Bharat Coking Coal Ltd (BCCL), a subsidiary of Coal India, returned to profitability in Q2 FY27 as higher sales realisations and increased coal offtake boosted its financial performance. The results lifted investor sentiment, with the stock rising more than 6% during Monday’s session.
The shares closed on the NSE at ₹31.02, up 4.23%. The stock pared some gains from its intraday high but retained a strong advance.
BCCL Q2 Profit Reaches ₹123.7 Crore
BCCL reported a net profit of ₹123.7 crore for Q2 FY27, compared with a loss of ₹53 crore in the year-ago quarter. Revenue rose 39% to ₹4,412.58 crore from ₹3,173.25 crore.
Coal offtake increased around 10% to 8.89 million tonnes from 8.11 million tonnes. Meanwhile, sales realisation per tonne climbed 23% to ₹3,668 from ₹2,973. Higher realisations played a significant role in the revenue growth, alongside increased offtake.
EBITDA turned positive at ₹200 crore against a loss of ₹383 crore a year earlier. The EBITDA margin improved to 4.5% from a negative 12.1%.
BCCL Operating Performance Shows Improvement
The turnaround came despite a 66% decline in other income to ₹158.6 crore and a 44% increase in finance costs to ₹48.74 crore.
The improvement points to stronger operating performance rather than a boost from non-operating income. However, the 4.5% EBITDA margin leaves earnings sensitive to changes in operating costs and coal sales realisations.
BCCL’s receivables also declined to ₹2,105 crore at the end of September from ₹2,863 crore in March. The ₹758 crore reduction represents a decline of around 26.5%. This signals progress in receivables management, although cash-flow data would help establish its broader impact on working capital.
BCCL Shares Remain Below Listing Price
Despite Monday’s rally, the stock remained around 31.1% below its listing price of ₹45. However, it traded approximately 34.9% above its issue price of ₹23.
The quarterly results provide a stronger operating basis for the share-price recovery. Sustaining this momentum will depend on the company’s ability to maintain sales realisations, expand margins and convert lower receivables into stronger cash flows in the coming quarters.
