Garden Reach Shipbuilders & Engineers (GRSE) Ltd, a leading defence public sector undertaking (PSU), has announced a final dividend of ₹4.90 per share for FY25. The company has fixed September 12, 2025, as the record date to determine the eligibility of shareholders for this payout. The dividend, once approved at the upcoming Annual General Meeting (AGM), will be paid within 30 days of the record date.
Dividend Announcement: Key Highlights
- Final Dividend: ₹4.90 per equity share for FY25.
- Record Date: September 12, 2025.
- Ex-dividend Date: September 11, 2025 (last day to purchase shares to qualify).
- Payment Timeline: Within 30 days of the record date, subject to shareholder approval.
This dividend reflects GRSE’s consistent track record of rewarding shareholders while maintaining strong operational and financial performance.
What the Record Date Means for Shareholders
The record date is the reference date set by the company to identify eligible shareholders:
- Investors holding GRSE shares in their demat accounts as of September 12 will receive the dividend.
- Purchases made on or after September 12 will not qualify, due to the T+1 settlement cycle.
- Effectively, September 11 is the last day to buy GRSE shares to become eligible for the payout.
GRSE Q1FY26 Earnings Performance
GRSE reported a strong set of financial results for Q1FY26, underscoring its robust order execution and improved operational efficiency:
Revenue and Income
- Total Income: ₹1,382 crore, up 28% YoY from ₹1,084 crore in Q1FY25.
- Revenue from Operations: ₹1,310 crore, up 30% YoY from ₹1,010 crore last year.
Profitability Metrics
- EBITDA: ₹184 crore, up 42% YoY from ₹130 crore, driven by cost efficiencies and execution scale.
- PBT (Profit Before Tax): ₹167 crore, up 45% YoY from ₹115 crore.
- PAT (Profit After Tax): ₹120 crore, up 38% YoY from ₹87 crore in Q1FY25.
The results indicate operating leverage gains, with profitability growth outpacing revenue growth, showcasing better margins and efficient project execution.
Strategic and Market Implications
- Shareholder Value Creation: The consistent dividend payout adds to the attractiveness of GRSE as a PSU defence play.
- Robust Growth: A sharp rise in revenues and profits underlines strong execution capabilities amid rising defence sector opportunities.
- Operational Efficiency: EBITDA and PBT growth suggest improved margins, which could sustain going forward if order flow remains strong.
- Investor Sentiment: The combination of dividend payout and strong quarterly performance is likely to support positive investor sentiment.
Summary
- Dividend Update: GRSE declares a final dividend of ₹4.90 per share, record date on September 12, 2025.
- Financial Performance (Q1FY26):
- Total income: ₹1,382 crore (+28% YoY).
- Revenue: ₹1,310 crore (+30% YoY).
- EBITDA: ₹184 crore (+42% YoY).
- PAT: ₹120 crore (+38% YoY).
- Outlook: With strong execution, margin improvement, and steady shareholder rewards, GRSE remains well-positioned in India’s growing defence shipbuilding space.
Disclaimer:
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
Investments in securities markets are subject to market risks. Please read all related documents carefully before investing.