Rs 25,231.29 crore order book: Defence shipbuilding company bags international order worth USD 108 million from Carsten Rehder Schiffsmakler and Reederei GmbH & Co

The stock has delivered multibagger returns of 165 per cent from its 52-week low and a whopping 1,000 per cent in 5 years.

GRSE has secured an additional order for four multi-purpose vessels from Carsten Rehder Schiffsmakler and Reederei GmbH & Co., KG Germany. This follows an initial contract signed in June 2024 for two vessels. The new order, totalling eight vessels in total, is valued at approximately USD 108 million. Each vessel will be 7,500 DWT and will be designed, built, and delivered by GRSE. The construction period for each vessel is estimated to be 33 months from the date of contract signing.

GRSE's upgradation to 'Schedule A' CPSE status is a testament to its strong financial performance, operational excellence, and vital role in bolstering national security. This significant milestone, officially recognized by the Department of Public Enterprises on September 17, 2024, will empower GRSE to expand its senior management capabilities and fortify its position as a key player in the Indian shipbuilding industry.

On Wednesday, shares of Garden Reach Shipbuilders & Engineers Ltd plunged 0.49 per cent to Rs 1,717.25 with an intraday high of Rs 1,767.15 and an intraday low of Rs 1,705 from its previous closing of Rs 1,725.65.

About the Company

Garden Reach Shipbuilders & Engineers Ltd (GRSE) is a premier shipbuilding company in India, operating under the administrative control of the Ministry of Defence. It primarily caters to the shipbuilding requirements of the Indian Navy and the Indian Coast Guard. The company has a market cap of over Rs 19,000 crore.

Garden Reach Shipbuilders & Engineers Limited (GRSE), a leading Indian warship builder, has reported robust financial performance for the first quarter of the fiscal year 2024. The company's total income surged by 31 per cent to Rs 1,084 crore compared to the previous year, driven by a 34 per cent increase in operating revenue to Rs 1,010 crore. GRSE's profitability also improved, with Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA) rising 11 per cent to Rs 130 crore. Consequently, Profit Before Tax (PBT) and Profit After Tax (PAT) grew by 13 per cent each, reaching Rs 115 crore and Rs 87 crore, respectively.

The order book as of June 30, 2024, stands at Rs 25,231.29 crore. The stock has delivered multibagger returns of 165 per cent from its 52-week low and a whopping 1,000 per cent in 5 years. Investors should keep a close watch on this small-cap shipbuilding stock.

Disclaimer: The article is for informational purposes only and not investment advice.