Shares of Coal India today fell by over 2 per cent as the company reported 18 per cent drop in consolidated net profit for the quarter ended March 31, 2014.
The stock closed at Rs 373.60, down by 1.77 per cent on the BSE. During the day, it fell by 2.44 per cent to Rs 371.05.
At the NSE, CIL's stock went down by 2.18 per cent to Rs 372.10.
Coal India today reported 18 per cent drop in consolidated net profit at Rs 4,434.19 crore for the quarter ended March 31, 2014, due to a write-off on account of fuel quality dispute with NTPC.
The company had posted a net profit of Rs 5,413.91 crore in the corresponding quarter of FY'13, Coal India (CIL) said in a filing to BSE.
"On the basis of this settlement formula and pending final reconciliation/settlement of all the subsidiaries of CIL with NTPC Ltd, provision /write off of Rs 876.45 crore ... For such deemed lowering of grade as compared to the grade of coal supplied and billed has been considered in the accounts during the quarter/year," Coal India said.
Total income from operations was flat at Rs 19,997.98 crore, over Rs 19,904.57 crore in the same quarter of year-ago period, the company said. Expenses for the quarter were at Rs 15,474.47, registering an increase of 8.5 per cent.
