NMDC Limited reported a 19.9% year-on-year increase in iron ore production to 5.31 MT in May 2026, up from 4.43 MT in May 2025. The state-owned miner disclosed provisional operational data for the month and the cumulative period up to May 2026 for FY 2026-27. Sales volume for the month declined to 4.04 MT from 4.34 MT in the corresponding period of the previous year.

Operational Performance

The Chhattisgarh sector drove the production growth, with output rising to 3.99 MT in May 2026 from 3.06 MT in May 2025. Sales in this region increased to 3.34 MT from 3.00 MT. Conversely, the Karnataka sector saw production dip to 1.32 MT from 1.37 MT, while sales fell significantly to 0.70 MT from 1.34 MT year-on-year.

Cumulative Data for FY27

For the cumulative period ending May 2026, total production reached 9.96 MT, compared to 8.43 MT in the same period of the previous year. Total sales for the period stood at 7.72 MT, slightly lower than the 7.94 MT recorded in the corresponding period of FY 2025-26.

The disclosure was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

NMDC has outlined a multi-pronged operational and financial strategy, anticipating EBITDA margins in the range of 42% to 43% for FY27. Alongside this profitability guidance, the company has set a coal production target of 0.75-1 million tons from its captive mine for Q2 and expects higher profits from NMDC Steel during the current year, reflecting growing confidence across its business verticals.

EBITDA Outlook for FY27

NMDC anticipates maintaining its EBITDA margin between 42% and 43% for FY27. This guidance signals the company's focus on sustaining strong operational efficiency and cost discipline across its mining and steel operations, reinforcing its financial resilience over the medium term.

Coal Extraction Target

NMDC has set a coal production target of 0.75-1 million tons from its captive mine for Q2. This initiative underscores the company's strategy to strengthen its upstream resource base and reduce dependence on external coal procurement for its steel operations.

NMDC Steel Profit Outlook

In addition to its coal extraction plans and EBITDA guidance, NMDC anticipates higher profits from NMDC Steel this year. This outlook reflects the company's expectations of improved operational efficiency and better financial returns from its integrated steel plant, further strengthening the overall business performance of the group.