Garden Reach Shipbuilders to construct and deliver an additional four vessels for $54 million

Garden Reach Shipbuilders will construct and deliver an additional four multi-purpose vessels of 7,500 deadweight tons (DWT) each. Following this, the total number of such vessels under the contract will come up to 8.

The company reported that the company will design, build, and deliver the vessels after completion with the order value for 4 vessels pegged at $54 million. The order is expected to be executed within 33 months from the signing of the contract. The total value of all 8 vessels is approximately $108 million.

Additionally, the company also informed that the Government of India has upgraded the company from Schedule B to Schedule A central public sector enterprise (CPSE). The company credited its financial performance, operational prowess, and contribution to national security for the upgrade. With the Schedule A CPSE status, the company will be able to bolster its management capacity resulting in improved efficiency and management.

In August, Garden Reach Shipbuilders announced that it has signed a memorandum of understanding (MoU) with the National Highway Infrastructure Development Corporation (NHIDCL) for the fabrication, supply, and launching of double-lane class 70 modular steel & bailey bridges.

For the quarter ended June 30, 2024, the company reported a 13% year-on-year (YoY) rise in net profit to ₹87 crore. The company’s revenue from operation for the quarter grew 34% YoY to ₹756 crore. Meanwhile, the earnings before interest, taxes, depreciation, and amortisation (EBITDA) for the quarter climbed 11% YoY to ₹130 crore.

Shares of the company have risen by nearly 103% since the beginning of the year. The stock has gained over 110% in the past year.