• Downside in revenue is largely on account of mining segment, which sells lignite in external market apart from captive consumption for its own power plant. Mining sales was lower by 15% to Rs 312.78 crore (or 83% of total sales). On the other hand the power segment revenue has more than doubled (up 103% to Rs 62.39 crore). On EBIT level both mining and power have turned in weak performance. The segment profit of mining was lower by 13% to Rs 157.52 crore on account of lower sales with its segment margin expanding by 160 bps to 50.4%. However the power segment registered a loss of Rs 2.19 crore compared to a loss of Rs 28.01 crore in the corresponding previous period.

• Other income jumped by 67% to Rs 39.68 crore. The interest cost was nil compared to Rs 2.00 crore in the corresponding previous period. The depreciation was higher by 19% to Rs 29.60 crore. Thus the PBT was up by 19% to Rs 186.10 crore. EO expenses for the quarter was Rs 20.36 crore (against nil in Q3FY12) towards Rs 16.25 crore and Rs 4.10 crore towards payment of invoked bank guarantee by Coal ministry given on behalf of Naini Coal Company and provision of advances given to said company.

• The taxation was higher by 23% to Rs 53.52 crore and the tax incidence was also higher at 32.3% compared to 27.9% in corresponding previous period.

YTD performance

Sales were higher by 13% to Rs 1232.13 crore. The operating profit was higher by 28% to Rs 661.89 crore facilitated by higher sales and 660 bps expansion in OPM. The other income was higher by 151% to Rs 121.52 crore, the interest cost was nil (Rs 6.91 crore in Q3FY12) and the depreciation was higher by 17% to Rs 89.04 crore. Eventually the PBT was higher by 44% to Rs 694.37 crore. The tax was higher by 46% to Rs 222.45 crore and the net profit was eventually higher by 38% to Rs 451.56 crore.

The stock hovers around Rs 193.65.