GRSE reports strong performance & growth prospects at 108th AGM

New Delhi: Garden Reach Shipbuilders and Engineers (GRSE) Limited held its 108th Annual General Meeting (AGM) on Friday. The meeting was attended by GRSE Chairman and Managing Director (CMD) Cmde PR Hari, IN (Retd) alongside senior leadership, including Director (Finance) RK Dash; Director (Shipbuilding) Cdr Shantanu Bose, IN (Retd); Director (Personnel) DIG Subrato Ghosh, ICG (Retd) and the Government Nominee Director Rajeev Prakash. The Independent Directors Sanjay Dattatraya Panse and Sanjeeb Mohanty, were also present, along with Company Secretary Sandeep Mahapatra and the shareholders.

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During the fiscal year 2023-24 (FY'24), GRSE achieved its highest-ever financial performance, reflecting significant growth across key metrics. The company’s revenue from operations surged by 40 percent, rising from Rs 2,561 crore in FY'23 to Rs 3,593 crore in FY'24. Total income increased from Rs 2,763 crore to Rs 3,892 crore, marking a 41 percent growth. Earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at Rs 534 crore in FY'24, up 52 percent from Rs 351 crore in FY'23. The Profit After Tax (PAT) grew by 57 percent, reaching Rs 357 crore from Rs 228 crore the previous year. Additionally, the earnings per share (EPS) saw a 57 percent increase, from Rs 19.91 in FY'23 to Rs 31.19 in FY'24.

At the AGM, shareholders approved a final dividend of Rs 1.44 per equity share for FY'24, adding to the interim dividend of Rs 7.92 per share declared in February 2024. This brought the total dividend for FY'24 to Rs 9.36 per share.

Cmde PR Hari highlighted GRSE's recent upgradation from a Schedule 'B' to a Schedule 'A' Central Public Sector Enterprise (CPSE), a significant recognition by the Government of India on September 17. He credited the company’s strong performance to the dedication of employees and stakeholders, noting several key achievements during the year. These included the commissioning of MV Ma Lisha, an ocean-going passenger-cum-cargo ferry built for the Cooperative Republic of Guyana, the launch of the third Project 17A guided missile frigate Vindhyagiri by the President of India on August 17, 2023, and the delivery of INS Sandhayak, India’s largest survey vessel, to the Indian Navy on December 4, 2023 (Navy Day). The company also launched 'Dheu', a next-generation zero-emission electric ferry for the Government of West Bengal on January 11, 2024.

As of June 30, 2024, GRSE's order book stood at Rs 25,231.29 crore. The company is currently executing projects for 18 warships, four export projects, and building an advanced Ocean Research Vessel (ORV) for the National Centre for Polar and Ocean Research (NCPOR) under the Ministry of Earth Sciences. Cmde Hari expressed confidence that GRSE would continue to secure new orders, with numerous Requests for Proposal (RFPs) expected soon. He assured shareholders that the order book would remain robust through FY27, even after the completion of current projects.

GRSE's Bridges Division also posted a strong performance, with revenue increasing to Rs 140 crore in FY'24, up from Rs 69 crore in FY'23. The division’s primary clients include the Border Roads Organisation (BRO), Indian Army, and the National Highway and Infrastructure Development Corporation. GRSE recently signed an MoU with these agencies for the production of Double Lane Class 70 Modular Steel Bridges and Bailey Bridges.

The company has expanded its product portfolio, diversifying into the manufacture of naval weaponry. GRSE has signed a contract with the Indian Navy to supply ten 30mm Naval Surface Guns equipped with Electro-Optical Fire Control Systems. Additionally, the GRSE Accelerated Innovation Nurturing Scheme (GAINS-2024) was launched to drive technological advancements in shipbuilding. The first edition of GAINS, held in 2023, identified two organizations working on artificial intelligence and robotics projects to enhance GRSE's capabilities.

On the export front, GRSE has secured orders for commercial vessels, including four multipurpose vessels (MPVs) for a European client. The client has since exercised an option to procure an additional four MPVs. The company has also received orders for a dredger and an ocean-going tug from a friendly foreign nation, further boosting its international business.

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