Mumbai: Mazagon Dock Shipbuilders Limited (MDL), India’s leading defence shipbuilding public sector enterprise under the Ministry of Defence, has reported strong financial performance for the first quarter of FY27, with double-digit growth in revenue and profitability.
For the quarter ended June 30, 2026, the company posted a 22% year-on-year (YoY) increase in consolidated profit after tax (PAT) to ₹550.46 crore, while revenue from operations rose 12.08% YoY to ₹2,942.70 crore.
The robust performance was supported by steady execution of defence shipbuilding projects, improved profitability and contributions from its subsidiary and associate companies.
Q1 FY27 Consolidated Financial Performance
Mazagon Dock delivered healthy growth across key financial parameters during the June quarter.
Key Highlights
- Revenue from Operations: ₹2,942.70 crore, up 12.08% YoY from ₹2,625.59 crore.
- Total Income: ₹3,255.88 crore, up 10.40% YoY from ₹2,949.17 crore.
- Profit Before Tax (PBT): ₹686.45 crore, rising 21.10% YoY from ₹566.85 crore.
- Profit After Tax (PAT): ₹550.46 crore, up 21.74% YoY from ₹452.15 crore.
- Basic Earnings Per Share (EPS): ₹13.62 compared to ₹11.21 in Q1 FY26, registering 21.50% growth.
The results reflect continued execution of the company’s defence contracts and healthy operational performance.
Standalone Performance Also Registers Strong Growth
Mazagon Dock’s standalone business also reported higher revenue and profitability during the quarter.
Standalone Performance Highlights
- Revenue from Operations: ₹2,770.99 crore, up 5.54% YoY.
- Total Income: ₹3,080.75 crore, up 4.46% YoY.
- Profit Before Tax: ₹684.12 crore, up 20.69% YoY.
- Profit After Tax: ₹509.71 crore, increasing 21.57% YoY.
- Basic EPS: ₹12.64 against ₹10.39 in the corresponding quarter last year, up 21.66%.
The improvement in profitability highlights efficient project execution despite moderate revenue growth.
Key Operational Highlights
Mazagon Dock reported several operational achievements during the June quarter.
Major highlights include:
- Consolidated PAT increased 22% YoY to ₹550.46 crore.
- Consolidated revenue rose 12% YoY to ₹2,942.70 crore.
- Standalone PAT climbed 21.6% YoY to ₹509.71 crore.
- Colombo Dockyard PLC, in which MDL holds a 51% stake, continued to contribute to consolidated performance.
- Goa Shipyard Limited, where MDL owns 47.21%, contributed a share of profit of ₹38.42 crore.
- The Ministry of Corporate Affairs (MCA) has exempted the company from segment reporting due to its defence production activities.
Expense Profile During the Quarter
The company’s expenditure increased in line with higher project execution.
Consolidated Expenses
- Cost of Materials Consumed: ₹949.03 crore compared with ₹891.22 crore in Q1 FY26.
- Sub-contract Charges: ₹369.44 crore against ₹193.64 crore.
- Employee Benefits Expense: ₹289.10 crore compared with ₹249.82 crore.
- Other Expenses: ₹261.84 crore versus ₹244.87 crore.
- Provisions: ₹29.53 crore compared with ₹540.10 crore in the corresponding quarter last year.
The significant decline in provisions also supported improved profitability during the quarter.
Subsidiary and Associate Performance
Mazagon Dock continued to receive support from its subsidiary and associate companies.
Colombo Dockyard PLC (Subsidiary)
- MDL holds a 51% stake.
- Consolidated using the Ind AS 110 line-by-line method.
- Revenue: ₹171.71 crore.
- Profit After Tax: ₹2.34 crore.
Goa Shipyard Limited (Associate)
- MDL owns a 47.21% stake.
- Accounted for under the Ind AS 28 Equity Method.
- Share of Profit: ₹38.42 crore.
These investments strengthened the company’s consolidated financial performance during the quarter.
Strong Defence Order Execution Supports Growth
Mazagon Dock’s June quarter performance reflects the steady execution of its defence shipbuilding projects and a strong order pipeline.
Despite moderate growth in standalone revenue, the company delivered significantly higher profitability, demonstrating improved operational efficiency and disciplined project execution.
The company remains one of the most strategically important defence shipbuilders in India, benefiting from sustained government focus on indigenous defence manufacturing under the ‘Aatmanirbhar Bharat’ initiative.
About Mazagon Dock Shipbuilders Limited (MDL)
Mazagon Dock Shipbuilders Limited (MDL) is a Miniratna Category-I Central Public Sector Enterprise under the Ministry of Defence and one of India’s premier defence shipyards. The company specializes in building warships, submarines and other naval vessels for the Indian Navy and Coast Guard. MDL has the capacity to simultaneously construct 11 submarines and 10 warships and is the only public sector defence shipyard in India engaged in the construction of both destroyers and submarines, making it a key pillar of the country’s defence manufacturing ecosystem.
