Pure ore profit: uncover how NMDC’s 60% margins are fueling India’s steel self-reliance.

Business Overview NMDC is India’s largest iron-ore miner, wholly owned by the central government. It operates flagship mines in Chhattisgarh and Karnataka, supplying captive steel plants and merchant customers. With ore grades above 63%, it commands a premium in domestic and export markets. The company is exploring beneficiation and pelletisation to move up the value chain and enter downstream steelmaking. Financial Performance & Valuation NMDC posted a steady EBITDA margin near 60% in FY25, driven by high ore grades and low operating costs. Revenue held flat year-on-year as volumes rose but realisations softened from record highs. Sitting on net cash, the stock trades at an EV/EBITDA multiple of around 3x—well below global mining peers trading nearer 6x to 8x. Analyst upgrades center on stable dispatch volumes and incremental capacity additions. Key Metrics - EBITDA margin: 60% - Net cash position - EV/EBITDA: 3x Catalysts - India’s push for steel self-reliance under PLI schemes - Higher export volumes amid global supply gaps - Upstream pellet and sponge iron projects boosting realisations Risks - Fluctuating global iron-ore prices on Chinese demand swings - Regulatory or environmental hurdles delaying new mines - Overdependence on a single commodity cycle