Financial Performance Highlights

Q4 FY26 Consolidated Results:

  • Revenue: ₹330 crores, up 58% YoY from ₹209 crores in Q4 FY25
  • EBITDA: ₹162 crores, up 78% YoY from ₹91 crores in Q4 FY25
  • Profit After Tax (PAT): ₹103 crores, up 151% YoY from ₹41 crores in Q4 FY25

Q4 FY26 Standalone Results:

  • Revenue: ₹316 crores, up 53% YoY from ₹207 crores in Q4 FY25
  • EBITDA: ₹138 crores, up 31% YoY from ₹105 crores in Q4 FY25
  • PAT: ₹87 crores, up 48% YoY from ₹58.8 crores in Q4 FY25

Full Year FY26 Consolidated Results:

  • Revenue: ₹1,000 crores, up 47% YoY from ₹682 crores in FY25
  • EBITDA: ₹447 crores, up 83% YoY from ₹244 crores in FY25
  • PAT: ₹253 crores, up 188% YoY from ₹88 crores in FY25
  • ROCE: 18%
  • ROE: 19%

Full Year FY26 Standalone Results:

  • Revenue: ₹947.5 crores, up 44% YoY from ₹660 crores in FY25
  • EBITDA: ₹407 crores, up 54% YoY from ₹264 crores in FY25
  • PAT: ₹242.4 crores, up 110% YoY from ₹115.6 crores in FY25

Operational Highlights and Business Updates

The management attributed the strong performance to robust operational execution, higher fleet deployment, improved vessel utilization, and disciplined project delivery across domestic and international markets.

Key Operational Achievements:

  • Successful completion of turnkey revamping of ONGC NLM9 platform using MV GOODMAN
  • Integration and commencement of operations of SEAMEC AGASTYA, strengthening the fleet
  • Maintenance of presence in Saudi Arabia for almost a year with satisfactory client feedback

Contract Awards:

  • Two significant O&M contracts awarded in consortium with Supreme Hydro Private Limited
  • Notification of award for MSV Samudra Prabha and Samudra Sevak, both covering 2026 till 2028
  • Supreme Hydro's share in the consortium is approximately 10%, providing technical know-how, manuals, and personnel
  • Payments for these contracts are made monthly to ONGC as per agreed payment terms

Vessel Status and Deployment

Current Fleet Status:

  • Seamec Paladin: Currently idle in Dubai due to geopolitical tensions in West Asia (Strait of Hormuz closure). The vessel sailed for dry dock but remains stranded until navigation risks subside.
  • Seamec Princess: Off-hired for specific work segment on April 21, but broader contract with L&T continues with previous charter rates.
  • SEAMEC-II: Contracted until August 2026, after which it will undergo dry dock and potentially deploy on spot market.
  • SEAMEC-III: Performed exceptionally well in FY26, expected to continue strong performance in FY27.
  • Seamec Diamond: Chartered with ONGC at $8,750 per day. Expected 10-15% rate increase upon contract renewal.

New Vessel Acquisition:

  • SEAMEC ANANT: Acquisition planned at approximately $70 million (roughly ₹580-600 crores). Deployment expected in approximately one quarter due to operational complexities including the idle status of Seamec Paladin.

Market Outlook and Industry Context

The management highlighted favorable industry dynamics driven by:

  • Structural long-term acceleration in domestic exploration and production activities due to West Asia conflicts altering energy security priorities
  • Strategic global oil reserve depletion faster than replenishment
  • Indian government initiatives including reduced royalty burden on oil & gas producers, plans to expand refining capacity beyond 300 MTPA, and advancement of offshore exploration through open acreage licensing policy
  • ONGC's appointment of British Petroleum as Technical Services Provider for Mumbai High Field

Guidance and Forward Outlook

FY27 Guidance:

  • 15% growth in both top line and bottom line
  • EBITDA margin target of 40-42%
  • Expected CAPEX of approximately ₹580-600 crores for SEAMEC ANANT acquisition

Utilization Expectations:

  • Vessel utilization typically near 100% barring off-hires for dry dock and unscheduled breakdowns
  • Three company-owned vessels and two ONGC O&M vessels scheduled for dry docking during FY27

Geographic Revenue Mix

  • International markets contribute 10-15% of total revenue
  • Strong presence in Saudi Arabia with potential for expansion to newer clients

Risk Factors

Geopolitical Risks:

  • Prolonged instability in West Asia affecting contractual execution timelines, asset deployment, operating costs, and overall business viability
  • Specific impact: Seamec Paladin idle in Dubai since dry dock, no revenue generation since April-May
  • Potential risk to Saudi Aramco operations if situation aggravates

Other Risks:

  • Rupee strengthening impacting dollar-denominated revenues
  • Normal competitive pressures in bidding processes

Subsidiary Operations

  • UK investments: Impairment charge taken on prudence basis due to geopolitical situation, but no abandonment of operations
  • Dubai operations: Pruned down with one vessel sold last year and another potential sale (Pearl or Gallant bulk carriers) depending on market conditions post-war scenario
  • Minimal contribution from subsidiaries to FY26 financials

Capital Allocation

  • FY26 CAPEX: Approximately ₹300 crores
  • FY27 CAPEX: Approximately ₹580-600 crores for SEAMEC ANANT acquisition
  • Funding for new acquisitions to be determined based on what's best for stakeholders (internal accruals or other means)