Santosh Patnaik Visakhapatnam

DredgingCorporation of India Limited (DCIL), a mini ratna company headquartered here, has reported a significant improvement in financial performance for the quarter ending on September 30 during FY 2026–27, marking a turnaround in profitability compared with the corresponding quarter of the previous financial year.

The company's performance reflected its unwavering commitment to operational excellence, efficient fleet deployment, prudent financial management and sustainable value creation, resulting in a significant turnaround in profitability while reinforcing its leadership in India's dredging sector.

During Q2 FY 2026–27, income from operations undertaken by DCIL’s own dredgers increased by 23.08 per cent to Rs198.66 crore, compared with Rs161.41 crore in Q2 FY 2025–26. Total revenue, including subcontract revenue and other income, stood at Rs211.83 crore, compared with Rs213.37 crore in the corresponding quarter.

The Company recorded EBITDA of Rs41.69 crore, an increase of 58.58 per cent over Rs26.29 crore in the corresponding quarter of the previous year. Profit Before Tax (PBT) improved to Rs7.51 crore from a loss of Rs33.06 crore, while Profit After Tax (PAT) stood at Rs7.31 crore against a loss of Rs34.17 crore, representing a year-on-year improvement of Rs41.48 crore.

For the half-year ended September 30, total revenue rose to Rs568.29 crore from Rs456.43 crore in the corresponding period of FY 2025–26. EBITDA increased to Rs104.60 crore from Rs74.26 crore, while PAT improved to Rs18.54 crore from a loss of Rs57.51 crore in the previous-year period.The quarter’s results reflect a reduction in depreciation to Rs25.53 crore from Rs36.53 crore and finance costs to Rs8.65 crore from Rs22.82 crore.

The revised estimated useful lives and residual values of eligible dredgers, approved by the board with effect from 4 August 2026, were applied prospectively. At the same time, power, fuel and lubricants expenditure increased to Rs101.02 crore from Rs70.61 crore, primarily due to higher fuel procurement prices.DCIL remains focused on efficient fleet deployment, timely project execution, prudent financial management and recovery of outstanding receivables, while continuing to support the dredging requirements of Indian ports and maritime infrastructure.

Visakhapatnam Port Authority (VPA) Chairman Jasmeet Singh Bindra, who is the Chairman (Non-Executive) of DCIL, stated that "the impressive financial turnaround achieved during the second quarter of FY 2026–27 marks a significant milestone in DCIL’s journey towards sustained profitability and long-term value creation.