Seamec hits record revenue of ₹1,000 cr but warns of stranded vessel
The company posted its highest-ever annual profit of ₹253 crore, yet the Seamec Paladin remains stuck in Dubai due to regional conflict.
What's new
- Annual revenue reached ₹1,000 cr with a net profit of ₹253 cr.
- Management targets 15% revenue growth and 40-42% EBITDA margins for FY27.
- Two new ONGC contracts worth ₹618 cr were signed through March 2028.
Why this matters
The record performance is tempered by the geopolitical risk surrounding the Seamec Paladin. While the new ONGC contracts provide a clear revenue pipeline, the inability to deploy the vessel in West Asia creates a tangible drag on near-term earnings.
What we're watching
- Resolution of the Seamec Paladin's status in Dubai.
- Deployment timeline for the $70 million Seamec Anant acquisition.
- Execution of the ₹618 cr ONGC maintenance contracts.
The full read
Seamec Ltd closed FY26 with record revenue of ₹1,000 crore and a net profit of ₹253 crore. This performance stems from high vessel utilization and recent contract wins.
It is a strong year.
However, management is navigating a difficult geopolitical reality as the Seamec Paladin remains stranded in Dubai. This vessel is currently unavailable for operations due to the West Asia conflict, which creates a persistent drag on near-term earnings. Looking ahead, the company targets 15% revenue growth and EBITDA margins of 40-42% for FY27, while it has also locked in ₹618 crore in new operations and maintenance contracts with ONGC running through March 2028. The company is also preparing to deploy the $70 million Seamec Anant vessel in the coming quarters. The record numbers provide a solid base, but the company's ability to clear its stranded assets will determine if it can meet its ambitious margin targets.
Questions answered
- What is the primary headwind to Seamec's earnings?
- The vessel Seamec Paladin is stranded in Dubai because of the ongoing conflict in West Asia. Management confirmed this situation continues to affect near-term earnings.
- What are the financial targets for FY27?
- Management expects revenue growth of 15% and is targeting an EBITDA margin between 40% and 42%.
- What is the value of the new contracts with ONGC?
- Seamec secured two operations and maintenance contracts worth a combined ₹618 crore. These contracts run through March 2028 and were won in a consortium with Supreme Hydro Private Limited.
- What is the status of the Seamec Anant acquisition?
- The vessel was acquired for $70 million. It is scheduled for deployment in the coming quarters.