Open ICICI
3-in-1 Account
Manage your Savings, Demat and Trading Account conveniently at one place
Manage your Savings, Demat and Trading Account conveniently at one place
News: Mazagon Dock Shipbuilders (MDL) has signed individual Shipbuilding Contracts with the European client for construction of three units of 7,500 DWT Multi-Purpose Hybrid Powered Vessels for a value of ~ USD 42 million (~Rs 350 crore). As per the contract, first vessel is to be delivered in 27 months and the subsequent vessels at an interval of two months.
Views: Though defence shipbuilding has been the core area for Mazagon Dock, the company was looking for venturing into commercial ship-building contracts. With this contract, the order book is estimated to be at ~Rs 37500 crore (4.7x TTM revenues), giving healthy revenue visibility over FY24-26E. Going ahead, timely placement of the large orders in defence shipbuilding (like new destroyers, frigates & corvettes), ship-repair and submarines (P-75I and additional three kalvari class submarines) segments would be the key developments to watch out for in the coming period.
Impact: Positive