Rs 36,839 Crore Order Book: Debt-Free Multibagger Shipbuilding Company Bags New Order Worth Rs 121,67,60,768 From MAHAGENCO

The stock gave multibagger returns of 105 per cent in just 1 year and a whopping 1,575 per cent in 3 years.

Maharashtra State Power Generation Company Limited (MAHAGENCO) has awarded a contract to Mazagon Dock Shipbuilders Limited (MDL) for the supply, installation, and commissioning of an AI-based Comprehensive Infrasecure Project at its GTPS-Uran and KGSC-Pophali power plants. The total contract value is Rs 121,67,60,768. This project will enhance the security and surveillance capabilities of these power plants. The contract is domestic in nature and is expected to be executed by October 10, 2025. Both MAHAGENCO and Mazagon Dock Shipbuilders Limited are government companies, and there is no conflict of interest in this contract.

Earlier, Mazagon Dock Shipbuilders Ltd (MDL), a Navratna DPSU, initiated the production of the first Multipurpose Cargo Vessel (MPV) for Navi Merchants, Denmark. The plate-cutting ceremony was graced by Mr Simon Christensen, CEO of Navi Merchants. Joined by Mr Sanjeev Singhal, Chairman and Managing Director of MDL, Mr Simon commenced the cutting of the first steel plate. MDL has signed a contract with Navi Merchants to build six MPVs, each with a capacity of 7500 DWT. These vessels, valued at 86.05 million USD, will feature hybrid propulsion and meet stringent emission standards. Designed as Ice Class 1B, they will be equipped with a single screw, controllable pitch, medium-speed diesel engine, and electrical energy storage systems. Capable of transporting various cargo types, including dry bulk, project cargo, and containers, the first vessel is scheduled for delivery in April 2026.

About the Company

Mazagon Dock Shipbuilders Limited (MDL), a renowned Indian shipyard established in 1774, has a rich history of building a wide range of vessels, including warships, submarines, cargo/passenger ships, and offshore platforms. Having constructed over 800 vessels since 1960, MDL has consistently demonstrated its shipbuilding prowess. In recognition of its significant contributions to India's Defence industry, MDL was conferred the prestigious 'Navratna' status in June 2024, joining the ranks of India's top-performing public sector enterprises. This elevation is a testament to MDL's strong financial performance, consistent track record, and commitment to strengthening India's defence capabilities.

According to its Quarterly Results, the net sales increased by 8.5 per cent to Rs 2,357.02 crore and net profit increased by 121.45 per cent to Rs 696.10 crore in Q1FY25 compared to Q1FY24. In its annual results, the net sales increased by 24 per cent to Rs 10,568.05 crore and net profit increased by 73 per cent to Rs 1,936.97 crore in FY24 compared to FY23. As of June 30, 2024, the company is debt-free.

As of June 30, 2024, the company’s order book stands at Rs 36,839 crore and as of June 2024, FIIs and DIIs have increased their stakes to 2.44 per cent & 0.83 per cent, respectively compared to 2.38 per cent & 0.66 per cent, respectively in March 2024. The company has a market cap of over Rs 88,000 crore. The stock gave multibagger returns of 105 per cent in just 1 year and a whopping 1,575 per cent in 3 years. Investors should keep an eye on this stock.

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