Synopsis: With a 92 percent compounded return in three years , this ship building rose after securing an order to build a 3000 DWT dual-fuel vessel from Shipping Corporation of India.
A large-cap stock in the shipbuilding and defense sector gained after The Shipping Corporation of India awarded it a contract to construct a 3000 DWT dual-fuel platform supply vessel. The company holds a strong order book of Rs 23,758 crore, reflecting solid execution visibility.
With a market cap of about Rs 1 lakh crore, Mazagon Dock Shipbuilders Ltd saw its stock hit an intraday high of Rs 2464 which is 4 percent higher than the previous close of Rs 2363. The company stock has given a compounded return of 92 percent in the last three years.
What’s the news?
The Shipping Corporation of India (SCI) has signed a contract with Mazagon Dock Shipbuilders Ltd (MDL) to build one 3000 DWT Platform Supply Vessel for offshore operations. Executed on March 18, 2026, this vessel will feature dual-fuel capability and become SCI’s first ship capable of operating on Green Methanol, supporting sustainability goals.
The project aligns with the National Green Hydrogen Mission and strengthens SCI’s green shipping transition, while reducing emissions in offshore environments and modernizing India’s maritime infrastructure.
Order Book & Projects
As of Q3FY26, Mazagon Dock Shipbuilders Ltd. maintains a robust order book totaling INR 23,758 Cr. This portfolio of theirs is split between shipbuilding and submarine/heavy engineering, primarily serving the MOD.
The largest single project by value is the P75 Kalvari Submarines, valued at Rs 29,621 Cr with only Rs 1,832 Cr in balance, while another large project being executed by the company is the P15B Destroyers with an order value of Rs 28,745 Cr, with only Rs 1,441 Cr in balance.
Business & Financial Overview
Mazagon Dock is one of India’s leading public-sector shipyards that specializes in the construction and repair of warships and submarines for the Indian Navy. Based in Mumbai, it builds advanced vessels like destroyers, stealth frigates, and conventional submarines, playing a critical role in India’s maritime security and “Atmanirbhar Bharat” initiatives.
In the latest quarter, the company saw a YoY revenue growth of 15 percent, going from Rs 3,144 Cr in Q3FY25 to Rs 3,601 Cr in Q3FY26, while the QoQ went up by 23 percent from Rs 2,929 Cr in Q2FY26. The YoY Net Profits growth is at 9 percent, going from Rs 807 Cr in Q3FY25 to Rs 880 Cr in Q3FY26, while the QoQ growth stood at 17 percent from Rs 749 Cr in Q2FY26.
The company has a 3 year sales CAGR of 26 percent, while the TTM is at 9 percent. The company’s 3 year profit CAGR is at 57 percent, while the TTM number is at negative 13 percent. The company also has a ROCE of 43 percent and a ROE of 34 percent.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
