Despite a difficult industry scenario, State-owned NMDC Ltd has retained its Navratna status after the annual financial performance review by the Inter Ministerial Committee (IMC).
The Navratna tag is crucial for NMDC for its modernisation and expansion plans as it lends flexibility to the management in taking decisions. On a scale of 100, NMDC scored 79 points.
For the status, minimum score is 60. The IMC evaluated NMDC based on six ratios — net profit to net worth, manpower cost to total cost of production, PBDIT to capital employed, PBIT to turnover, earnings per share and inter-sectoral performance. NK Nanda, Director, Technical, NMDC, said, “With substantial investments in multiple projects to augment our production and evacuation facilities and entry into steel making, reconfirmation of Navratna tag underscores NMDC’s strong fundamentals.” NMDC has been without a full-time CMD since January.
Bharati Sihag, Additional Secretary and Financial Advisor to Steel Ministry, is officiating as the CMD. She is expected to hold charge till June 30, or till a full-time CMD is appointed.