NMDC Share Price in Focus; Extends Losses for the 2nd Straight Session

NMDC’s share price traded 0.05% lower at ₹211.40 at 11:20 AM on the NSE, after opening at ₹215.50, slightly higher than the previous close of ₹213.15. The stock had declined 0.5% in the previous trading session. The company also has declared a 2:1 bonus issue, with the ex-date set for December 27, 2024.

Bonus Issue Details

NMDC has announced a 2:1 bonus issue, where for every 1 share held, shareholders will receive 2 bonus shares. This issue is set to take place with an ex-date of December 27, 2024.

A similar 2:1 bonus issue was previously made, with the ex-date set for May 21, 2008, where shareholders received 2 bonus shares for every 1 share held.

Q2 FY25 Financial Highlights

NMDC reported a robust performance with a significant 18.1% year-on-year increase in profit after tax, reaching ₹1,211.57 crore, for the quarter ending September 30, 2024.

The company also saw a strong 22.5% rise in revenue, amounting to ₹4,918.91 crore. profit before tax grew by 14.97% YoY, totalling ₹1,614.21 crore.

Despite the rise in expenses, including a 16.3% increase in royalty and levies, NMDC’s financials demonstrated strong growth driven by higher sales and efficient cost management.

The results reflect the company’s solid performance and its continued dominance as India’s largest iron ore producer.

About NMDC

National Mineral Development Corporation (NMDC), a Navratna Public Sector Enterprise under the Ministry of Steel, Government of India is the single largest producer of iron ore in India. It owns and operates highly mechanised iron ore mines in Chhattisgarh and Karnataka and has its registered office at Hyderabad, Telangana. NMDC is considered to be one of the low-cost producers of iron ore in the world. It also operates the only mechanised diamond mine in India at Panna, Madhya Pradesh.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.