Synopsis:
Knowledge Marine & Engineering Works secured a Rs. 384.33 crore, 15-year contract from Visakhapatnam Port Authority to operate and manage a battery-powered Green Tug, strengthening its position in sustainable maritime operations and India’s green tug expansion.
This company provides dredging services, owning and operating marine craft, and repairing, maintaining and refitting marine crafts and marine infrastructure is now in the focus after it secured an order worth Rs. 384.33 cr from Visakhapatnam Port Authority.
With market capitalization of Rs. 3,321 cr, the shares of Knowledge Marine & Engineering Works Ltd are currently trading at Rs. 2,716 per share, increasing 2% in today’s market session making a high of Rs. 2,780, from its previous close of Rs. 2,715.25 per share.
About the order
Knowledge Marine & Engineering Works Ltd (KMEW) has secured a major long-term contract worth Rs. 384.33 crore from the Visakhapatnam Port Authority (VPA). The order involves manning, operation, maintenance, and complete technical management of a contractor-owned 60-ton, battery-operated electric Green Tug under India’s Green Tug Transition Program (GTTP). The contract will be executed over 15 years, strengthening KMEW’s position in sustainable maritime operations.
This marks KMEW’s second major green-tug order, reflecting strong confidence in the company’s technical capability, energy-efficient engineering, and operational performance. It reinforces KMEW’s leadership in India’s maritime decarbonization push and aligns with initiatives like Maritime India Vision 2030 and the nation’s broader climate goals. The electric tug, built with advanced zero-emission battery systems, supports cleaner port operations and reduces carbon emissions.
The company expects significant cost synergies by building two green tugs together benefiting from bulk procurement, standardized components, and replicated engineering workflows. This improves project economics, reduces overheads, and enhances operational efficiency. The back-to-back 15-year contracts also strengthen revenue visibility and fortify KMEW’s credentials for future tenders in the expanding green-tug market, estimated at Rs. 10,000 crore.
About the company
Incorporated in 2015, Knowledge Marine & Engineering Works Ltd operates in marine craft ownership and services, including dredging, vessel repair/refit, and marine infrastructure work. The company offers hydrographic surveys, magnetometer surveys, and technical maintenance solutions, and has grown from a small repair unit into a ship-owning marine engineering player. It also holds a strong order book from key clients such as the Ministry of External Affairs, major port trusts, and the Dredging Corporation of India.
The company reported a soft performance YoY in Q2 FY26. Revenue declined about 4.4% to Rs. 50.2 crore, while EBITDA fell around 4.8% to Rs. 20.0 crore. Net profit dropped approximately 8.5% to Rs. 11.9 crore, and EPS decreased about 10.9% to Rs. 10.37, reflecting a weaker quarter compared to last year.
The company reports a ROCE of 24.7% and an impressive ROE of 25.8%. It has delivered strong profitability, achieving 61.3% CAGR profit growth over the past five years, and maintains a solid track record with a 3-year average ROE of 29.3%.
Written by Manideep Appana
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