 "MOIL shares slump over 3% after price reduction of manganese ore; details")
Shares of MOIL dropped as much as 3.2 per cent at Rs 387.05 per share on the BSE in Monday’s intraday deals.
The stock prices of MOIL slipped after the company announced that effective September 1, 2024, it will reduce prices across several categories of Manganese Ore and related products.
Ferro grades with a manganese content of 44 per cent and above will see a 20 per cent price reduction from the rates set on August 1, 2024. Ferro grades with lower manganese content, as well as SMGR (Mn-30 per cent and Mn-25 per cent), Fines, and Chemical grades, will have their prices decreased by 15 per cent, effective from midnight on August 31, 2024.
Additionally, the price of electrolytic manganese dioxide (EMD) will drop from Rs 2,10,000 PMT to Rs 205,000 PMT, also starting from midnight on August 31, 2024. These adjustments are part of the company’s efforts to align pricing with current market conditions for the month of September 2024, the company said in an exchange filing on Sunday.
Manganese is a transition metal, has diverse industrial applications, especially in stainless steels where it enhances strength, workability, and wear resistance. Manganese oxide is utilized as an oxidising agent and is also used in rubber additives, glassmaking, fertilizers, and ceramics.
Manganese is a transition metal, has diverse industrial applications, especially in stainless steels where it enhances strength, workability, and wear resistance. Manganese oxide is utilized as an oxidising agent and is also used in rubber additives, glassmaking, fertilizers, and ceramics.
MOIL, a Miniratna state-owned company based in Nagpur, India, is the largest producer of manganese ore in the country, holding a 50 per cent market share. The company operates 11 mines in the neighbouring districts of Maharashtra and Madhya Pradesh.
For the fiscal period ending June 24, the company reported total revenue of Rs 492.84 crore, an 18.51 per cent increase from Rs 428.06 crore in the previous quarter and a 29.79 per cent rise from Rs 379.71 crore in June 2023.
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Net income for the period was Rs 152.35 crore, up 67.15 per cent from Rs 80.95 crore in March 2024 and up 75.98 per cent from Rs 86.57 crore in June 2023.
The company has a total market capitalisation of Rs 7,918.63 crore. Its shares are trading at a price to earnings multiple of 22.68 times with an earning per share of Rs 17.65 per share.
At 10:34 AM; the share price of the company was trading 2.79 per cent lower at Rs 389. By comparison, the BSE Sensex was trading 0.29 per cent higher at 82,602 levels.