NMDC Q1 profit rises to Rs 2,007 crore, production up 26%

NMDC posted a 2% rise in net profit to Rs 2,007 crore for the first quarter of FY27, Business Today reports. Revenue climbed 2% to Rs 6,795 crore, while iron ore production jumped 26% to support the company’s target of 60 million tonnes for the full year. EBITDA was Rs 2,817 crore, up 1% year-on-year.

Chairman Amitava Mukherjee said the company had started FY27 with higher production and improved profitability, adding that the focus was on scaling volumes to reach 100 MT by 2030. However, brokerage Nuvama noted that Q1 EBITDA of Rs 2,470 crore missed its estimate of Rs 2,620 crore. Despite this, Nuvama upgraded NMDC to "Buy", valuing the stock at Rs 97, citing a likely bottom in domestic iron ore prices and higher volumes supporting earnings in the second half.

NMDC’s key receivables rose Rs 130 crore quarter-on-quarter to Rs 9,560 crore. Outstanding dues from RINL and NMDC Steel fell Rs 117 crore to around Rs 11,160 crore. Nuvama expects NMDC Steel turning profitable to help reduce receivables.