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Cochin Shipyard Ltd has paid a dividend of Rs 16.99 crore to the Union Government for the fifth consecutive year.
The dividend cheque was handed over to the Shipping Minister, G.K. Vasan, by Commodre K. Subramaniam, CMD, CSL, at New Delhi.
The dividend consists of Rs 1.5 per equity share on the 11,32,80,000 fully paid equity shares of Rs 10 each. In addition, the yard has also contributed Rs 158 crore to the exchequer by way of VAT, Income Tax, Fringe Benefit Tax, Excise Duty, Customs Duty and Service Tax during the year 2012-13.
The yard’s performance had been consistently impressive in the last several years despite a very challenging business environment in the shipbuilding / ship repair and shipping scenario. The highlight of this year’s performance was the launching of Vikrant, the first indigenously built aircraft carrier.
A diversified product mix of Defence and commercial shipbuilding orders and vigorous ship repair activity had helped the company navigate through the severe downturn in the industry witnessed from 2007 onwards.
The company’s turnover has increased five-fold from Rs 373 crore in 2005-06 to Rs 1,554 crore in 2012-13 and the net profit doubled during the period from Rs 94 crore to Rs 185 crore. With a networth of Rs 1,200 crore, the present book value of the company’s shares of Rs 10 is Rs 105.
To maintain the growth momentum, CSL has identified projects for expansion in the short, medium and long term. The yard has identified considerable potential in the ship repair business, owing to lack of commensurate facilities in the country.
It is also exploring the possibility of setting up a bigger dry dock in CSL for taking up building of bigger ships. The funding for the project will be through IPO/ internal resources.
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