Expanding Horizons in Shipbuilding and Defence
Garden Reach Shipbuilders and Engineers (GRSE) Limited, a Schedule ‘A’ Mini Ratna Category 1 company, held its 108th Annual General Meeting (AGM) on September 20, 2024, highlighting unprecedented success in the financial year 2023-24. Attendees included prominent figures such as Cmde P R Hari, IN (Retired), Chairman and Managing Director, GRSE, R K Dash, Director (Finance), Commander Shantanu Bose, IN (Retired), Director (Shipbuilding), DIG Subrato Ghosh, ICG (Retired), Director (Personnel) along with the Government Nominee Director, Rajeev Prakash, Independent Directors, Sanjay Dattatraya Panse and Sanjeeb Mohanty, Company Secretary, Sandeep Mahapatra, shareholders of the company and senior company officials. GRSE showcased its robust financial performance, driven by a strong order book and diversification into advanced shipbuilding and defence technologies.
Record Financial Growth in FY24
GRSE reported remarkable financial achievements:
- Revenue from operations surged 40% to ₹3,593 crore from ₹2,561 crore in FY23.
- Total income increased by 41%, reaching ₹3,892 crore.
- EBITDA rose by 52% to ₹534 crore.
- Profit After Tax (PAT) saw a 57% rise, from ₹228 crore to ₹357 crore.
- Earnings per share (EPS) grew by 57%, amounting to ₹31.19.
In recognition of its financial growth, the shareholders approved a final dividend of ₹1.44 per share, bringing the total dividend for FY24 to ₹9.36 per share.
Strategic Achievements and Diversification
GRSE’s fiscal year was marked by key projects and milestones. The company launched significant vessels, such as:
- MV Ma Lisha, an ocean-going passenger-cum-cargo ferry for Guyana.
- The Vindhyagiri, a 17A Guided Missile Frigate launched by the President of India in August 2023.
- The delivery of INS Sandhayak, India’s largest survey vessel, on Navy Day, December 4, 2023.
- The Next Generation Zero-Emission Electric Ferry ‘Dheu’, launched in January 2024.
With an order book of over ₹25,231.29 crore as of June 2024, GRSE has been working on 18 warships, export projects, and an advanced Ocean Research Vessel for the National Centre for Polar and Ocean Research (NCPOR) under the Ministry of Earth Sciences. The company is also set to secure a share of upcoming Request for Proposals (RFPs) in the defence and shipbuilding sector.
Innovations and Exports
GRSE’s innovation-focused initiatives, such as the GRSE Accelerated Innovation Nurturing Scheme (GAINS-2024), have identified AI and Robotics-based projects that will enhance shipbuilding technology. Additionally, the company secured export orders for multipurpose vessels (MPVs) and commercial vessels, marking its increasing presence in global markets.
Expansion in Defence Manufacturing
GRSE has ventured into weaponry manufacturing, signing a contract with the Indian Navy to supply ten 30mm Naval Surface Guns. The company’s expansion into defence systems further solidifies its leadership in supporting India’s military needs.
Bridge-Building Capabilities
GRSE’s Bridges Division recorded impressive growth, with revenue rising from ₹69 crore in FY23 to ₹140 crore in FY24. Key customers include the Border Roads Organisation, Indian Army, and National Highway and Infrastructure Development Corporation.
Cmde P R Hari noted that FY24 was a “remarkable year” and reaffirmed GRSE’s commitment to maintaining a strong order book beyond FY27. With its continuous drive for innovation, strategic defence manufacturing, and a focus on both domestic and international markets, GRSE remains poised for sustainable growth in India’s shipbuilding and defence sectors.
He expressed, “As on June 30, 2024, GRSE’s order book stood at Rs 25,231.29 crore. Apart from 18 warships, we are also handling 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. A large number of RFPs are set to be announced soon and we are confident that we shall be able to bag a lion’s share. I assure you that our order book will remain full in FY27 even after all our present orders are executed.”
“It is also a matter of great pride that our Bridges Division has recorded a revenue of Rs 140 crore in FY24, up from Rs 69 crore in FY23. Our primary customers in this segment are the Border Roads Organisation, Indian Army and the National Highway and Infrastructure Development Corporation with whom we signed an MoU recently for Double Lane Class 70 Modular Steel Bridges and Bailey Bridges,” Cmde Hari said.
The AGM concluded with a vision for future expansion and technological advancement, ensuring that GRSE will continue to be a key player in the global maritime and defence industries.
