Visakhapatnam: Marching its success story in excelling its performance, Dredging Corporation of India Limited (DCIL) has clocked a profit of Rs 35.68 crore during financial year 2023-24, the company announced here on Wednesday.

DCIL, which has its headquarters in Visakhapatnam, is a leader in the dredging industry. Despite throwing open the door to the sector, DCIL is able to put up a good show due to concerted efforts by the management, its workforce and the stakeholders. The company declared its outstanding financial performance by clocking a profit of Rs 35.68 crore in the financial year ending onMarch31, 2024.

DCIL board meeting held here under the leadership of Visakhapatnam Port Authority and DCIL Chairman M Angamuthu expressed satisfaction over the performance of the company. DCIL posted the performance after providing a one-time provision of Rs 30.71 crore, which affected the quarter four performance resulting in a loss of Rs 23.47 crore.

The company is planning to achieve the highest-ever turnover of Rs1840 crore in 2024-25. A Trailer Suction Hopper Dredger at a cost of approximately Rs 800 crore is under construction at Cochin Shipyard Ltd, and an amount of Rs 306 crore has already been paid till date. The delivery and commissioning of this dredger is expected in October 2025, which will lead to the argumentation of the DCIL fleet.

DCIL maintained its focus on operational excellence during FY24 achieving commendable cost management and optimal resource utilisation. These efforts resulted in improved profit margins and enhanced shareholder value.

The key highlights of the results for 2023-24 approved by the board include a robust revenue growth. DCIL achieved a profit of Rs 35.68 crore in 2023-24, which was a remarkable growth in the profitability when compared to Rs 5.18 crore profit clocked during the last FY23. This has resulted in achieving a robust growth of 147 per cent with a healthy turnover of Rs 945.50 crore during FY24.

However, in the FY23, one-time provision of Rs 208.00 crore was provided in order to address the legacy issues reported in the previous fiscal. This has resulted in adjusting the reserves to the tune of Rs 193 crore after netting off the reported profit of Rs 15.18 crore during FY23. This recasting does not impact the current financial year P&L (profit and loss) account.

"We are happy to inform all that the recasting move is particularly aimed at bolstering the company's financial health and positioning it for sustainable future growth. This measure is a part of the company’s ongoing efforts to strengthen its financial position and ensure long-term stability and the company's commitment to financial transparency and prudent fiscal management. Despite a fourth quarter loss, Team DCIL has shown remarkable resilience and dedication by consistently delivering strong performance by posting a profit of Rs 35.68 crore in 2023-24. This ability to navigate through this challenging period demonstrates DCIL exceptional adaptability and proactive approach," a senior official of DCIL said.

The Earnings Before Interest, Taxes, Depreciation & Amortization (EBITDA) for the financial year 2023-24 was put at Rs 224.40 crore, an increase of 81.36 per cent in comparison to the previous financial year. The Earning Per Share (EPS) for 2023-24 has been put at Rs 12.27 as against the EPS of Rs 69.13 per share for FY23.