ABG Shipyard FY06 net up 87%

ABG Shipyard net profit surged 87% to Rs 83.68 crore for FY06 when compared with Rs 44.75 crore for FY05.

According to an official release issued today, total income from operations was Rs 541.74 crore for FY06 when compared with Rs 376.64 crore in FY05.

The company reported 154% rise in net profit to Rs 30.92 crore Q4FY06 when compared with Rs 12.19 crore in Q4FY05. Total income from operations in Q4FY06 rose by 57% to Rs 192.78 crore from Rs 123.14 crore in the corresponding quarter. The board of directors have recommended a dividend of 12% i.e. Rs 1.20 per share.

"Improved efficiency levels in hull building and additional capacity have added momentum to the profitability of the company coupled with large volumes," Rishi Agarwal, managing director of ABG Shipyard, said.

At present, the shipyard is having a capacity of 120,000 dead weight tonne and the yard is planning to add two to three ships more to this capacity," Agarwal said.

During the year, the company has completed required formalities to acquire Fujairah, UAE-based Crossocean Ship Repair. ABG Shipyard holds 100% of the capital of Crossocean Ship Repair.