Shares of Garden Reach Shipbuilders & Engineers Ltd (GRSE) saw a significant surge of nearly 18% during trading hours on Wednesday following the company’s announcement of its highest-ever annual turnover and strong operational performance for the fiscal year 2025–26. By 11:40 am, the stock was trading at Rs 2,322, up by Rs 351.20 or 17.82%.
GRSE disclosed a record annual turnover of Rs 6,400 crore for FY26, showing a 26% increase from the previous fiscal year’s Rs 5,076 crore. The company attributed this growth to robust financial results and the declaration of an interim dividend of 129%, higher than the previous year’s 89.5%, which boosted investor confidence.
During the year, GRSE achieved significant milestones by commissioning five vessels and delivering eight vessels to the Indian Navy, including frigates, survey vessels, and anti-submarine warfare crafts, signaling progress in defense shipbuilding. The company also reported substantial advancements in constructing 12 export vessels for a German client and a Dredger for a friendly foreign nation.
The rally in GRSE shares was supported by active trading, with approximately 40 lakh shares changing hands during the session, significantly surpassing the 20-day average of 3.3 lakh shares, indicating strong investor interest post the company’s updates.
The positive market sentiment extended to other shipbuilding firms, with shares of Mazagon Dock Shipbuilders Ltd and Cochin Shipyard Ltd witnessing increases of up to 20%. Although these companies have not released similar announcements, GRSE’s impressive performance seemed to uplift the entire sector. Cochin Shipyard could also benefit from potential inclusion in the Futures & Options segment starting April 1.
GRSE’s latest developments reflect the ongoing momentum in the shipbuilding industry, driven by defense contracts and export prospects. The company’s improved financials, efficient operations, and enhanced shareholder returns through dividends prompted a significant response from investors during the trading session.