Cochin Shipyard Ltd (CSL) is the largest public sector shipyard in India deriving major revenue from Navy. The main sources of revenue are ship building for Navy, Coast guard, commercial and ship repair. Q1FY21 revenue & Profitability declined by 55% & 65% on account of Covid-19 related disruptions. Order backlog is at ~Rs14,393cr, including recently booked order...

Cochin Shipyard (CSL) registered a substandard performance in Q1FY21 as production was halted till May 5. After this, production started on a reduced time scale for a significant period of the quarter affecting overall performance. Revenue for the quarter was at | 332.5 crore, down 55% YoY. Shipbuilding (SB) revenue fell 47.5% YoY to | 316.1 crore while shiprepair (SR) segment contracted 87.7% YoY to | 16.35 crore in the quarter. On a segmental profitability front, SB reported EBIT of | 62.5 crore whereas SR clocked an EBIT (loss) of | 8.9 crore. SB, SR segments contributed 95.1%,...

It has healthy shipbuilding order book of Rs139bn (5.5x TTM sales).Orderpipelineof~Rs150bnincludes,i)NewGeneration MissileVessels,ii)MultipurposeVessels&iii)OffshorePatrol Vessels. Large shiprepair order of INS Vikramaditya (aircraft...

Cochin Shipyard Ltd (CSL) reported a healthy set of numbers in Q4 with topline growing by 3.6% yoy, though on a qoq basis they fell by 9%. The material costs saw a contraction in Q4 as they stood at 48.3%. Subcontracting costs dropped by 18.4% yoy in the quarter. EBITDA margins saw a solid surge at 20% v/s 14% yoy as the company reported strong ship repair margins at 27% on a strong execution and delivery in this business. Other income fell to 450 mn over 643 mn yoy. PBT grew by 14.8% yoy to 1.8 bn, while reporting strong margins at 22.6%. PAT came at 1.4 bn , which has grown by 42.5% yoy, while margins came at 17%. The company delivered a 1000 MT Cargo vessel for A&N; administration. The company also delivered 8 RoRo vessels (2...

Cochin Shipyard Ltd (CSL), a public listed company, incorporated on March 29, 1972, is a pioneer in defence shipbuilding and repairing, with a standalone ship repairing facility unlike any other competitor. Due to its expertise in shipbuilding & shiprepairing and strong, long lasting relations with its key clients, the company is benefitted to provide important warship products in the coming years. The order book size of these projects is at a healthy 153 bn to be delivered over the next 2-3 years. This visibility is enough long term and will lead to a good growth in revenues and profitability. Considering its strong order book with IAC and ASWC projects at the helm in the shipbuilding business, expectations of more order wins through RFP bidding, we expect a...

Cochin Shipyard Ltd (CSL) is the largest public sector shipyard in India deriving major revenue from Navy. The main sources of revenue are ship building for navy, coast guard, commercial and ship repair. Given CSL's strong balance sheet, dividend of 5.3%, improvement in order book visibility and capacity expansion, we remain constructive on the stock. Order backlog is at ~Rs15,253cr, including recently booked ordersAnti submarine warfare vessel (ASW Corvettes-Rs6,300), IAC Phase - III (Rs3,235), has enhanced earnings visibility in the near future....

The management has asserted a 14-15% revenue growth for FY20E while giving a guidance of | 610 crore for SR during the year. CSL has completed more than 20 projects from Mumbai port and expects revenues worth | 75 crore and | 100-120 crore in FY20E & FY21E, respectively. The company's key project IAC is expected to go out for sea trial during first half this year. CSL expects | 2200 crore worth of revenue from IAC in FY20E while the management has guided for | 2500 crore next year. Total order backlog of IAC is | 2850 crore for fixed cost and | 4250 crore for cost plus. The planned...

Solid shipbuilding performance, healthy b/s, capacity addition During Q1FY20, revenue booked for indigenous air craft carrier under cost plus' was at | 356 crore while fixed price' contract was | 114 crore for an aggregate of | 470 crore. CSL continues to have a healthy b/s with cash balance of ~| 2400 crore as on Q1FY20. Of the planned capex of ~| 3000 crore (| 2769 crore for the new larger size dry dock and repair facility with | 170 crore for Hooghly Cochin Shipyard. In addition, CSL plans to spend on developing docks at Mumbai, Andaman & Nicobar and Kolkata), CSL has...

For FY19, shipbuilding and shiprepair revenues came in at | 2130 crore (up 23% YoY) and | 832 crore (up 33.5% YoY) respectively. CSL continues to have a strong b/s with cash balance of ~| 2581crore. Of the planned capex of | 3000 crore (| 2768 crore for the new larger size dry dock and repair facility, | 100 crore for Hooghly Cochin Shipyard and | 150 crore for developing docks at Mumbai, Andaman & Nicobar and Kolkata), CSL has already spent ~| 300 crore and ~| 275 crore for new SB and SR facility respectively. Total capex for FY19 was at ~| 500 crore. The panned ISRF...

ICICI Securities Ltd | Retail Equity Research Cochin Shipyard (CSL) reported strong Q3FY19 numbers despite higher contribution from the shipbuilding segment. This is due to strong margins posted in both segments of the business. Shipbuilding and ship repair segment reported EBIT margins of 19.4% (normal margins 8-15%) and 39.8% (normal margins 25-35%) respectively. Shipbuilding and ship repair segment contributed 77.1% and 22.9% to the topline, respectively...

ICICI Securities Ltd | Retail Equity Research Cochin Shipyard (CSL) reported stellar Q2FY19 numbers. Shipbuilding and ship repair segment contributed 57.8% and 42.2% to the topline, respectively. Shipbuilding segment reported strong EBIT margins of 17.2% (normal margins 8-15%) whereas ship repair segment reported margins of 40% (normal margins 25-35%). Higher margins in the ship repair segment were partly expected due aircraft carrier INS Vikramaditya getting repaired at the yard...

Cochin Shipyard (CSL) reported mixed Q1FY19 numbers. Shipbuilding (SB) and ship repair (SR) segment contributed 69% and 31% to the topline, respectively. Shipbuilding segment reported EBIT margins of 17.1% (normal margins 8-15%) whereas the ship repair segment reported margins of 21.4% (normal margins 25-35%) Revenue increased a strong 18.4% YoY to | 658.7 crore. Shipbuilding and ship repair revenues grew 14.1% and 29.3% YoY, respectively. We expected revenue of | 643.6 crore for quarter (15% YoY growth)...

Shipbuilding segment reported strong high EBIT margins of 27% (normal margins 8-15%) whereas the shiprepair segment reported weak EBIT margins of 18% (normal margins 25-35%). We believe higher margin in shipbuilding segment was due to execution of fixed part' portion of the aircraft carrier and other vessels Revenue increased strong 15% YoY to | 600.6 crore. We expected revenue of | 560.5 crore for the quarter. The company reported EBITDA margins of 19.2% vs. 5.7% in Q4FY17. Higher margins were...

Market leader in ship repair and poised to grow further led by JVs and MoUs. Cash rich in spite of huge capex Capacity to double in both the segment of ship building & repairs by FY22 with a total debt-free capex of Rs2760cr....

ICICI Securities Ltd | Retail Equity Research Cochin Shipyard Ltd reported strong Q3FY18 numbers. Shipbuilding and shiprepair segment contributed 66.3% and 33.7% respectively to the topline of the company. For the quarter, shipbuilding segment reported abnormally high EBIT margins of 32.4% (normal margins 815%) whereas the shiprepair segment reported muted EBIT margins of 13.9% (normal margins 25-35%). Higher margin in shipbuilding segment was due to execution of fixed part' portion in the IAC. Revenue increased 5.7% YoY to | 615 crore. We expected revenues of...

ICICI Securities Ltd | Retail Equity Research Cochin Shipyard reported decent Q2FY18 numbers. Optically, the numbers look weak, due to the performance of the company in Q2FY17. In Q2FY18, the shipbuilding and shiprepair segment contributed 72.4% and 27.6%, respectively, to the topline. Both segments clocked stable EBIT margins. Shipbuilding segment reported...

Cochin Shipyard Limited (CSL) is an India-based company. The Company is focused on providing cater to clients engaged in the defence sector in India and clients engaged in the commercial sector. In addition to shipbuilding and ship repair, the Company offers marine engineering training. The Company's docks include ship repair dock and shipbuilding dock. Ship repair dock is enables to accommodate vessels with a maximum capacity of 125,000 DWT. In addition, ship repair dock offers a flexible range of products such as, tankers, product carriers, bulk carriers, passenger vessels, high bollard pull tugs, and air defence ship. Shipbuilding dock can accommodate...

Cochin Shipyard Ltd (CSL) was incorporated in the year 1972 as a fully owned Government of India company. In the last four decades CSL has emerged as a forerunner in the Indian shipbuilding & ship repair industry and also an emergent player in the global map. CSL has exported close to 50 ships and vessels to many countries including USA, Germany, Netherlands, Cyprus and Saudi Arabia Currently, CSL has 2 docks for shipbuilding (capacity of 110K DWT) and ship repair (capacity of 125K DWT). CSL is adding new dry dock at a total cost of Rs18 bn and international ship repair facilities at the cost of Rs9 bn which will enable the company to...

Cochin Shipyard Ltd. (CSL) is the largest public sector shipyard in India in terms of dock capacity, as on March 31, 2015.CSL is primarily engaged in the business of shipbuilding and ship repair. It also offers services in respect of marine engineering training apart from shipbuilding and ship repair. CSL caters to clients engaged in the defence sector in India and commercial sector worldwide. CSL has two docks- dock number one, primarily used for ship repair (Ship Repair Dock) and dock number two, primarily used for shipbuilding (Shipbuilding Dock). The Ship Repair Dock is one of the largest in India with a maximum capacity of 125,000 DWT. The Shipbuilding Dock can...

Cochin Shipyard, incorporated on March 29, 1972, is a wholly-owned GoI company. It was conferred the 'Miniratna' status in 2008, by the Department of Public Enterprises, GoI. Cochin Shipyard is the largest public sector shipyard in India in terms of dock capacity. As of Jan, 2017, Cochin shipyard has 2 docks used for ship repair and shipbuilding. It caters to clients engaged in the defence sector in India and in the commercial sector worldwide. In FY17, revenue from defence sector was around 84.6% to total revenue. Key clients include the Indian Navy and...