The shares of Miniratna PSU company, specializing in constructing a wide range of vessels, including tankers, bulk carriers, offshore platforms, and naval ships, jumped upto 2 percent upon signing a Memorandum of Understanding (MOU) with Drydocks World
Price action
With a market capitalization of 35,469.87 Crores on Wednesday, the shares of Cochin Shipyard Limited jumped upto 1.6 percent, making a high of Rs. 1398.70 compared to its previous closing price of Rs. 1378.75.
What Happened
Cochin Shipyard Limited, engaged in constructing a wide range of vessels, including tankers, bulk carriers, offshore platforms, and naval ships, has signed a Memorandum of Understanding (MOU) with Drydocks World, a DP World company and a leading service provider for the maritime and offshore oil and gas and renewable energy industries globally.
The MoU aims to develop ship repair clusters in India, supported by the Ministry of Ports, Shipping, and Waterways, and also helps to enhance India’s maritime infrastructure, increase repair capacities, and explore offshore fabrication opportunities.
It will also focus on creating world-class facilities in Kochi and Vadinar, engaging with major ports, and expanding into areas like offshore fabrication and marine engineering. This partnership aligns with India’s Maritime Vision 2030 and ‘Atmanirbhar Bharat,’ positioning India as a global maritime hub and creating new job opportunities.
About the Company
Cochin Shipyard Ltd is a premier shipbuilding and ship repair company based in Kochi, Kerala, and is one of India’s largest and most technologically advanced public sector shipyards. Established in 1972, Cochin Shipyard is renowned for its expertise in building high-quality ships and offshore platforms, as well as providing services in marine engineering and fabrication.
Order book Segmentation
As per the latest data, Cochin Shipyard Ltd. has a robust order book of Rs. 22,500 crores, with defence contracts making up the largest share of Rs. 15,028 crores (70%). Commercial orders total Rs. 4,452 crores, split between domestic (Rs. 1,225 crores, 6%) and exports (Rs. 3,227 crores, 15%). Additionally, subsidiaries contribute Rs. 2,057 crores (9%), while ship repair orders are valued at Rs. 1,000 crores.
Financials
The company’s revenue rose by 7.2 percent from Rs 1,114.11 crore to Rs 1,194.42 crore in Q3FY24-25. Meanwhile, Net profit declined from Rs. 244.38 crores to Rs. 176.99 crore during the same period.
Written by Sridhar J
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