Tebma Shipyard may soon come under CSL fold
KOCHI: Cochin Shipyard Ltd (CSL), the largest ship building and maintenance facility in India, has reported a 65 per cent decline in its consolidated net profit of Rs41.43 crore for the first quarter of the current year ending June 30, 2020 compared with Rs118.98 crore the company posted for the same quarter in the earlier year.
The Q1 profit is also 70 per cent lower compared with what the company earned for the immediate previous quarter at Rs137.53 crore, thanks to COVID-19 and the still-continuing lockdown necessitated by the pandemic.
On a standalone basis, the company reported a net profit for the said quarter of Rs42.65 crore against Rs120.25 crore for the same quarter in the previous year. The company’s net profit for the immediate previous quarter – the fourth quarter of the previous year, was Rs138.77 crore.
On a segment basis, while the CSL group’s ship building facility earned a profit before tax of Rs62.51 crore for the quarter under review, the ship repair during the period closed with a loss before tax of Rs8.86 crore mainly due to the shut-down of the repair facilities due to the lock-down.
While the total income of the group on a consolidated basis was Rs396.46 crore for the said quarter, the comparable period in the earlier year earned a total income of Rs804.23 crore, which was 103 per cent higher.
CSL bids for Tebma Shipyard
CSL said it has bid and submitted a Resolution Plan for Tebma Shipyard Ltd (TSL) in in Malpe, Karnataka, under the Corporate Insolvency Resolution Process (CIRP) commenced by the National Company Law Tribunal (NCLT).
The Resolution Plan submitted by CSL under the CIRP has been accepted by the Committee of Creditors (CoC), and NCLT has approved the same vide its final order dated March 4, 2020.