State-owned Mazagon Dock Shipbuilders Ltd expects a positive growth momentum going ahead after a healthy rise in net profit and revenue in the December quarter (Q3FY24). The company continues to maintain revenue guidance at 12-15% for FY24, according to Sanjeev Singhal, Chairman & Managing Director of Mazagon Dock Shipbuilders.
"We continue to maintain that the growth for the current year would be around 12 to 15%. So, 15% is slightly on the higher side which we are targeting. Going ahead for FY 2025, definitely, there would be growth. Putting the numbers right now would be slightly difficult but what we can say is that there has been a healthy addition to the orderbook," Singhal said in an exclusive interview with CNBC-TV18.
The company's consolidated net profit surged 76.97% to ₹354.16 crore in the December quarter. Its revenue from operations stood at ₹2,362.47 crore, registering a healthy 30.1% year-on-year growth. On a nine-month basis, Mazagon Dock Shipbuilders' revenue increased to ₹ 6,362.9 crore YoY.
In September, the company said that it expected revenue growth of 12-15% for the current financial year, compared to the 10-12% it guided for earlier.
The company witnessed a decline in its order book for the last couple of years. However, in FY 2023-24, it made improvements in this segment.
"For the current year, FY 2023-24, I am happy to share that we have added fresh orders worth almost more than ₹7,000 crore. So, this is a pretty healthy addition and we are also looking for further orders depending upon what time they materialize. So going ahead we definitely will see positive growth in terms of volume of production, revenue and fresh orders," Singhal added.
The company has received three orders from the Ministry of Defence for cadet training ships, offshore patrol vessels and fast patrol vessels. In addition, there is also an export order. Mazagon Dock Shipbuilders also secured an order from ONGC for a sea pipeline replacement project.
Mazagon Dock Shipbuilders is engaged in building and repairing ships, submarines, various types of vessels and related engineering products for its customers
Shares of Mazagon Dock settled 0.50% higher at ₹2,158 apiece on NSE.
(Edited by : Ajay Vaishnav)
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