The shares of this company reacted positively after it announced that it received an order from Mazagon Dock Shipbuilders, a leading manufacturer of warships and submarines for the Indian Navy, which boosted investors’ confidence. Let’s look more about the details of this order.
With a market capitalization of Rs 2,636 crores, the shares of Marine Electricals (India) Ltd are currently trading at Rs 191 per share, down by 42.6 percent from its 52-week high of Rs 333 per share. In the last one year, the stock has delivered a superior return of 85.44 percent.
About the order
Marine Electricals (India) Limited has acquired an order of Rs. 30.50 crores (excluding taxes) from Mazagon Dock Shipbuilders Limited, for the delivery of electrical equipment and AMCS for the MPV Project.
The delivery of the project will be over in a period of 27 months, enabling a systematic and timely completion of the supply and installation. This transaction further consolidates Marine Electricals’ position in the shipping sector and reflects its engagement in large-scale, complex projects.
The company has further made it clear that neither any of its Promoter/Promoter Group nor any relative thereof has any financial interest in this order and that, accordingly, it does not constitute a related party transaction in terms of relevant regulations.
About the company
Marine Electricals (India) Limited offers a variety of marine and industrial electrical and electronic solutions in India and overseas. It deals in two segments, namely Electricals & Electronics, and Solar.
The company provides services such as power generation and distribution, navigation and communication systems, electrical propulsion, and turnkey installations for the marine industry. It also undertakes maintenance, upgrade, and life extension of electrical systems, as well as design and fabrication services.
The company reported a consolidated revenue of Rs 193.80 crores in Q3 FY25, up by 32 percent from its Q3 FY24 revenue of Rs 146.65 crores. However, it saw a decline of 10 percent in its net profit as it reported a net profit of Rs 4.78 crores in Q3 FY25 against Q3 FY24 net profit of Rs 5.32 crores. It has an ROE and ROCE of 11.2 percent and 15.39 percent respectively and is currently trading at a P/E of 71.76x, much higher than its industry average of 48.74x.
Written by Satyajeet Mukherjee
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