Bharat Coking Coal shares jump over 7%. What's behind the sharp surge?

Shares of Bharat Coking Coal rose 7.5% to Rs 37.70 on the BSE on Friday as global coking coal prices surged more than 18% over the past two sessions. The commodity gained 10% on Friday alone and moved close to two-year high levels.

The sharp rise in coking coal prices comes shortly after the CEO of Australian mining major BHP said that the "best years" for coking coal "are potentially still ahead", bringing renewed focus on the outlook for the key steelmaking raw material.

Premium hard coking coal prices have risen 25% this year to average $236 per metric ton on a freight-on-board (FOB) Australia basis during the first seven months of 2026, Reuters said in a report.


Prices have remained higher this year due to supply disruptions in Australia, a slower-than-expected ramp-up at new mines and price support from the conflict in the Middle East. More recently, prices have also been supported by a large accident at a coal mine in Shanxi, China.

Coking coal is a key raw material used in steel production, making the sharp increase in global prices a key development for companies exposed to the commodity.

Bharat Coking Coal Q1

The company posted a net loss of Rs 68 crore for the April-June quarter of FY27, compared to a net profit of Rs 177 crore in the corresponding quarter of the previous financial year.

The company's revenue from operations fell around 4% year-on-year (YoY) to Rs 3,587 crore during Q1 of the ongoing financial year 2027, from Rs 3,720 crore in the year-ago period.

Total expenses meanwhile rose around 5% YoY to Rs 3,826 crore, while EBITDA was slashed around 81% YoY to Rs 71.5 crore in Q1 FY27, from Rs 373 crore in Q1 FY26. The sharp drop in first-quarter earnings came as production dropped over 27% YoY to 9.53 million tonnes, while offtake output reduced 14% YoY to 10.62 million tonnes. It missed its Q1 targets on both fronts.

EBITDA margin plunged to 1.92%, while profit margin slipped to a negative 1.83%. Return on average capital employed (ROCE) stood at a negative 3.80% during the quarter which ended on June 30, 2026.

Bharat Coking Coal share price

Bharat Coking Coal made a stellar debut on stock exchanges in January this year, listing at a 96% premium over the IPO price at Rs 45 apiece on the NSE. This came after the Rs 1,071 crore IPO, which was entirely an offer for sale by promoter Coal India Limited, received an overwhelming response from investors.

After the blockbuster market debut, the shares of the company dropped 34% in around two months to hit a record low of Rs 29.74 apiece in March this year. The stock had, however, recovered around 16% since then.

Bharat Coking Coal shares have fallen over 5% in one week and down 14% in one month. The company currently has a market capitalisation of more than Rs 16,383 crore.

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