GMDC Q1 FY '25 Results Conference Call Summary
Key Highlights
• Coal Production Goals
• Targeting over 9 million tons in coal production for FY '25.
• Plans for further growth in FY '26.
• Strategic Expansion
• Declared preferred bidder for coal mines in Odisha.
• Focus on expanding operations beyond Gujarat.
• Project Developments
• Progress on multi-metal and Rare Earth projects with significant developments expected in 2-3 years.
• Groundbreaking for Baitarani-West coal mine anticipated in Q1 FY '26.
• Growth Transformation
• Aiming for a fourfold increase in business by 2030, leveraging lignite operations.
• Emphasis on strategic pricing to maintain margins around 30%.
Financial Projections
• Sales and Margins
• Targeting over 9 million tons in sales for FY '25.
• Operating margin projected at 30%.
• Capital Expenditures
• Plans for over INR 3,000 crores annually for the next three years.
• Target internal rate of return of 15% for coal block bids.
• Debt-to-equity ratio to remain below 1%.
Revenue Growth Strategy
• Diversification Plans
• Aiming to quadruple revenues by the end of the decade.
• Balanced revenue contribution from lignite, coal, and critical minerals.
• Operational Updates
• Akrimota Thermal Power Station expected to become profitable next financial year.
• Focus on critical minerals and addressing operational challenges in copper assets.
Missions Overview
• Mission 18.0
• Targeting 1.8 million tons of lignite sales during the monsoon quarter.
• Mission 2000
• Aiming to increase active customer base to over 2,000.
Conclusion
• The call concluded with gratitude to participants and a commitment to provide updates on ongoing projects and financial performance in future communications.

Meeting Overview
• Date: February 16, 2023
• Moderated by: Yashashree
• Key Executives:
• Roopwant Singh (Managing Director)
• L. Kulshrestha (CFO)
Production Challenges
• Targets: Ambitious goal of 10 million tonnes.
• Issues:
• Adverse weather conditions.
• Safety concerns at Tadkeshwar project.
• Resource exhaustion at Bhavnagar project.
• Outlook: Optimism about resolving issues and achieving future production goals.
Financial Insights
• Capital Budget: Rs. 2500 crore for land acquisition and project expansions.
• Cash Reserves: Rs. 2500 crore with a 6.5% interest yield.
• CapEx Plans:
• Rs. 2400 crore planned for FY24.
• 40% for Brownfield projects, 60% for Greenfield projects.
Production and Pricing Strategies
• Production Targets:
• FY23 target: Exceed 8 million tons.
• Long-term goal: 30 to 50 million tons.
• Current Realization: ₹4200 per metric ton with minor fluctuations.
• Sales Volume: 13% decline reported for Q3.
Project Updates
• Bhavnagar Project: Expected to contribute 3.3 million tons with two contractors for efficiency.
• Bauxite and Fluorspar: Bauxite disposal targeting 0.88 million tons for the next financial year.
Strategic Initiatives
• Project Shikhar: Ongoing consulting projects with Boston Consulting Group and Mackenzie.
• Sustainability Efforts: Exploring partnerships for green solutions and sustainable practices.
Leadership and Future Outlook
• Management Strength: Assurance of strong second-tier leadership.
• Regulatory Preparedness: Awareness of potential regulatory changes affecting fossil fuels.
• Future Growth: Emphasis on leveraging existing assets for capital generation and responsible production expansion.
Conclusion
• Record Performance: Highlighted record-breaking profit before tax figures.
• Invitation for Further Inquiries: Call concluded with gratitude towards participants.