Q2 25/26

Oct 4, 2025

Quarterly report

Summary

Q2 revenue rose 35% YoY and PAT 57%, while the order book stood at INR 20,205.56 crore. Management targets an order book above INR 50,000 crore by FY26-end and is advancing capacity expansion amid substantial defense and commercial demand.

Good afternoon. Welcome to the conference call of Garden Reach Shipbuilders & Engineers Limited, arranged by Concept Investor Relations to discuss its Q2 and H1 FY 2026 results. We have with us today Commodore P. R. Hari, Indian Navy Retired, Chairman and Managing Director, and Shri Niranjan Mukund Bhalerao, Director of Finance and CFO, and Shrimati Aparajita Ghosh, GM Finance. Please note, this conference will be recorded. I would now like to hand over the floor to Commodore P. R. Hari, Chairman and Managing Director. Thank you, and over to you, sir. Thank you. Good afternoon, everyone. I welcome you all to the conference call of GRSE to discuss Q2 FY 2026 results. With me here are Shri Niranjan Palerao, Director of Finance and Chief Finance Officer, Shrimati Aparajita Ghosh, General Manager, Finance, Shri Hitesh Varana, our Senior Company Secretary. As we normally do during these conf calls, I shall proceed in the following fashion while addressing your queries. I shall touch upon the financial performance for the quarter ending and half year ending 30 of September 2025. Give you a glimpse of the physical performance that has translated into the financial performance. Cover the order book. Give you a glimpse of the future outlook, including orders on the anvil, and culminate with our expansion plans. I am happy to inform you that the results of Q2 FY 2026 have been encouraging, and we have been able to sustain the growth momentum, recording a strong set of numbers. Our revenue from operations year-on-year has gone up from INR 1,153 crores to INR 1,677 crores, registering a growth of 35%. Similarly, the total income has moved up by 42%, with the profit after tax moving from INR 98 crores to INR 154 crores, registering a growth of 57%. Coming to the order book that the company has as from 30th September. Our order book stood at INR 20,205.56 crores, which comprises of 10 shipbuilding projects consisting of 43 platforms. These include 13 warships for the Indian Navy. That is two P17A advanced frigates, one Survey Vessel Large-class, six anti-submarine shallow water craft, and four next generation offshore patrol vessels. In addition to these 13 warships, we are also executing two export projects. A project of 12 multi-purpose vessels for our German client, and a trailing suction hopper dredger for the government of Bangladesh. So export platforms, two projects consisting of 13 ships. We are also constructing 13 hybrid ferries for the government of West Bengal. In addition, we are also executing three projects for specialized research vessels. One for the Ministry of Earth for an ocean research vessel, two coastal research vessels for the Geological Survey of India, and one acoustic research ship for the DRDO, the NPOL project. These three projects for the three platforms pertain to shipbuilding. In addition, we are also executing an order for the Indian Navy for manufacturing of naval surface guns. Two ship repair projects, including an export project for the government of Mauritius. In addition to the orders that we have on the propulsion steam that the deliveries division, the deck machinery division. I shall now touch upon the progress of the ongoing projects that will give you an understanding as to where we are with respect to execution of these projects. Coming to the P17A project, as you are aware, this is a big, prestigious project consisting of three warships. I am happy to inform you that the first ship has been delivered ahead of schedule, and the second ship is getting ready for contractor sea trial. We should be sailing the ship for contractor sea trial sometime during the end of this month, November. This ship, as with the first ship, shall be delivered ahead of schedule. The third ship, the last of this project, has completed nearly 60% of construction and is moving towards its delivery schedule during mid-2026. With that, we will be completing this project. Coming to the Survey Vessel Large-class project. This is a four-ship project. Three ships have already been delivered, and the fourth ship has achieved nearly 85% physical progress of construction. It has successfully completed the contractor sea trials. She shall now be made ready for delivery planned during February 2026. The anti-submarine shallow water craft project is the eight ships project. Total 16 ships, eight ships by GRSE and eight by another public sector shipyard. I am happy to inform you that two of our vessels have already been delivered. Both the ships have since been commissioned into the Indian Navy. The third ship has completed her final machinery trials and is getting ready for delivery. We intend delivering the ship early next month. The fourth and fifth ships have achieved nearly 80% and 72% physical progress of construction respectively. We are targeting delivery of both these ships during the first half of 2026. The balance three ships, the sixth, seventh, and eighth, have progressive construction ranging from 55% to 70%. By end of next year, we will be completing the anti-submarine shallow water craft project. The fourth project that we are doing for the Navy is the next generation offshore patrol vessel project. This project is moving along fine. The first two ships have achieved nearly 60-plus percentage of physical progress, and the next two ships are around 52% progressive construction. The first two ships, ship one and ship two, shall be launched during early 2026, and the next two ships shall be launched during the latter half of 2026. The delivery of these vessels as per contract is scheduled by 2028. As of now, we are on track towards timely delivery. The next project is the High Speed Vessel project that we are undertaking for the Government of West Bengal. This is a World Bank-funded project. 13 vessels, seven vessels with 100 passenger, and six vessels 200 passenger. The project is on track, and the delivery of these vessels shall commence from early 2026. The project completion is scheduled by 2027. The next project I would like to bring to your notice is the multi-purpose vessel export project that we are undertaking for a German client. Just to put things in perspective, this was initially a four-ship project, then the quantum got increased to eight, and thereafter 12, with an option for another two vessels. The first vessel has already been completed. The delivery of these vessels is expected to be completed by 2029. The project is a low-value project, about INR 125 crores project. The delivery of this vessel is planned during mid-2027. The project is on track. The research vessel project has kick-started, the ocean-going, the Acoustic Research Ship and the Coastal Research Vessel. The delivery of these vessels are planned between 2027 and 2028. I shall now touch upon the future outlook and give you a glimpse of the orders that are on the anvil. As you may be aware, the Navy and the Coast Guard have got a huge expansion plan. As of now, three projects, one for the Coast Guard and two for the Navy. The RFPs have already been issued: 18 FPV project for the Coast Guard, five next generation survey vessels for the Navy, and two multi-purpose vessels for the Navy. The total likely order value is approximately INR 8,700 crores between these three projects. GRSE has already submitted the bids for two of these projects, and the third project bid submission, as I understand, is towards the end of this month. In addition, seven more projects have been accorded the Acceptance of Necessity by the Defence Acquisition Council over the last one year. These include the P17 Bravo project for seven ships, the nine mine countermeasure vessel, MCMV, 12 ships, the fast interceptor craft, 120 vessels, 18 Type V, 31 next generation waterjet FAC, four LPD, and five LOPV between Indian Coast Guard. The high-value projects among these are the P17 Bravo. The AoN value itself is approximately INR 70,000 crores. The nine mine countermeasure vessel is about INR 32,000 crores, and the LPD around INR 35,000 crores. All put together, these seven projects for which the AoN has been accorded, the value comes to approximately INR 1,62,000 crores. Here I'm not discussing the submarine project, the IAC project, or the next generation destroyer. Keeping it out of this bracket, because these projects, the AoN has not yet been accorded. In addition, GRSE has already signed an MOI with a European client for multi-purpose vessels. That has obviously already signed the contract. We are still in the discussion stage, so we expect these projects to gain some traction over the next six months. With a strong order book. I forgot to mention regarding the Next Generation Corvette project, as you are aware, we have been declared L1 in this project, the high-value project, and we expect the contract to be signed in the next three to four months. We are confident of ending the financial year with an order book plus INR 50,000 crores. It is well above the highest order book portion that the company ever had. I think it is almost 100% more than what it ever had. This is something which we are really looking forward to. With this background, a good order book, strong order book, much more on the annual in the defense and export, domestic defense and commercial export segment, we are good to go for a strong future. With this background, we had systematically prepared our capacity enhancement plan and our shipbuilding capacity increased from 24 ships concurrent construction to 28 ships during 2024-25, and with the ongoing modernization, we intend to increasing this to 32 ships by 2026. But I must state that this still will not be adequate to meet the demand that is available in the market. So we are going in for a brownfield expansion between West Bengal in three pockets, and in the pockets in three separate areas, and a greenfield shipyard in the West Coast. So these brownfield and greenfield expansion plan will take a finite amount of time. In our appreciation, in around four years, the shipbuilding capacity shall be increased from the envisaged 32 during 2026 to 40, and this 40 should be adequate to meet the dimensional requirements of the future project, especially the large size commercial vessels. I think that gives you a glimpse of what we have done during the last quarter and half year. The current order book and the position, the progress position status of each of the projects that we are undertaking, the orders that are likely to rectify in future and our expansion plan to meet the envisaged orders. I am open for any questions now from our connectivity group. Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and then one on their touchtone phone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking your question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Our first question comes from the line of Amit Dixit from Goldman Sachs. Please go ahead. Would you like to be another question? Yeah. Hi, good evening, everyone, and thanks for the opportunity. Congratulations for the good set of numbers. Couple of questions from my side, sir. One is, the recently approved AoNs of INR 79,000 odd crores. There was a mention of LPD over there. Just wanted to understand the quantum of LPD that could be there. Secondly, who all are in the fray for this particular platform? Part C of the question is that how long it will take for us to build the LPD, if we get the contract? Thank you, Mr. Amit. You are absolutely right. The last DAC meeting where I got AoN for various projects including the LPD project. This is a high-value project. It consists of 4 ships. It's a 4-ship project with an order value likely between INR 35,000 crores. Next question to all. There are 3 of us, that is MDL, HSL, GRSE plus Cochin Shipyard plus L&T. These are the expected players in the field for this project. Normally, it takes about a year to a year and a half, perhaps, for the RFP to be issued from the time of the award of AoN. From the time of RFP issue, it takes about a year for the contract, including along the duration, so on the contract. About 2 to 2 and a half years from now, the contract is expected to be signed. As per my understanding, the project duration is around 48 months. 48 months. Okay. For the first ship, 48 months for the first ship, and every month for one ship, that is my understanding. Okay, sir, that's very helpful. The second question is essentially on Next Generation Corvettes. The project, the awarding of contract has been, I think, delayed quite a bit. Where we are actually on this, there were certain defense companies who mentioned on their call that they are expecting some trickle-down orders for this next year. But unless and until it is awarded, it's very difficult to see how they can get the trickle-down orders. Just wanted your thoughts on this. Where are we actually, and when can we expect the decision on this? Thank you. As for our instant partners are waiting for trickle-down orders, we are waiting for the main order. As I have said too, the project has not been delayed with respect to award of contract. This is a natural process. Once the L1 is declared, there will be a price negotiation then the contract negotiations. High-value order. Total order value for each ship is to the tune of almost INR 51,000 crores. So naturally, it will take a finite amount of time for the contract to be concluded. I'm happy to inform you that the contract negotiations are in final stages, and we expect the contract to be signed in the next 8 to 12 months. This means in this financial year. In this contract, being a high-value contract for an advanced platform, the partner range could be from MSME to major global OEMs. So for a major project like this, there is a pre-production time that has been awarded. Which means from the time of award of contract, there's a pre-production, a determined time that is awarded. During which period we will be placing orders to all our partners, the major OEMs as well as the MSME, based on the design and maturity. So they can be rest assured that many of these orders could trickle down during FY 2024, starting from the first half onward. With the contract signing likely during Q4 of this year. Thank you. Okay, sir. That's very helpful. The third one, and if I may, and this is the last question from my side, is that if you see, we are actually cruising at a very good execution as of now, but the order book is also diminishing. So until we hit really the pressure on NGC and the landing platform dock, do you foresee that in the next, let's say, 3 to 4 quarters, we'll face a period where there's significant earnings decline just because we would have exhausted our order book? Look, I will put it this way. When we started this financial year, our order book was around INR 22,000 crores. In the last three quarters, we have actually recognized revenue to the tune of INR 12,000 and INR 10,400 crores. Whereas our order book has dropped only by around INR 2,000 crores. Which means there are INR 9,000 crores worth orders we already obtained during this quarter. What we are doing is, rather while waiting for high-ticket items like the NGC order, to be contracted. We are meanwhile getting orders for smaller projects. We have some associates for those projects, so that the revenue does not drop in the coming years. To answer your direct question regarding is there any likelihood of revenue depletion in the coming few quarters? No, I do not expect that. Clearly because the P17A project is very much on even as of now. The second major project, the anti-submarine shallow water craft project. Both these projects are likely to execute, one of them, mid of next year, and the second one, end of next year. So I do not see any revenue depletion in the next two to three or three to four quarters. I hope that answers your question. Thank you. Thank you so much, sir, and all the best. Thank you. Our next question comes from the line of Krishna Doshi from Ashika Institutional Equities. Please go ahead. Thank you for the opportunity, and congratulations on a great set of numbers, sir. My first question would be with regards to the NGC order. I was just trying to understand what kind of margins are we looking at in the NGC order. If you could just possibly give us a range or something. Always trick questions are welcome. Margins, yeah. Let's spend on the margins. See this project has been under competition. I hope you're aware of that. Yes. Of course. That being a high-value project, I would just state, and I'll go back to what I normally say. Shipbuilding, in conventional shipbuilding, a good margin, a fat margin would be around 12.5%. And we can assure our investors and partners that we'll be getting well beyond that. So margins will not be wafer-thin. Perfect. Okay, sir. My second question would be that we've seen significantly higher gross margins in this quarter. We've also seen a spike when it comes to the subcontracting costs and other expenses. If you could please elaborate, what were these costs attributed to? Thank you. One, we mentioned about the higher margin this quarter and also increase in subcontracting costs. Yeah. See, as a strategy, our non-core jobs including certain amount of construction activities are outsourced. Now it is but natural that as the overall revenue increases, the subcontracting costs also increases. Increase is understood, that is clearly a natural phenomenon, no matter of concern. Now, coming to margin. Right now we are recognizing maximum revenues from the P17A project. The second ship reached a stage where the trial phase has started. The equipment installation has been completed. This being our first profit-making project. The revenue recognition as well as the margins are good during this quarter, and the same trend is likely to continue in the next quarter too. The project is likely to be in a similar phase even in the next quarter. Okay, sir. Thank you so much for that. Just a last question that our revenue guidance has always been in the range of 25%-30%. However, in the first half only, we have delivered a revenue growth of around 38%, if you see year-on-year in the first half. Do we now want to revise our revenue guidance upwards? See, you are absolutely right. We have been maintaining about 35%-30% year-on-year growth, and we expect to maintain similar trend during the current financial year too. Okay, sir. Thank you. That's it from my side. Thank you. Thank you. Our next question comes from the line of Sai Vijay from Capstocks India Securities. Please go ahead. Good evening, everyone. Thank you for the opportunity. Sir, my question is regarding the upcoming P17 Bravo project. When is the RFP expected? I think you mentioned around 2Q that it should be released, was that? Thank you, Mr. Sai. Yes, we are also waiting for the P17 Bravo project, having now reached almost two-third of the P17 Alpha project. Yes, the AoN has already been accorded by the DAC, I think, about 8 months back. We expect the RFP to come out during the current financial year. Thank you. It's a flagship project likely to be— Not likely. It will be split between two shipyards, one shipyard takes 4 and then two shipyards take 3. I think the RFP is expected during the end of, rather Q4 FY 2026. Sir, you already have given your experience with P17A. How confident are you about winning the order? Could you just share the shipyards names participating in the bid? Okay. Some information. P17A, four shipyards were there, so the probability is very high. MDL, GRSE, L&T, and Cochin Shipyard. These are the four shipyards who have been shortlisted for this project as of now, and we expect it to remain in the same fashion. Yes, I do not know whether you remember or not, when we started discussing the NGC project almost 2 and a half years back, we had been, like Bharat Forge management, GRSE has been conversely stating that with the experience gained from the earlier project executed by GRSE for the Navy, we will be bidding in such a fashion as to win the bid, and we have won the bid. I would like to maintain the same confidence that with the experience of having built the P17A project, we will be putting in such a fashion to win this P17B order. So confidence level is high. All good. Thank you very much, sir, and all the best to L&T. Thank you. Thank you. Our next question comes from the line of Ayush Agrawal from MAPS Value Investing Fund. Please go ahead. Good afternoon, sir. Thanks for the opportunity. Sorry to interrupt. Ayush sir, you are sounding a little bit muffled. If you are using a speakerphone, may we request you use handset, please. Is it better? Yes, sir. This is much better. Good. I wanted to get a better understanding on our weapon systems program. We have seen a lot of focus on naval gun procurement from warships as well as Coast Guard vessels. Recently in the DAC program also, government wants to procure more naval guns. Just share your understanding of what is changing and why so much demand suddenly. I understand, Ayush. Three-parted question. Are you specifically talking about weapon systems, or are you talking about warships in general? Yeah, between weapon systems, naval gun procurement part. Okay, got it. As a diversified company, as our name states, Garden Reach Shipbuilders & Engineers Limited, unlike any other conventional shipyard, we are a fully diversified company, and one of our products is weapons. We started with the naval gun system in collaboration with an established partner. To repeat inform you that we already successfully completed the sea acceptance trials of this naval gun system. With the success of the equipment, the gun, we expect more orders from the Navy and the Coast Guard because both Navy and the Coast Guard have a requirement of this 30mm guns for their medium type and small type platforms. They have a large number. I see a huge potential on this front. As I stated, we are expecting more orders from both the Navy and the Coast Guard for the 30mm gun. We are also exploring the feasibility of further expanding our range of weapon systems. We are still in the discussion stage. Maybe in one of the subsequent interactions, I will be able to give more clarity on this as we progress. But right now, we are focusing on the 30mm naval gun system. Understood. Sir, second question is just a follow-up that currently, there are 10 guns, is what I believe, and many will be in RFP stage also. If you can tell us a number, how many would be in the RFP stage, and going ahead, what can be an annual naval gun installations? See, I will put it this way. I can give you the broad numbers. Of course, I will not be able to share the exact, but I can give you a hint. But the point is there are numerous technologies that this gun has just been developed. The pre-acceptance trials of the first gun has been completed just about two months back. So it is still in the stabilization phase. Okay, answer your question with respect to yes, we have received an RFP for 7 more guns which are under the final negotiations for contract conclusion. We have received an inquiry for nearly 50 guns. So the opportunities are huge, but at this stage, 10 plus 7 plus 1 is what we have in our market. Of this 10 contracts, I will be saying 7 are still with us. We expect the contract to be signed soon. The third one at very nascent stage. The- Thank you. Yeah. Sir, just one last question on this one. Are the older naval guns also getting replaced on the existing vessels? I shall follow up this further, and maybe in one of the subsequent interactions, I shall enlighten you more on this. As I understand, yes, there is a need to replace vintage guns, but at this moment, since it is evident that Navy is focusing on 30 mm guns, focus is on smaller caliber guns. I shall definitely revert to you with further information, Ashvin, when I get with respect to the other weapon systems that they are facing. Thank you so much, sir. Yes. Thank you. Thank you. Our next question comes from the line of Yash, an investor. Please go ahead. Yeah. Good afternoon, sir. Thanks for the opportunity, and thanks to Comrade Hari sir. We learned a lot from you during your interactions with the investors, and I really respect you for your patient responses and very elaborate team to investor. My question is regarding a non-operational corporate event. Just want to check that the other shipbuilding companies are giving some corporate actions like stock splits or bonus. Just wanted to see is there anything on the cards for you, sir? See, could you repeat the question part once again? I wanted to hear it instead of the- The thing is that the other shipyards have given some corporate actions like a stock split or something like that. Is there anything on the card for our company also, sir? Yeah. Thank you, Mr. Yash. I could hear your question clearly and very well too. See, we are purely guided by different guidelines, and we are waiting for instructions from them. After that, we get to know, our investors will be the first to know from us. At this juncture, we are waiting for further directives from DIPAM. Thank you. One more question, sir. Also a lot of capacity, you mentioned that you are also eyeing for greenfield shipyard. Is there anything finalized with that? Just want to check on that. What I had mentioned was, one, there is a definite need for capacity enhancement, and we are doing it in two parts, not phases. One is to create brownfield facility, and brownfield facility, that facility we definitely would prefer in our home state, that is West Bengal. The process already started. The area is identified, taken on charge, at least two of the three areas, and we have started the development of these areas. So that is very much in hand. As far as the West Coast strategic is concerned, area has been identified. The DPR preparation is currently in progress. Any shipping infrastructure, it takes a certain amount of time. It's capital intensive and time intensive. So considering that, I would put a conservative time of about 3 to 4 years for greenfield expansion plan to materialize. As I said, right now the DPR is under preparation. It's moving in the right direction, and maybe in about a year we'll be able to put the DPR report into action with respect to implementation. It is in the West Coast. That was I can say. Sure, sir. Great, sir. I hope under your leadership, sir, our company will have a long way to go. Thank you. Thank you, sir. Thanks for the foresight and all your keeping and making this company great, sir. Thanks a lot, sir. Thank you. Thank you, Mr. Yash. Thank you. Thank you. Our next question comes from the line of Sunil Shah from SRE PMS. Please go ahead. Yes, sir. Thank you so much. First of all, congratulations on the first delivery of the frigate, the P17A, that you could deliver to the country. A big thank you from everybody and to the entire team of GRSE. Congratulations on that side. Enjoyed the entire journey from the date of the order announcement till the actual delivery as an investor. Thank you so much for that. Sir, just few pointers. Just wanted to understand. When you stated during the opening remarks that the AoN is about INR 152,000 crores, that was pertaining to the opportunity that you can look at. Is that the understanding, correct? Okay. Thank you, Abdul sir. Thank you on your best wishes. Delivery of the first ship in March, and we assure you that even the next ship is very much on the right track for delivery as per schedule. Now, coming to the order book handling. We are stating that in addition to the 3 RFPs which have already been terminated, for which the value is likely to be to the tune of around INR 8,700 crores. There are 7 more projects for which the DPR has already acquired AoN. These include, I think I mentioned this already, the P17B, 7 of them, 12 mine countermeasure vessels, 120 FIC, 20 interceptor boats, next generation fast attack crafts, 31 LPDs, and 5 MPDS. These ships put together, the value comes to INR 152,000. That is again, a conservative estimate. It could be maybe if you consider AoN costs, it could vary INR 3,000-INR 4,000 crores more. Plus the INR 8,700 for which RFP is. I will give further elaboration. This is only from the defense segment, domestic defense segment. In addition, I am sure you are keeping track of the news that the Ministry of Shipping has aggregated the shipbuilding demand of all the non-defense PSUs like the NMDC and so on, for their commercial vessels. The number of platforms at various types, unit types as well, 207. A mammoth number of 207, ranging from MR tankers, LR tankers, platforms to put, PPS2 to the maximum of the Panamax type of tankers vessels. That is 207 in number. The cost, again, very conservative, it could be to the tune of INR 350,000 crores. Now, this is the second bucket. Then comes another segment. That is the export segment of commercial ships. Only as recently as today, maybe around 1 hour back, I had a European client sitting with us discussing our project. That is the kind of proactive and very positive approach that the European shipbuilders, ship owners are showing towards Indian companies. Every major shipyard in India today, be it CSL, be it GSL, be it DC, you name it, MDL, they all have commercial shipbuilding order in every line. I mentioned that we have got 12 multi-purpose vessels, and this segment is going to expand exponentially. So there are 3 segments. One is INR 152,000 plus INR 8,700 defense assured bidding. Then comes the 207. There is a top-down directive. The government of India is very closely monitoring the commercial shipbuilding segment, and of course, the export. The number of shipyards in India, all big, small, all put together are just very few. After a few of them are limping. Only take the big shipyards. Big shipyards take big orders. If you put all these things in the perspective, the opportunities are available for all of us. And you know how we target projects by now. So the share that we will be vying for will be substantial in the coming years, let's say 1-3 years. That is in addition to the assured order, which we are likely to sign the contract next 3-4 months for the NGC. So this is where we stand today. Yeah. Sir, just a little bit more on the same point. Sir, as we speak, roughly our current order book is about INR 20,000 crores, and we are L1 for the NGC, which is INR 25,000 crores. So by end of the year, this financial year, FY 2026, as you stated, our order book could be approximately, let's say, INR 50,000 crores. But 1 year forward from now, FY 2027 year end, once at that point in time, even the P17 Bravo would be announced. So is it a safe assumption that the order book of today of INR 20,000 crores, maybe in the next 15-18 months could be upwards of INR 75,000 crores? Is my directional assumption correct? That's what I would like to understand. I hope that. It's not a number, but maybe a direction. Sorry. Hello? Absolutely right, and we are of the same frequency. I just hope your hopes come true. That is exactly that we are targeting. Right now, our order book is INR 20,000 crores. As you rightly said, of course, I would like to just make a slight correction to the NGC figure. That could be to the tune of around INR 30,000 crores order. All put together, we should end the financial year with around INR 50,000 crores. If you get the P17A value, let us take the best-case scenario of four ships coming to us or the worst-case scenario of three ships coming to us, the order book could go up exactly the way you predicted. Perfect. Yeah. Bang on. Great, sir. Thanks so much for this understanding. Just one point here which I wanted to understand was, we are now getting into this capacity expansion mode of Brownfield and the West Coast opportunity as well, for which the DPR is there. But the current state of affairs of shipbuilding taking up a big step forward in that direction. Our contract with Swan Energy, Swan Defence, wherein that port is in a way unutilized, and for us, maybe that could be one big thing because we signed an MOU, but actionable on that side because if the orders are coming, we also have vast untapped idle capacity which we can use. Can we speed up the growth even more, meaning as- Because it's so much on the platform. Undoubtedly, we are doing remarkable, but still on that side, if you could briefly understand the Swan deal that we had some association with you. Yes, it is true that we have signed the MOU with the Swan shipyard, and we are actually waiting for the right opportunity. We need to get the right kind of platform which has to be profitable. Why did we go to Swan specifically? Because the type of ships, which let us say 250 meters plus, we cannot build with the current capacity that we have. It is for that reason we decided to go in for an MO with Swan and also with the L&T shipyard. We are in discussions with both the ship owners. It happens when we get the opportunity to complete here, the time, space, cost, project timeline has to match. It will happen, but I cannot say at this point. We are waiting for the right opportunity. While this MOU exists, we decided as a management, let us say, strategy that we must have our own factory which will be our future. That is the reason why we are looking at the greenfield opportunity. Swan definitely, very much the MOU is very much active, but we are waiting for the right opportunity. Thank you. Thank you so much, sir, and all the best to entire GRSE team in the future. Thanks so much. Thank you. Thank you. Our next question comes from the line of Harshit Kapadia from Elara Capital. Please go ahead. Yeah. Hi, sir. Thanks very much. Certainly congratulations for good set of numbers. Could you give us a breakup of the INR 20,000 crore order book across all the ship categories which you have, sir? Sure. Just give me a minute to- Sure, sir. Yes. I will start with the P17A project. The P17A project, the pending remaining order balance value is around INR 9,500 crores. The anti-submarine warfare shallow water craft is around INR 3,075 crores. The P15M large is around INR 400 crores. The next generation offshore patrol vessel is around INR 3,250 crores and the P-8I maritime is around INR 150 crores. The research vessels all put together, that comes to around. The ocean research vessel is INR 750 crores. The acoustic research ship around INR 220 crores. The West Bengal electric ferry, again, about INR 220 crores, and the coastal research vessel is around INR 260 crores. The multi-purpose vessels for the German client around INR 1,400 crores and the remaining order value on the dredger is about INR 95 crores. All put together, the shipbuilding order book is around INR 19,856 crores. Here, what I would like to bring to your notice is that there was a point of time when our entire shipbuilding order book was through Indian Navy or Indian Coast Guard order. There was a point of time, 100% of our order book from shipbuilding. And shipbuilding, of course, constitutes almost 95%-98% of our total order value. 100% used to come from different platforms. But now we have reached a stage where INR 19,856 crores, 83% is coming from defense and balance 17% is coming from non-defense platforms. That is a very interesting aspect that I thought I must inform you. I hope you have got what you wanted. No, that is really great, sir. Thanks for the in-detail breakup and congrats that you are now diversifying yourselves. Secondly, sir, just wanted to check the INR 9,000 crore figure which you have given for P17A. That is for now 2 ships or there is some portion of the third ship which is also remaining? Which is the one that you are- I am sorry, sir. Have you cut off or can you repeat please? Yeah. Can you hear? I'm just asking. Sorry. Ashish sir, your line is cutting off in between. Is this okay now? Am I audible? Hello. Yes. Yeah. Yes, you are audible. I can hear you this time. Thank you. The alpha order which you have mentioned of, that is only or- Sir, again, your line is cutting off in between. So the question, certain words are getting missed. I think I got your question. Shall I answer? You can try and change your Sure. I think you asked me about INR 9,400 crores remaining. You asked me whether this INR 9,400 constitutes the remaining order value for the last two ships, correct? Yeah. I'd like to put it like this. This constitutes the balance two ships plus the base and depot spares. In one of the earlier interactions, I had mentioned that in the overall project cost, X percentage is dedicated for the base and depot spare for which the customer, in consultation with us, decide the base and depot spare. And these spares are for long-term maintenance of the ships. So the actual project value for the next two ships, the one which is almost ready for delivery, plus the large ship, plus the base and depot spare all put together is roughly ₹9,700 crores. Understood, sir. Thanks for the clarification, and wishing you all the best, sir. Thank you. Thank you, Mr. Harshit Kapadia. Thank you. Our next question comes from the line of Divyesh Shah from Ochit Capital. Please go ahead. Hello. Sir, congratulations for the excellent performance from last 5 years and still continuing, and hopes we will continue same performance into future, sir. Sir, as per your opening statement, we are growing at about, as far as revenue is concerned, about 30%. My rough estimate is that we have got a visibility of minimum next 3 years, 2026, 2027, and 2028. If I calculate, by 2028, we will be somewhere around INR 10,000 crore-INR 11,000 crore. Sir, can you please elaborate the life after 2028? Our revenue, what is our strategy after 2028? Because today morning in the media, you just mentioned one line that after 3 years it will be plateau out. Can you elaborate the revenue strategy after 2028? Okay. Thank you, Mr. Shah. At the outset, thank you for your best wishes. You just picked up one part of what I mentioned. I also mentioned that I said it will plateau for 2-4 years, but up to 2 years, definitely the spike that we are maintaining will continue. Then it will plateau, and thereafter it will spike again, because that is the time when the Next Generation Corvettes will start giving us revenue in a substantial fashion. Also to give you assurance that we are de-risked of the gap, and it is only to bridge this gap that we are taking orders F&D for smaller and medium-sized platforms. Again, I'll put it in the right perspective. FY 2026 to FY 2027, we will see a definite upward movement, consistent upward movement. Then it could plateau for 3 years, but then the spike will start again. Hopefully, as one of the earlier speakers, Mr. Yash or somebody, had mentioned that we are eagerly looking forward for the P17 Bravo also to sustain the growth in future. Okay, sir. Thank you. Thank you. Our next question comes from the line of Rohit Priyadarshi from MAPL. Please go ahead. Hi. Yeah, thanks for the opportunity. I hope I'm audible. Yes, sir. You are. Yes, good. Yeah. My question would be on the weapon side only. Sir, there is existing indigenized 30 mm platform, the AK630, which is being made by the government lab. Sir, just trying to understand how are our guns compared to them, since they are an established vendor with several installations. Sir, why should we be winning orders against them? Sir, what makes us differentiated in this? Sorry, Mr. Rohit, could you repeat the question, please? I know you are asking about the 30 mm gun, but thereafter I couldn't make it. Okay, sir, I will repeat. Sir, I was asking about this, there is another indigenized 30 mm platform, the AK630. Sir, it is being made by the government lab. Sir, just trying to understand, sir, how are our guns compared to them, sir, since they are an established vendor with several installations. Sir, what makes us differentiated? Okay. These are two different purposes. One is for anti-aircraft engagement and close-in weapon system, and 30 mm is for a different purpose. First to make it, this is called a purpose gun. BORA, this particular gun is 30 mm. This is the first time, I repeat, this is the first time induction into the Indian Navy. We see no competition at all between both these guns. Again, in some of the platform, there could be a situation where both these guns are fitted. The 30 mm gun is most at as a primary gun for very small platforms, like the anti-submarine warfare class or the fast attack class, which are in very large numbers where this particular gun, energy, we call it energy, 30 mm energy is ideally suited. In larger platforms, this particular gun can be used as a second treatment. We do not see the proven AK-630 as a challenge at all. Rather, we do not see 30 mm as a challenge to AK-630. Both are two totally different purposes, totally different identities, and there is a clash of operational, let us say, requirements. Thank you. Okay. Madam, sir, next question would be on our production and development partners are Blue Horizon and Elbit. Are we exclusively working with them, or are there other vendors also to manufacture these guns for us? For the 30mm gun, we are working extremely with it. Okay. And sir, last question would be on the. Sir, by when will the existing 10 guns will be installed? We expect the 10 guns to be installed. I will give you a broad outline. We have faced a certain number of initial phases, all stabilized now. Four guns have already been supplied out of the 10 pre-installed. The next six weapons will be supplied, I mentioned, the next six should be supplied in the next four months. Okay. Sir, do we have any additional gun RFPs in place after these initial 10 guns are fitted? Yes. There is an RFP which is live for seven guns, which we expect the contract to be signed the same. We have also got an inquiry which is live for 30mm guns. Okay. Thank you so much, sir, on the RFPs. Thank you, sir. Thank you. Our next question comes from the line of Anirudh Murarka from Continental. Please go ahead. Hello, am I audible, sir? Yes, please. Congratulations, sir, on a very stable set of numbers. My first question is, how much cash we are having on the books right now? I couldn't hear, Mr. Anirudh. Could you repeat the question, please? How much cash equivalent or cash we are holding right now in our balance sheet? 3,900. Sir, how do we intend to use it? I say against our own funds for INR 286 crores and the project funds of INR 2,874 crores, which we have parked so that it can render the payment perspective from our side is due for our partners or for other requirements. Those funds, a certain number infusion. That is what we are planning it for the current year. Thank you, sir. My final question is it my right assessment to say that the best is yet to come for our company? Again, last question. Sorry, I couldn't get you. Could you repeat again? Sir, if my assessment is right, the best is yet to come for our company. Would you like to agree to this? I would also like to achieve the same, but yes. The best is yet to come. Thank you, sir. Wish you all the best. Thank you. Thank you. Our next question comes from the line of Kartik Bhatt, an investor. Please go ahead. I hope I'm audible. Yes, please. Yeah. Congratulations, sir, to the entire team on excellent performance in the last quarter. It's been truly commendable execution, I think, over the last 5, 6 years as well, especially with the delivery of P17A as well. So congratulations for that. Most of my questions have been answered. Just one of the quick clarifications. You mentioned the planned brownfield expansion coming up in 3 pockets, I believe. Will it be coming up phase-wise as well? If yes, then by when are we targeting phase 1 to be coming up? No, we will be moving concurrently. Of the 2 of the projects, of the 2 parcels which we need to operationalize within a year, and the third parcel between 1 and a half years to 2 years. Just to suffice to say that all 3 we are doing concurrently. Because they are physically dispersed. We don't have to go sequentially. We're going concurrently. Okay. Sure. And sir, you also mentioned in one of the earlier calls about European companies looking at India as a shipbuilding destination for commercial shipbuilding. Is the margin profile likely to be similar to our defense shipbuilding or slightly better? I mean, considering that we will get more orders in this segment going forward. Okay, let me put it this way. We started with a very simple conventional platform, like multi-purpose vessels, because we wanted to get an experience and a foothold into the commercial shipbuilding system. For the first project for conventional ships, we are going with thin margins. I think we have demonstrated. But for complex vessels which are going to come, let us say, expedition vessels or hybrid vessels, there the margins are going to be good. We need to have a certain little patience, because once we need to get our name established, like CSL, because they started their commercial shipbuilding business almost 30 years back. From the time they were incorporated. So they are an established name. We started the commercial shipbuilding almost four years back. Today, we have a name. But for us to get complex platforms with higher margins, little more patience is required. I expect another one year to two, we should be very much there. Okay, sure. Thank you so much, sir. Yes, sir. Thank you. Ladies and gentlemen, we will take that as our last question for today. I would now like to hand the conference over to Commodore P. R. Hari for closing comments. Thank you, Sagar, and thank you, Gaurav from Concept. Thank you all the investors and analysts for participating in the conference, showing interest in our company as always, and having a thorough round of question and answer session with us. I really enjoyed interacting with each one of you. I now conclude the session. Thank you. Jai Hind. Thank you. On behalf of Garden Reach Shipbuilders & Engineers Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.