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G E Shipping gains on acquisition of capesize bulk carrier

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Capital Market
Last Updated : Nov 17 2020 | 12:50 PM IST

Great Eastern Shipping Company rose 1.27% to Rs 243.10 after the company said that it had signed a contract to buy a secondhand capesize bulk carrier.

The 2014 Philippine-built vessel is expected to join the company's fleet in the second half of the current fiscal ending March 2021 (H2 FY21).

The company's current fleet stands at 46 vessels, comprising 33 tankers (11 crude carriers, 17 product tankers, 5 LPG carrier) and 13 dry bulk carriers with an average age of 12.39 years aggregating 3.70 million deadweight tonnage (dwt).

The company has also contracted to buy a second hand LR2 tanker which will be delivered in Q3 FY21.

G E Shipping is India's largest private sector shipping service provider. The shipping business operates under two main businesses: dry bulk carriers and tankers.

On a consolidated basis, G E Shipping reported a net profit of Rs 225.44 crore in Q2 September 2020 compared with a net loss of Rs 18.93 crore in Q2 September 2019. Net sales fell 5.2% to Rs 774.99 crore in Q2 September 2020 over Q2 September 2019.

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On a year-to-date (YTD) basis, the stock has declined by 18.88% while the benchmark S&P BSE Sensex rose by 6.22% during the same period.

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First Published: Nov 17 2020 | 12:15 PM IST

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