Jindal Drilling & Industries has scheduled its 42nd Annual General Meeting (AGM) for Tuesday, September 15, 2026, at 3:00 pm. The meeting will be conducted through Video Conferencing or Other Audio-Visual Means (VC/OAVM) in compliance with Ministry of Corporate Affairs circulars permitting remote participation without physical presence.

The company’s Board of Directors, in a meeting held on May 22, 2026, recommended a final dividend of Re. 1.00 per equity share of face value ₹5 each, representing a 20% payout rate. If approved by shareholders during the AGM, the dividend will be paid on or after September 17, 2026.

Key Dates and Eligibility

Shareholders holding shares on the record date of September 1, 2026, will be eligible to receive the final dividend for Financial Year 2025-26. The Register of Members and Share Transfer Books will remain closed from September 10, 2026, to September 16, 2026, inclusive, for the purpose of the AGM.

Voting and Participation

The company is providing remote e-voting facilities alongside e-voting during the AGM for all resolutions set out in the notice. Electronic copies of the AGM notice and the Annual Report for FY26 have been sent to shareholders with registered email addresses. Those without registered emails will receive a letter containing a web link to access these documents, in accordance with SEBI Listing Regulations.

Dividend Payment Instructions

Dividend payments will be made exclusively through online transfer modes to bank accounts registered with the company. Shareholders are advised to update their KYC, address, and bank account details with their Depository Participants (for demat holdings) or the Registrar and Transfer Agent, Alankit Assignments Limited (for physical holdings), to avoid delays. Payments will be subject to Tax Deducted at Source (TDS) at applicable rates.

Jindal Drilling & Industries Limited reported stable financial performance for the first quarter of FY27, characterized by consistent revenue and EBITDA levels compared to recent quarters. The key operational highlight was the award of a new contract from Oil and Natural Gas Corporation (ONGC) for the Jindal Pioneer rig, which is currently undergoing refurbishment in the UAE and is scheduled for deployment in October 2026.

The company remains India’s largest offshore jack-up drilling contractor based in India, with five rigs currently deployed on long-term contracts with ONGC. The sixth rig, Jindal Pioneer, has secured its new contract, bringing total active or contracted assets to six. Management noted that total revenue was broadly constant with previous quarters, while the dip observed in Q3FY26 was attributed to the reversal of an other income item booked in Q2FY26.

Financial Performance and Order Book

EBITDA remained in line with expectations, with variations primarily driven by foreign exchange fluctuations in other expenses, which were less prevalent in Q1FY27 compared to the last quarter of FY26. The order book stands at ₹1,310 crore, bifurcated rig-wise and day-rate-wise to provide visibility into future revenue streams.

Management emphasized that the company remains cash-rich despite acquiring one rig in FY25 and conducting refurbishment exercises. The cash position is expected to improve further in coming quarters.

Operational Outlook and Refurbishment

Three rigs are expected to be de-hired within the current financial year, entering a 4 to 6-month refurbishment period during which no revenue will accrue. This is expected to impact H2FY27 revenue significantly. However, management indicated that EBITDA may not decline proportionally because the de-hired rigs include two rented assets (Virtue-I and Jindal Star) with varying profitability profiles, while the owned rig (Discovery-I) contributes significantly to earnings.

Refurbishment costs are estimated between ₹90 crore and ₹110 crore per rig, considering inflationary trends in labor and material transit costs. The company is not planning any acquisitions at present, focusing instead on redeploying existing assets and conserving cash for refurbishment obligations.

What the Numbers Show

The divergence between revenue and EBITDA sensitivity in H2FY27 highlights the structural shift in the company’s asset mix. While three rigs will go off-hire, the impact on earnings is mitigated by the fact that only two of these rigs contribute materially to EBITDA. This suggests that while top-line revenue will face pressure due to idle periods, margin resilience may be preserved as lower-margin rented assets are cycled out of operation.

Legal Dispute Update

Regarding the ongoing legal dispute with ONGC, which has been pending for 14-15 years, management stated there is no material update. The case is currently before the Supreme Court. The company has received funds related to the dispute but noted that if it loses the case, it would have to repay the amount. The total exposure includes an original receivable of ₹63 crore plus interest and forex appreciation, totaling close to ₹163 crore. Management assessed the possibility of losing the case as remote, citing consistent wins at previous stages including arbitration.