Coal India Q1 FY27 Results: Capital Expenditure Grows 16.64% to ₹3,399 Crore

Coal India Limited (CIL) reported a capital expenditure (capex) of ₹3,399 crore during the first quarter of FY27, marking a 16.64% year-on-year (YoY) increase from ₹2,914 crore spent in the same period last year.

The company also surpassed its quarterly capex target of ₹3,349 crore, achieving 101.5% of its planned spending. The Q1 expenditure accounts for 20.6% of Coal India's full-year capex target of ₹16,500 crore for FY27.

Land Acquisition Remains the Largest Spending Area

Coal India spent ₹804 crore on land acquisition and rehabilitation & resettlement (R&R) activities during the quarter, making it the largest area of expenditure.

The company said land acquisition remains essential for starting new mining projects and expanding existing operations. Reflecting its importance, ₹4,173 crore has been allocated for land acquisition and related activities in the FY27 capex plan.

Investment in Coal Evacuation Infrastructure Continues

The company invested ₹754 crore in railway sidings and rail corridors to improve coal transportation.

It also spent ₹195 crore on coal handling plants (CHPs), silos, weighbridges and roads. Together, investments in coal evacuation infrastructure totalled ₹949 crore during the June 2026 quarter.

Plant and Machinery Spending Supports Mining Expansion

Capital expenditure under the Plant and Machinery (P&M) segment stood at ₹819 crore.

This included investments in heavy earth moving machinery (HEMM), washeries, and other equipment required for mining operations. The P&M segment accounted for nearly one-fourth of the company's total capex during the quarter.

According to Coal India Chairman Shri B. Sairam, spending on land acquisition, coal evacuation infrastructure and plant & machinery together contributed more than 75% of the company's total capital expenditure in Q1 FY27. He said these investments will support the company's production and coal supply targets during the current financial year.

Coal India Expands Renewable Energy Investments

As part of its diversification strategy, Coal India invested ₹278 crore in solar power projects during the quarter.

The company also invested ₹207 crore in its joint ventures, reflecting its continued focus on expanding into renewable energy and related businesses.

Capex Momentum Continues

Coal India had also exceeded its annual capital expenditure target in FY26 by spending ₹19,607 crore, compared with the target of ₹16,000 crore.

The company said its continued investment in mining infrastructure, coal transportation and clean energy projects is aimed at strengthening long-term operational capacity and supporting future growth.

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Coal India Share Price Movement

Coal India share price (NSE: COALINDIA) was under pressure on July 28, 2026, with the stock trading at ₹410.85, down 3.89% (₹16.65) for the day as of 2:22 PM IST. The stock opened at ₹422.90, touched an intraday high of ₹423.60, and slipped to a low of ₹406.80. 

Conclusion

Coal India's higher capital expenditure in Q1 FY27 reflects its continued focus on expanding mining capacity, improving coal evacuation infrastructure and increasing investments in renewable energy. By exceeding its quarterly target, the company has made a strong start towards achieving its FY27 capex goals while supporting future production and operational efficiency.

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