The Great Eastern Shipping Company (500620) Q1 25/26 earnings summary

Executive summary

• Consolidated net profit for Q1 FY26 was INR 505 Cr, with an interim dividend of INR 7.20/share declared for the 14th consecutive quarter.

• Consolidated net asset value stood at INR 1,431/share as of June 30, 2025.

• Revenue and profitability declined year-over-year, reflecting weaker market conditions across shipping segments.

• Unaudited financial results for the quarter ended June 30, 2025, were approved, and a term loan of up to Rs. 425 crores was granted to a wholly owned subsidiary for prepayment of external borrowings.

• The Board approved the acquisition of a Kamsarmax Dry Bulk Carrier for delivery in Q3 FY 2025-26.

Financial highlights

• Consolidated revenue for Q1 FY26 was INR 1,201.47 crores, down from INR 1,703 crores in Q1 FY25.

• Consolidated net profit for the quarter was INR 504.50 crores, compared to INR 811.94 crores in the same quarter last year.

• EBITDA for Q1 FY26 was INR 778 Cr (reported) and INR 763 Cr (normalized), both lower year-over-year.

• Net cash position of $600 million standalone and $700 million consolidated.

• Basic EPS for the quarter was INR 35.34, down from INR 56.87 in Q1 FY25.

Outlook and guidance

• Management expects OPEC+ supply increases to benefit crude tankers.

• Dry bulk and LPG markets face continued pressure from high fleet growth and softening demand.

• Dividend payout ratio increased to 27%, but future payouts will depend on capital deployment needs.

• The acquisition of a new vessel is expected to enhance fleet capabilities in the coming quarters.

• Management does not provide earnings forecasts due to market volatility and high spot market exposure.