Industrial Manufacturing
Cochin Shipyard is a prominent company focused on shipbuilding and allied services, operating primarily in India. The company's stock ticker is COCHINSHIP, and it boasts a significant market capitalization of Rs. 35,143.7 Crores.
Cochin Shipyard Limited engages in the construction and repair of various types of ships and offshore structures. Their extensive service offerings include the building of:
In addition to shipbuilding, Cochin Shipyard also provides comprehensive ship repair services for defense and commercial vessels alike, including maintenance for oil rigs and upgradation projects. Moreover, the company is involved in marine engineering training services.
Founded in 1969 and headquartered in Ernakulam, India, Cochin Shipyard has demonstrated impressive financial performance. It reported a trailing 12-month revenue of Rs. 4,660.4 Crores and a profit of Rs. 799 Crores over the past four quarters. Notably, the company has achieved a remarkable revenue growth of 42.2% over the last three years.
Cochin Shipyard has a commitment to returning value to its shareholders, evidenced by a dividend yield of 0.73% per year, with Rs.9.75 distributed per share over the past 12 months.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Growth: Good revenue growth. With 42.2% growth over past three years, the company is going strong.
Balance Sheet: Strong Balance Sheet.
Size: Market Cap wise it is among the top 20% companies of india.
Profitability: Very strong Profitability. One year profit margin are 17%.
Smart Money: Smart money is taking extra interest in the stock as they increase their holdings.
No major cons observed.
Comprehensive comparison against sector averages
COCHINSHIP metrics compared to Industrial
Category | COCHINSHIP | Industrial |
---|---|---|
PE | 46.61 | 32.83 |
PS | 7.99 | 4.70 |
Growth | 35.2 % | 8.8 % |
COCHINSHIP vs Industrial (2021 - 2025)
Analysis of Cochin Shipyard's financial performance, highlighting revenue trends, growth patterns, and key metrics through quarterly analysis.
Last Updated: Dec 31, 2024
Description | Share | Value |
---|---|---|
Ship Building | 54.2% | 647.4 Cr |
Ship Repair | 41.9% | 500.2 Cr |
Unallocated | 3.9% | 46.8 Cr |
Total | 1.2 kCr |
Understand Cochin Shipyard ownership landscape with insights into key distribution patterns, offering investors a clear view of stakeholder dynamics.
Shareholder Name | Holding % |
---|---|
Life Insurance Corporation Of India | 2.92% |
Nippon Life India Trustee Ltd-A/C Nippon India Nifty Midcap 150 Index Fund | 1.97% |
Distribution across major stakeholders
Distribution across major institutional holders
Investor Care | |
---|---|
Dividend Yield | 0.65% |
Dividend/Share (TTM) | 9.75 |
Shares Dilution (1Y) | 0.00% |
Diluted EPS (TTM) | 30.37 |
Financial Health | |
---|---|
Current Ratio | 1.33 |
Debt/Equity | 0 |
Debt/Cashflow | -7.45 |
Summary of Cochin Shipyard's latest earnings call, featuring management's outlook on business performance, financial results, and analyst Q&A sessions that highlight key strategic initiatives and market challenges.
Last updated: Jun 24
Management Outlook:
Cochin Shipyard Limited (CSL) projects a 20-25% revenue growth for FY25, driven by strong order execution in shipbuilding and ship repair. While EBITDA margins are expected to remain stable at 17-19%, higher depreciation from new infrastructure (INR 125"“150 crores annually) may moderate PAT. The company emphasizes sustainable growth through defense contracts, international orders, and green vessel innovation.
Major Points:
Order Book & Contracts:
Operational Milestones:
Financial Performance:
Strategic Focus:
Challenges:
Last updated: Jun 24
Question 1:
Deepak Krishnan (Kotak Institutional Equities): "You said EBITDA margins will be in the range of previous guidance. So does that imply closer to 18%"“19% on an annual basis? Factors driving high EBITDA margins this quarter"”ship repair contracts and IAC-1? Any one-offs?"
Answer:
The 18"“19% EBITDA margin guidance remains valid. High margins in Q4 were driven by strong execution in ship repair (including naval refits) and shipbuilding (notably IAC revenue), with no one-offs.
Question 2:
Umesh Raut (Nomura): "What are key future order prospects for shipbuilding/repair? How will new facilities (ISRF, dry dock) impact revenue and margins?"
Answer:
Order pipeline includes naval refits, hybrid SOVs (Europe), and green tugs. ISRF and dry dock (operational by August 2024) will enhance capacity. Ship repair margins guided at 22"“23%; consolidated EBITDA at 17"“19%.
Question 3:
Pritam (Wealth Way): "What is the opportunity for green vessels (hybrid, zero-emission)? How does CSL compete with global players amid EU decarbonization policies?"
Answer:
CSL is positioned strongly in Europe for hybrid SOVs and domestically for green tugs. Partnerships and collaborations ensure competitiveness. Bengal and others are exploring water metro projects, offering replication potential.
Question 4:
Viraj (Jupiter Finance): "How will 20"“25% revenue growth and higher depreciation impact PAT? What drives confidence in growth?"
Answer:
Growth is backed by a robust order book (Rs.22,000 crore). Depreciation from new facilities (Rs.125"“150 crore annually) will temper PAT, but EBITDA sustainability and execution momentum support guidance.
Question 5:
Sagar Gandhi (Invesco Mutual Fund): "When will IAC-2 materialize? Will FY25"“26 revenue peak without it?"
Answer:
IAC-2 timelines depend on government decisions. Growth is sustainable via defense (ASW-SWC, NGMV) and export orders, ensuring a strong outlook even without IAC-2.
Question 6:
Dhiraj (Samvad Financial): "What R&D/IP initiatives is CSL undertaking?"
Answer:
C-SAS division drives innovation (e.g., hydrogen fuel cell vessels, autonomous vessels). Collaborations with DRDO, IITs, and startups aim to build indigenous capabilities, though IP disclosures remain limited.
Question 7:
Gagan (ASK Investments): "What fixed asset turnover is expected from new facilities? How will partnerships for ISRF work?"
Answer:
New facilities (Rs.2,800 crore capex) aim for ~2x asset turnover at peak. ISRF's global operational partner (via tender) will enhance efficiency and supply chain access, targeting global benchmarks.
Question 8:
Deepak Krishnan (Kotak): "What is the execution timeline for a potential IAC-2 order?"
Answer:
If awarded, IAC-2 would follow Vikrant's 8"“10-year timeline. Updates depend on post-election government decisions.
Question 9:
Umesh Raut (Nomura): "Why did inventory days rise? Will advances decline?"
Answer:
Inventory increased due to ASW-SWC and NGMV material procurement. Advances will reduce as projects progress, reflecting execution milestones.
Question 10:
Vivek (Shanti Financial): "Breakdown of Rs.22,000 crore order book?"
Answer:
Order book: ~Rs.15,000 crore defense (warships, carriers), ~Rs.7,000 crore commercial (hybrid SOVs, tugs). Ship repair order book at Rs.1,250 crore (vs. historical Rs.600"“700 crore). Details in post-call presentation.
Valuation | |
---|---|
Market Cap | 39.52 kCr |
Price/Earnings (Trailing) | 49.46 |
Price/Sales (Trailing) | 8.48 |
EV/EBITDA | 32.59 |
Price/Free Cashflow | -188.55 |
MarketCap/EBT | 36.47 |
Fundamentals | |
---|---|
Revenue (TTM) | 4.66 kCr |
Rev. Growth (Yr) | 7.21% |
Rev. Growth (Qtr) | -4.01% |
Earnings (TTM) | 799.03 Cr |
Earnings Growth (Yr) | -27.58% |
Earnings Growth (Qtr) | -6.32% |
Profitability | |
---|---|
Operating Margin | 23.25% |
EBT Margin | 23.25% |
Return on Equity | 15.15% |
Return on Assets | 6.45% |
Free Cashflow Yield | -0.53% |
Detailed comparison of Cochin Shipyard against industry peers, highlighting key financial metrics, valuation ratios, and performance indicators to provide competitive context within the sector.
Ticker | Name | Mkt Cap | Revenue | Price %, 1M | Returns, 1Y | P/E | P/S | Rev 1-Yr | Inc 1-Yr |
---|---|---|---|---|---|---|---|---|---|
LT | Larsen & ToubroCivil Construction | 4.58 LCr | 2.52 LCr | -4.72% | -7.71% | 27.68 | 1.81 | +16.75% | +10.26% |
HAL | Hindustan AeronauticsAerospace & Defense | 2.96 LCr | 34.52 kCr | +5.95% | +11.09% | 34.04 | 8.58 | +14.42% | +41.55% |
BEL | Bharat ElectronicsAerospace & Defense | 2.23 LCr | 23.96 kCr | +1.40% | +27.87% | 44.74 | 9.32 | +28.15% | +39.82% |
MAZDOCK | Mazagon Dock ShipbuildersShip Building & Allied Services | 1.12 LCr | 12.52 kCr | +5.39% | +15.68% | 40.85 | 8.98 | +33.13% | +71.93% |
BDL | Bharat DynamicsAerospace & Defense | 54.49 kCr | 2.76 kCr | +16.01% | +47.32% | 96.33 | 19.73 | +5.24% | +18.66% |
GRSE | Garden Reach Shipbuilders & EngineersAerospace & Defense | 20.04 kCr | 4.75 kCr | +3.79% | +75.16% | 50.77 | 4.22 | +36.71% | +31.16% |