Cochin Shipyard’s net profit rose by 10.8% from last year to ₹287 crore. Revenue for the quarter also jumped by 37% from last year to ₹1,758 crore.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter declined by 7.6% from the year-ago period to ₹266 crore, while margins stood narrowed by 730 basis points to 15.10% from last year’s 22.40%.
The board recommended a final dividend of ₹2.25 per equity share of face value of ₹5 each, for the financial year 2024-25.
This will be subject to the approval of the shareholders at the ensuing Annual General Meeting (AGM) of the company. The final dividend would be paid within 30 days from the date of its declaration at the AGM.
Antique Stock Broking expected Cochin Shipyard’s revenue growth to remain healthy driven by short-cycle orders. It is targeting a sustained EBITDA margin of 20%–22% in the medium-term.
The brokerage noted that a rise in the share of ship-repair business can positively rub-off on blended margins. However, higher depreciation may drag earnings growth in FY26 as the company has completed an ₹2,800 crore capex programme in 2024.
Antique also said that Cochin Shipyard’s present order book stands at ₹22,500 crore, which provides a revenue visibility of almost five years.
As compared to Mazagon Dock Shipbuilders and Garden Reach Shipbuilders & Enginers, the company’s order pipeline is relatively muted due to the deferral of IAC-II order. As a result, Antique expects the stock to underperform MDL and GRSE, given inferior revenue visibility.
Out of five analysts tracking on Cochin Shipyard, three has a ‘Buy’ rating, while one each has a ‘hold’ and a sell’ recommendation.
Shares of Cochin Shipyard Ltd. are currently trading 5.23% higher at ₹1,788.30. The stock has risen nearly 26% in the last five days.
First Published: May 15, 2025 11:27 AM IST
