GRSE Q3 Results: Profit up 74% YoY to Rs. 171 crores; co declares a dividend of Rs 7.15

State-owned defense shipbuilder Garden Reach Shipbuilders & Engineers reported strong performance for the December quarter, with sharp growth in both profit and revenue, supported by higher execution and improved operating leverage.

For the third quarter ended December 2025, the company’s net profit rose to Rs. 171 crore, compared to Rs. 98 crores. This represents a 74% year-on-year growth in profits. On a sequential basis, the profit was also reported in the September quarter at Rs. was more than 154 crores.

Income from operations during the quarter was Rs. 1,896 crore, compared to Rs. 1,271 crore, showing a year-on-year growth of 49%. September quarter Rs. 1,677 crore, revenue grew 13.0% quarter-on-quarter, reflecting strong execution during the quarter.

Rs. 62 crore including other income, GRSE’s total income for the quarter stood at Rs. 1,958 crore, which was Rs. 1,343 crores.

Total expenditure for the quarter rose to Rs. 1,740 crore, which in the December 2024 quarter was Rs. 1,209 crore, commensurate with the high scale of operations. The cost of materials used increased to Rs. 1,252 crores, while subcontracting charges were Rs. 132 crores. Employee benefits cost Rs. 101 crore, which was marginally higher than the year-ago period. Underscoring the company’s healthy balance sheet, the finance cost was Rs. 4 crore remained low.

Profit before tax for the quarter increased to Rs. 218 crore, which in the same period last year was Rs. 134 crore, showing an increase of 62.7%. Tax expense for the quarter was Rs. 47 crore, resulting in a strong growth in net profit.

For the nine months ended December 31, 2025, GRSE reported Rs. 445 crore in net profit, compared to Rs. 283 crores, which registered an increase of 57.1% year-on-year. Revenue from operations for the nine-month period rose to Rs. 4,883 crore, which was Rs. 3,434 crore, showing a growth of 42.2%.

Along with the quarterly results, the Board of Directors approved the second interim dividend for FY26 at Rs. 7.15 per cent, a total of Rs. 81.9 crores is the payment amount. The dividend has been declared out of profit for the nine months ended December 2025. The company has set a record date of February 3 to determine the eligible shareholders.

GRSE’s performance is underpinned by a strong order book and consistent execution in defense shipbuilding projects.