Cochin Shipyard Ltd reported a sharp drop in its Q2 performance, with consolidated net profit falling to Rs. 101 crore, representing a 48% year-on-year decline from Rs. 193 crore in the same quarter last year.
Revenue from operations slipped 13% to Rs. 951.29 crore compared to Rs. 1,096 crore in Q2 FY25, and EBITDA collapsed 71% to Rs. 56 crore. The EBITDA margin narrowed to 5.9% from 17.9% a year earlier.
The performance was dragged by a four-fold jump in provisions to Rs. 21 crore and higher subcontracting costs, though provisions declined 37% sequentially.
Shares of Cochin Shipyard tumbled about 8% in early trading following the results, as the sharp margin erosion raised concerns over near-term execution.
Investors will now watch closely whether the company can secure stronger order-book growth and improve cost control in the next quarters.
