Cochin Shipyard soars 13% in 2 days on healthy order book

ICICI Securities remains positive on CSL led by strong earnings visibility considering healthy order backlog, expected pick-up in execution, and strong opportunities in ship-building segment

Shares of Cochin Shipyard (CSL) hit a new high of Rs 662.50, up nearly 4 per cent on the BSE in Monday's intra-day trade. In the past two trading days, the stock of the shipbuilding company has surged 13 per cent even as it reported weaker-than-expected September quarter results (Q2FY23).

The company's consolidated revenue during the quarter declined 1.9 per cent year-on-year (YoY) at Rs 683 on account of muted execution in ship-building segment. On sequential basis, the revenue jumped 55 per cent. Earnings before interest, taxes, depreciation, and amortization (Ebitda) margin declined 382 bps YoY mainly due to contraction