Cochin Shipyard shares in focus today; here is why. Stock has fallen 20% in 6 months

Cochin Shipyard on Friday, November 22, said it has entered into a memorandum of understanding (MoU) with Seatrium Letourneau USA, Inc. (SLET) for the design and critical equipment for jack-up rigs for the Indian market.

This collaboration is in line with the government's efforts under the Make in India initiative, it added.

The stock of Cochin Shipyard has slipped 20% in the past six months. In comparison, the benchmark S&P BSE SENSEX has gained over 6.5%, as per the BSE data. 

For the quarter that ended September 30, 2024 (Q2 FY25), Cochin Shipyard reported a 4% year-on-year (YoY) increase in net profit at ₹189 crore. 

In the corresponding quarter of the previous fiscal year, Cochin Shipyard posted a net profit of ₹182 crore, the company said in a regulatory filing. The company's revenue from operations increased 13% to ₹1,143.2 crore as against ₹1,011.7 crore in the corresponding period of the preceding fiscal.

EBITDA was up 3.2% to ₹197.3 crore in the quarter under review against ₹191.2 crore logged in the corresponding period in the previous fiscal.

The company also declared an interim dividend of ₹4 per equity share of ₹5 each, fully paid up (80%), for the financial year 2024-25. It had fixed Wednesday, November 20, 2024, as the record date for the interim dividend. The interim dividend will be paid to the eligible shareholders on or before December 06, 2024.

In October, the government sold up to a 5% stake in Cochin Shipyard via offer for sale (OFS) at a floor price of ₹1,540 per share. 

In September, Cochin Shipyard launched two anti-submarine warfare shallow water crafts that were manufactured here for the Indian Navy.