Cochin Shipyard – Q4 FY21 results first cut: Strong performance – YES Securities

Cons. Revenues from operations grew 32% yoy to Rs10.8 bn as shipbuilding/ ship repairing revenues were up 25%/85% yoy respectively.

EBITDA margins came in at 23.8%, 396bps yoy on the account of lower employee cost and other expenses.

Shipbuilding EBIT margin stood at 28.9%, down 100bps yoy while ship-repairing EBIT margin was at 30.8%, up 300bps yoy.

Adj PAT grew by 63% yoy to Rs.2.23 bn (Our Est. Rs. 2.05 bn) on account of higher EBITDA and higher other income

Exceptional items of Rs 126.34mn are in respect of the Company’s subsidiary Mis Tebma Shipyards Ltd. representing reversal of inventory write down Rs 18.89 mn and exceptional income in respect of ship building assistance of Rs107.49 mn.

The board has recommended the final dividend of Rs2.5/sh in addition to interim dividend of Rs.9 and Rs4 announced in Jan-21 and Feb-21 respectively.

In order to meet the challenges facing the Company, the Company extended hours of operations by working in two shifts. This has impacted depreciation to the tune of Rs38.811mn during the quarter.

In compliance with the NCLT Order, Cochin Shipyard Limited (CSL) paid the bid amount for takeover of TSL on September 15, 2020 with effect from which TSL has become a wholly owned subsidiary of CSL

Shares of Cochin Shipyard Ltd was last trading in BSE at Rs.418.55 as compared to the previous close of Rs. 412.8. The total number of shares traded during the day was 152166 in over 7808 trades.

The stock hit an intraday high of Rs. 425.3 and intraday low of 412.65. The net turnover during the day was Rs. 63958757.
Source: Equity Bulls