Rs 22,652 crore order book: Defence shipbuilding company signs Memorandum of Intent (MoI) and Memorandum of Understandings (MoUs) in Norway
The stock has delivered multibagger returns of over 200 per cent from its 52-week low and a whopping 2,175 per cent in 5 years.
On Thursday, shares of this multibagger defence shipbuilding stock jumped 5.05 per cent to Rs 3,528 per share from its previous closing of Rs 3,358 per share. The stock also made a new 52-week high of Rs 3,528 per share and its 52-week low is Rs 1,148.10 per share.
Garden Reach Shipbuilders & Engineers Ltd (GRSE), a Schedule 'A' Mini Ratna Category I Company, informed that during an official delegation visit to Norway, the company has entered into the following Memorandum of Intent (MoI) and Memorandum of Understandings (MoUs):
- On 04 June 2025, Garden Reach Shipbuilders & Engineers Limited (GRSE) signed an MoI with Carsten Rehder Schiffsmakler und Reederei GmbH & Co. KG, Germany, for the construction of four (04) follow-on 7,500 DWT Multi-Purpose Vessels. These vessels will be built as a continuation of the eight (08) vessels currently under construction at GRSE’s Kolkata shipyard. The follow-on vessels will feature hybrid propulsion systems and comply with the latest cybersecurity standards. The firm contract for these vessels is expected to be finalised by 31 August 2025.
- In pursuance of venturing into the construction of Offshore platforms and vessels, GRSE signed a Memorandum of Understanding (MoU) with Aries Marine, a Dubai-based, established and independent engineering and design firm for offshore Platform and vessel design. This is to extend the worldwide reach of GRSE in the offshore market. This MOU aims to facilitate collaboration on identifying and developing offshore orders for platforms designed by ARIES and built by GRSE.
- GRSE also signed an MoU with a Global Engine Manufacturer on the same day
Earlier, the company had emerged as the Lowest bidder (L1) for the Next Generation Corvettes (NGC) Project for the Indian Navy. This significant development was confirmed during a Commercial Negotiation Committee (CNC) meeting convened by the Ministry of Defence (MoD) in New Delhi on May 21, 2025, where commercial bids for the acquisition of eight NGCs were opened. As the L1 bidder, GRSE is set to be awarded the construction of five NGC ships, a contract estimated to be worth more than Rs 25,000 crores.
DSIJ’s 'Tiny Treasure' service recommends researched Small-Cap stocks with Inherent Growth Potential. If this interests you, do download the service details here.
About the Company
Garden Reach Shipbuilders & Engineers Ltd (GRSE), a Schedule ‘A’ Mini Ratna Category I Company, is a premier Indian warship builder with a rich history dating back to 1884. This Ministry of Defence undertaking has built over 790 platforms, including 110 warships for the Indian Navy, Coast Guard, and foreign navies. From India's first warship, the SDB INS Ajay, to its first export warship, the CGS Barracuda, GRSE's capabilities span a wide range of vessels, including frigates, corvettes, survey vessels, and fast attack craft. The shipyard's commitment to excellence and quality is reflected in its numerous accolades and ongoing infrastructure modernisation.
Garden Reach Shipbuilders & Engineers (GRSE) has announced remarkable financial results for FY25, achieving its highest-ever revenue and profit. Revenue from operations also saw a significant surge, climbing to Rs 5,076 crore in FY25 from Rs 3,593 crore in the previous year, representing a 41 per cent increase. Profit After Tax (PAT) witnessed an impressive 48 per cent growth, rising to Rs 527 crore in FY25 from Rs 357 crore in FY24.
The fourth quarter of FY25 also demonstrated exceptional performance for GRSE. Revenue from operations in Q4FY25 stood at Rs 1,642 crore, a notable 62 per cent increase from the Rs 1,016 crore reported in Q4FY24. Furthermore, the Profit After Tax (PAT) in Q4FY25 soared to Rs 244 crore, exhibiting an extraordinary growth of 118 per cent compared to the Rs 112 crore in Q4FY24.
FIIs bought 1,57,514 shares & DIIs bought 32,672 shares, increasing their stake to 3.85 per cent and 1.90 per cent, respectively, in March 2025 compared to December 2024. The President of India’s portfolio owns 8,53,41,240 shares or 74.50 per cent stake in the company as of March 2025. The order book as of March 31, 2025, stands at Rs 22,652 crore. The stock has delivered multibagger returns of over 200 per cent from its 52-week low and a whopping 1,850 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.