Coal India reported a higher-than-expected third-quarter profit on Monday as the state-run miner increased production to meet rising electricity demand in the country. The company also declared a second interim dividend.
Despite commitments to develop renewable energy sources like solar and wind, coal generates nearly three-fourths of India’s power.
Coal India’s consolidated net profit for the quarter ended December 31 rose by about 17% to 90.69 billion rupees ($1.1 billion), surpassing analysts’ average estimate of 77.94 billion rupees, according to LSEG data.
During this quarter, the Kolkata-based company, responsible for 80% of the country’s annual coal output, increased its mining activities for the fossil fuel.
Production surged by 10.5% year-on-year.