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Cochin Shipyard shares fall 4% after Q1 profit drops 19.4%
The shipyard reported consolidated net profit of ₹151.45 crore for the June quarter, down 19.4% year on year, as operating costs rose and EBITDA margin eased to about 17.7%.
Shares of Cochin Shipyard fell about 4% in intraday trading on Monday, to ₹1,435 apiece, after the company reported weaker results for the June quarter.
LiveMint Markets said Cochin Shipyard’s consolidated net profit declined 19.4% year on year to ₹151.45 crore, versus ₹188 crore in the year-ago period. On a quarter-on-quarter basis, net profit was down 45.2%, while revenue from operations rose 2.4% year on year to ₹1,094.21 crore, though it fell 26% versus the March quarter.
Operating performance also deteriorated, with EBITDA around ₹193.18 crore compared with ₹240.34 crore a year earlier, and the EBITDA margin moderating to about 17.7% from 22.5%. Total expenses rose to ₹958.76 crore in the June quarter from ₹873 crore a year ago.
Segment-wise, shipbuilding revenue grew 59.5% year on year to ₹700.04 crore and segment profit, measured as PBIT, rose 75.5% to ₹63.89 crore. In contrast, ship repair revenue fell 37.4% year on year to ₹394.17 crore, while segment profit declined 51.5% to ₹135.02 crore. The company also said its OFS received a strong response from investors, as part of the government disinvestment programme via DIPAM.