BCCL issues first dividend of ₹44.43 Crore after record profits

5 Aug 2024 , 01:22 PM

Bharat Coking Coal Ltd (BCCL), a subsidiary of Coal India Ltd (CIL), has made a notable achievement by paying its first-ever dividend of ₹44.43 Crore to its parent company. This payment marks a significant milestone for BCCL.

The dividend payment comes after BCCL managed to clear its accumulated losses and report a net profit of ₹1,564 Crore for the financial year 2023-24. The company also recorded a turnover of ₹13,216 Crore for the same period.

At the time of writing on August 05, 2024 at 1:20 pm, shares of  Coal India Ltd is trading at ₹504 which is a 3.79% dip than the previous close. Coal India Ltd shares has witnessed a 116% gain in the last one year, and 32% gain since the beginning of the year.

During a formal ceremony, Samiran Dutta, Chairman and Managing Director of BCCL, handed over the dividend to P M Prasad, Chairman of CIL. The dividend payment was authorized by BCCL’s shareholders at the company’s 53rd Annual General Meeting, which took place on August 1.

Dutta highlighted that the company’s strong financial performance and strategic development are attributed to a consistent growth rate of 15% in recent years.

Bharat Coking Coal Limited (BCCL) is a subsidiary of Coal India Limited (CIL), which is ultimately owned by the Ministry of Coal, Government of India. The company’s headquarters are located in Dhanbad and Kolkata, India. BCCL was incorporated in January 1972 to manage coking coal mines in the Jharia and Raniganj Coalfields. The Government of India took over the company on October 16, 1971.

BCCL supplies 50% of the prime coking coal required by the steel sector and operates a total of 36 coal mines. These include eleven underground mines, sixteen open cast mines, and nine mixed mines as of 2020. Additionally, BCCL runs eight coal washeries, with four more currently under construction. The company’s mines are organized into twelve administrative areas.

As a leading producer of prime coking coal in India, BCCL also produces medium coking coal from its Mohuda and Barakar mines. The company’s operations include the production of hard coke, the management of washeries, sand gathering plants, a network of aerial ropeways for transporting sand, and a coal bed methane-based power plant located in Moonidih.