The performance of Garden Rich Shipbuilders was excellent in the financial year 2024-25. The company’s revenue rose by 61 percent to Rs 5,076 crore. It has a big hand for the company’s focus on project delivery and examination. Good performance has also affected the company’s shares. In the last 6 months, this stock has jumped 71 percent. However, this stock has fallen by 26.2 percent from its 52 -week high of Rs 3538 in June 2025.
Focus on increasing ship building capacity
Garden Reach Shipbuilders Defense Ship is one of the big companies in India. The company’s orderbook is strong. Margin is good. The company is constantly increasing its capacity. This will benefit the government’s policy to do defense manufacturing in the country itself. The company is also focusing on increasing capital expenditure. In such a situation, its revenue growth is expected to be good. It has delivered many big projects.
Orderbook of Rs 22,680 crore
The company has delivered the second survey vessel larger ship and two anti-sabamarine shallow walcroft to the Navy. DRDO has completed an unmanded surface vessel project. A petrol vessel project for Bangladesh has been completed, which reveals its examination capacity. The company’s orderbook is worth Rs 22,680 crore, which is more than 4.5 times its annual revenue.
Work on many big projects
The company is going to deliver several big orders during the next three years. This year it will deliver 7 vessels. These include a P-17 alpha ship, two survey vessel large ship and 3 anti-sabamarine shallow watercraft. Apart from this, the company is making 8 multipurpose vessels for a client in Germany. The Bangladesh government is making 13 hybrid firies. It has obtained an order to create a Geological Survey of India two Cosal Research Vessel.
If the order of NGC is received, the orderbook will double
By 2026, the company’s production capacity will increase from 24 ship to 28 ship. It has taken 3 dry dock lease to repair up to 30 ships for the next two years. The company is also looking for new shipbuilding and repair facilities outside Kolkata. It has emerged as the lowest bid company for the Navy’s Next Generation Corvivals (NGC) program. It is Rs 25,000 crore. If this order is received, the orderbook of the company will be doubled.
Should you invest?
Grase The shares of FY2027 are currently trading at 34 times the estimated earnings of FY2027. This seems right to give the company’s growth possibilities. The company’s order pipeline is strong. On August 1, the company’s stock fell 1.2 per cent to close at Rs 2,580. Investors can invest in this stock.