meanwhile, in between, the company had paid interim dividend of Rs 27.40 per share on the face value of Rs 10/- for the financial year 2015-16.
“Due to regulated lifting by the power houses, coal stock has increased in some of the mines of Coal India. Increase in stock will create stock management problems, detoriation in quality of coal and the coal may catch fire”, Coal India said in a BSE filing on March 8, 2016.
"As such some of the mines have regulated production. However, on 7th March 2016, the company achieved a positive growth of 9.3% and absolute growth of 41.81 million tonnes compared with same period last year," it added.
The company had made a clarification on the news report that Coal India temporarily halts production at its mines over lack of demand.
Since then, the stock is underperforming the market by falling 14.5% from Rs 325 as compared to 1.6% rise in the Nifty 50.
Meanwhile, in between, the company had paid interim dividend of Rs 27.40 per share on the face value of Rs 10/- for the financial year 2015-16.