MOIL's Q1 net profit surges 70% on improved manganese ore realisation

New Delhi: State-owned MOIL Ltd reported a sharp jump in profitability for the first quarter of FY27, driven primarily by higher manganese ore realisation, even as production growth remained subdued.

The Board of Directors of the Ministry of Steel PSU on Thursday approved the company's financial and operational results for the April-June quarter.

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Revenue from operations rose 7 percent year-on-year to Rs 370.88 crore from Rs 348.06 crore, while total revenue increased 6 percent to Rs 391.13 crore.

The company's profitability, however, outpaced revenue growth. Profit before tax surged 75 percent to Rs 111.62 crore from Rs 63.82 crore a year ago, while profit after tax climbed 70 percent to Rs 87.62 crore from Rs 51.51 crore.

The earnings growth was aided by a 10 percent increase in net sales realisation, which rose to Rs 9,749 per metric tonne from Rs 8,884 per metric tonne in the corresponding quarter last year, indicating that improved pricing played a bigger role than higher output.

Operationally, the performance was relatively modest. Manganese ore production increased just 1 percent to 5.08 lakh metric tonnes during the quarter, compared with 5.02 lakh metric tonnes in the year-ago period. Sales volume rose 4 percent to 3.69 lakh metric tonnes from 3.56 lakh metric tonnes.

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The company said it remains focused on increasing production, improving operational efficiency and catering to the growing demand from the domestic steel sector.

MOIL, a Schedule 'A' Miniratna Category-I CPSE under the Ministry of Steel, is India's largest producer of manganese ore and operates underground as well as open-cast mines in Maharashtra and Madhya Pradesh.

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