Dredging Corp Returns to Profitability in FY26, Q4 Profit Surges to Rs 869m

Dredging Corporation of India has reported a strong return to profitability, posting a full-year Profit After Tax (PAT) of Rs 475.35 lakh for the financial year ended March 31, 2026. This marks a significant turnaround from the restated net loss of Rs 2,745.67 lakh recorded in the previous fiscal year. The company also achieved its highest ever annual turnover of Rs 1,214.09 crore during the period, driven by strong operational performance. Adding to this momentum, the company delivered a robust Q4 performance, with standalone net profit surging to Rs 869m compared to Rs 214m in the same quarter of the previous year.

Q4 Performance Highlights

The latest quarter underscored the company's improving operational efficiency, with Q4 revenue rising to Rs 4.8b from Rs 4.62b year-on-year. EBITDA for the quarter more than doubled to Rs 1.42b compared to Rs 767m in the corresponding period of the prior year. The EBITDA margin expanded significantly to 29.89% from 16.58% year-on-year, reflecting better cost management and higher-margin project execution during the quarter.

The following table summarizes the key Q4 standalone financial metrics:

Metric:	Q4 Current Year	Q4 Previous Year (YoY)
Net Profit:	Rs 869m	Rs 214m
Revenue:	Rs 4.8b	Rs 4.62b
EBITDA:	Rs 1.42b	Rs 767m
EBITDA Margin:	29.89%	16.58%

Operational Performance

For the full year, the company demonstrated resilience in its operations, with Revenue from Operations rising to Rs 1,20,832.53 lakh for FY26, up from Rs 1,12,732.42 lakh in the restated FY25 figures. Total Income for the year stood at Rs 1,21,409.84 lakh. The management attributed this growth to strategic planning and efficient execution of ongoing dredging projects. However, the company faced rising costs, with total expenses increasing to Rs 1,20,752.01 lakh compared to Rs 1,17,729.52 lakh in the prior year.

Full-Year Financial Metrics and Shareholder Returns

The financial turnaround is reflected in the company's earnings per share (EPS), which improved to Rs 5.28 for FY26 from a negative Rs 12.07 in the previous year. The Earnings Per Share on a basic and diluted basis for the quarter ended March 31, 2026, was reported at Rs 34.62. The board has set an ambitious target of achieving a turnover of Rs 1,500 crore in the upcoming financial year 2026-27.

The following table summarizes the key annual financial metrics for FY 2025-26:

Metric:	FY 2025-26	FY 2024-25 (Restated)
Annual Turnover:	Rs 1,214.09 Crore	Rs 1,127.32 Crore
Profit After Tax (PAT):	Rs 475.35 Lakh	Rs -2,745.67 Lakh
Total Income:	Rs 1,21,409.84 Lakh	Rs 1,13,315.85 Lakh
Earnings Per Share (EPS):	Rs 5.28	Negative Rs 12.07

Balance Sheet and Ratios

As of March 31, 2026, the company's net worth stood at Rs 1,23,035.21 lakh, an increase from Rs 1,22,149.01 lakh in the previous year. The debt-equity ratio was reported at 0.88:1, while the interest coverage ratio improved to 5.22:1 from 3.86:1 in the prior year. Total assets were recorded at Rs 3,06,570.88 lakh, supported by a healthy cash position with cash and cash equivalents at Rs 14,287.69 lakh.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+6.83%	+18.59%	+26.63%	+45.33%	+63.30%	+202.49%

Dredging Corporation of India Limited has disclosed the details of its related party transactions for the second half of the financial year ended March 31, 2026. The disclosure was made in compliance with Regulation 23(9) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company reported transactions involving the sale of goods and services to various port authorities, all of which are classified as promoters.

The total value of transactions undertaken during the reporting period aggregated to ₹19,136.29 lakh. These transactions were conducted with four major port authorities: Visakhapatnam Port Authority, Paradeep Port Authority, Jawaharlal Nehru Port Authority, and Deendayal Port Authority. The audit committee had granted an omnibus approval for these transactions at the beginning of the financial year.

Breakdown of Transactions

The following table details the specific transactions with each related party during the period:

Sl No	Counterparty Name	Relationship	Type of Transaction	Transaction Value (₹ in lakhs)	Opening Balance (₹ in lakhs)	Closing Balance (₹ in lakhs)
1	M/s Visakhapatnam Port Authority	Promoter	Sale of Goods and Services	1,197.34	221.53	1,442.05
2	M/s Paradeep Port Authority	Promoter	Sale of Goods and Services	2,254.49	4,763.12	6,147.31
3	M/s Jawaharlal Nehru Port Authority	Promoter	Sale of Goods and Services	9,440.21	3,621.34	3,463.35
4	M/s Deendayal Port Authority	Promoter	Sale of Goods and Services	6,244.26	860.43	3,647.78
TOTAL				19,136.29	9,466.42	14,700.49

Financial Impact

The data indicates that the highest transaction value during the period was with Jawaharlal Nehru Port Authority, amounting to ₹9,440.21 lakh. In terms of outstanding balances, Paradeep Port Authority accounted for the highest closing balance of ₹6,147.31 lakh. The total closing balance of monies due from these related parties stood at ₹14,700.49 lakh as of March 31, 2026. The disclosure confirms that no loans, inter-corporate deposits, or investments were involved in these related party transactions.