Cochin Shipyard (COCHINSHIP) Q4 14/15 earnings summary

Executive summary

• FY15 turnover reached ₹1,859.51 crore; PBT was ₹367.56 crore and PAT ₹235.07 crore, with growth despite recessionary conditions in shipping and shipbuilding.

• Delivery pace improved on Coast Guard Fast Patrol Vessels; work on the Indigenous Aircraft Carrier advanced, while its occupation of the repair dock constrained ship-repair revenue.

Financial highlights

• Revenue from operations was ₹1,859.51 crore vs ₹1,652.66 crore in FY14; total revenue was ₹1,952.97 crore vs ₹1,728.64 crore.

• PBT rose to ₹367.56 crore from ₹290.96 crore; PAT increased to ₹235.07 crore from ₹194.24 crore.

• EPS was ₹20.75 vs ₹17.15; reserves and surplus reached ₹1,447.79 crore, up from ₹1,239.25 crore.

• Operating cash flow was ₹1,098.16 crore vs cash outflow of ₹439.38 crore in FY14; cash and bank balances closed at ₹1,419.45 crore.

Outlook and guidance

• Strategic goals for FY16 include pursuing LNG carrier, dredger, submarine, LPD and seismic-vessel orders, securing passenger-ship nominations, and building technology alliances.

• The LNG-carrier tender covers nine vessels, with three mandated for Indian construction; technology arrangements with Samsung Heavy Industries and GTT support participation.

• A new 320 × 75 × 13 m dry dock is under preliminary development; Ministry of Shipping gave in-principle approval for DPR preparation.

• A proposed International Ship Repair Facility requires ~₹970 crore; project approval and environmental clearance were pending, with final MoEFCC clearance expected by September 2015.