Hindustan Shipyard ↗

The financial performance has been satisfactory in FY25 with a significant improvement in 10MFY26 which is expected to sustain over the medium term. Revenue grew by ~10% to ₹1,471 crore in FY25 from ₹1,338 crore in FY24. During 10MFY26, the company reported revenue of Rs.1,028 crore. Supported by execution of strong order book, the company’s revenue is expected to sustain double-digit growth from FY27 onwards. To meet execution timelines, HSL has also entered into a sub-contracting arrangement

HSL is a defence Public Sector Undertaking under the Ministry of Defence (MoD), with 100% shareholding held by the President of India. Its Board includes one Government Nominee Director. The company derives over 99% of its income from defence entities and has received a ₹19,048 crore FSS order on nomination basis, underscoring its strategic importance in strengthening India’s naval capability. It remains the only Central Public Sector Enterprise (CPSE) shipyard with submarine repair capability,

Large spending plan by the Indian Navy is expected to drive the order book of Indian shipbuilding companies, more so for Central PSE shipyards. This is reflected in increased allocation towards defence sector. In the FY27 budget, the government allocated ~₹7.85 lakhs crore towards ministry of defence, which is a 15% increase over last year. Of this, a significant portion of the capital outlay has been earmarked for modernisation, including funds for naval fleet expansion and capability enhanceme

The company incurred losses in the past due to lower work order receipts, delayed execution and liquidated damages, resulting in net worth erosion. Losses persisted between FY12 and FY15, with profits recorded from FY16 to FY24 except in FY21 due to COVID-19. Although the debit balance in the Profit and Loss account remains high at ₹775 crore as on March 31, 2025, the company is expected to continue reporting profit, supported by stable operations and interest income from advances invested in

HSL has undertaken capex of Rs.739.91 which is being financed through term debt of Rs.480 crore and balance through own funds. The capex has commenced with disbursement of Rs.175 crore. HSL has been a debt free entity until March 31, 2025. The term debt is structured to provide support to the cashflows in the initial years of capex. The cashflows are expected to remain comfortable to service the debt obligation arising out of the term debt. However, increasing external debt liability resulting i

As on November 30, 2025, HSL’s outstanding order book stood at ₹18,295 crore, with the five-vessel Fleet Support Ship project contributing 99% of the total. Consequently, the company’s medium-term revenue visibility is highly dependent on the timely execution of this single large order. The progress on such orders shall determine the revenue and profit in the books. While there are other orders in pipeline, timely receipt and commencement of execution shall be important for diversification and g

HSL has significant contingent liabilities arising from tax matters and disputes with customers and suppliers. As on March 31, 2025, contingent liabilities relating to claims under arbitration stood at ₹2,224 crore.These liabilities had declined from approximately ₹1,955 crore as on March 31, 2023, to ₹745 crore as on March 31, 2024, following the settlement of claims aggregating around ₹1,200 crore filed by Good Earth Maritime Limited (GML) in connection with delayed ship delivery and related