Seamec Limited Reports Q2FY26 Loss Amid Vessel Breakdown, Secures New Contracts

Seamec Limited , a prominent player in the offshore oilfield services sector, reported a consolidated loss of INR 26.00 crores in Q2FY26, compared to a profit of INR 0.20 crores in the same quarter last year. The company's financial performance was significantly impacted by technical issues with one of its key vessels.

Vessel Breakdown Impacts Revenue

The primary reason for the loss was attributed to a technical breakdown of the vessel SWORDFISH, which operated for only 22 days during the quarter. This unexpected downtime substantially affected the company's revenue generation capacity.

Financial Highlights

Consolidated revenue for Q2FY26 stood at INR 108.00 crores, down 3% from INR 110.00 crores in Q2FY25.
Standalone revenue decreased to INR 91.00 crores from INR 102.00 crores year-over-year.
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) at the consolidated level was INR 18.00 crores, compared to INR 38.00 crores in the same quarter last year.

New Contracts and Strategic Moves

Despite the setback, Seamec Limited has made several positive strides:

Secured a 150-day contract with L&T for the barge Seamec Glorious, to be deployed in the Mumbai High and Western Offshore region.
Signed a Memorandum of Understanding (MoU) with the Directorate General of Shipping for a maritime investment of INR 1,000.00 crores.
The vessel Anant is expected to be mobilized by February 2026, with a day rate of USD 45,000.00 for a four-year contract with ONGC.

Future Outlook

Seamec Limited remains optimistic about its future prospects:

The company plans to expand its fleet and explore opportunities in the Northern Europe offshore market.
Management expects the overseas operations to approach breakeven or profitability in the coming year.
The newly acquired vessel, Seamec Agastya, is scheduled for deployment from December 2025 with a four-year contract at USD 25,000.00 per day.

While the Q2FY26 results reflect short-term challenges, Seamec Limited's strategic contracts and expansion plans indicate potential for recovery and growth in the coming quarters. The company's focus on fleet modernization and market expansion may help in mitigating risks associated with aging vessels and technical issues.

Investors and industry observers will be closely watching how Seamec navigates the cyclical nature of the offshore services industry and capitalizes on the growing energy demand in India and global markets.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.24%	+11.08%	+4.45%	+5.19%	-26.23%	+121.79%

Seamec Limited , a prominent player in the offshore services sector, has announced a significant operational update alongside ongoing legal proceedings. The company's latest disclosure to the stock exchanges reveals a mix of operational progress and legal challenges.

Operational Update

Seamec has reported that its barge, SEAMEC GLORIOUS, commenced operations on November 13 at 13:00 hours. This development marks a positive step for the company's operational capacity.

Legal Proceedings

In a separate but noteworthy development, Seamec has initiated legal action against Asian Energy Services Limited and Hardy Exploration & Production (India) Inc. The company has filed a petition under Section 9 of the Arbitration and Conciliation Act, 1996, seeking interim relief for the recovery of charter hire dues.

Key details of the legal proceedings:

Aspect	Details
Opposing Parties	Asian Energy Services Limited and Hardy Exploration & Production (India) Inc.
Court	Bombay High Court
Dispute Nature	Non-payment of overdue charter hire for work carried out by Seamec's Vessel Seamec III
Claim Amount	INR 24,51,79,985.75 (inclusive of interest)

The legal matter was heard in the Bombay High Court on November 13 for further proceedings. This action underscores the company's commitment to protecting its financial interests and ensuring timely payment for services rendered.

Implications

The simultaneous occurrence of these events - the commencement of SEAMEC GLORIOUS's operations and the ongoing legal proceedings - highlights the complex nature of the offshore services industry. While Seamec continues to expand its operational footprint, it also faces challenges in securing timely payments for its services.

These developments may have implications for Seamec's financial performance and stakeholder relations. The outcome of the legal proceedings, in particular, could impact the company's revenue recognition and cash flow.

Investors and industry observers will likely keep a close watch on how these events unfold, as they could influence Seamec's market position in the offshore services sector.