Sadhav Shipping Soars Over 9% After Securing ₹7.8 Crore Work Order from Paradip Port Authority
Stock Surges Amid Positive News
During Wednesday’s trading session, shares of Sadhav Shipping Limited, a company specializing in ship management and maritime logistics, witnessed a significant surge of nearly 9.5%. The rally came after the company announced securing a ₹7.8 crore work order from the Paradip Port Authority.
At 2:30 PM, the stock was trading at ₹116.55 on the NSE, up by nearly 4% from its previous close of ₹111.4. The company’s market capitalization currently stands at ₹167.3 crore.
Details of the Work Order
According to the company’s latest regulatory filing with the National Stock Exchange (NSE), Sadhav Shipping Limited has received a Letter of Acceptance (LoA) from the Paradip Port Authority.
The order entails providing a Mooring Launch (Boat) on a time-charter basis for a period of seven years. This development strengthens Sadhav Shipping’s presence in the Indian maritime sector and aligns with its strategy to expand port service operations.
Recent Strategic Developments
Sadhav Shipping has been actively securing new business deals and forming strategic alliances. Below are some of its recent key developments:
Joint Venture with United Petro Shipping PTE Ltd
- January 13, 2025: The company entered into a Joint Venture Agreement (JVA) with United Petro Shipping PTE Ltd to establish an Offshore Supply Base in India.
- Under this JV, each partner will have one director on the board of the newly formed company.
MoU with the Odisha Government
- February 10, 2025: Sadhav Shipping, in collaboration with United Petro Shipping Pte Ltd (Singapore), signed an MoU with the Government of Odisha at the Utkarsh Odisha (Make in Odisha Conclave 2025).
- The agreement outlines an initial investment of ₹5,637 crore in the Jagatsinghpur/Kendrapada region to explore maritime business opportunities.
The proposed business activities include: ✔️ Ship manufacturing, repairs, and maintenance
✔️ Development of port infrastructure for offshore supply bases
✔️ Logistics services and warehousing
✔️ Exploration and production of oil, gas, and seabed minerals
To execute these ambitious projects, a new joint venture company will be incorporated.
Financial Performance
Sadhav Shipping has been showing consistent growth in its financials. Below is a summary of the company’s financial performance:
| Metric | H1 FY24 | H1 FY25 | YoY Growth |
|---|---|---|---|
| Revenue (₹ Crores) | 33.7 | 37.6 | +11.6% |
| Net Profit (₹ Crores) | 4.07 | 4.55 | +12.0% |
This steady growth indicates Sadhav Shipping’s ability to secure high-value contracts while maintaining profitability.
Company Overview
Established in 1996, Sadhav Shipping Limited specializes in owning and operating barges, tugs, and vessels, in addition to providing ship management services. The company operates a fleet of 22 vessels across sectors such as: ✅ Offshore logistics
✅ Port services
✅ Oil spill response
Sadhav Shipping was also the first company in India to set up and operate a Port-Based Tier 1 Oil Spill Response Centre in Mumbai. Today, it has a strong presence across India’s major ports.
Key Financial Ratios & Market Data
Below is a quick snapshot of Sadhav Shipping’s financial health and stock market performance:
| Metric | Value | Metric | Value |
|---|---|---|---|
| Market Cap | ₹169 Cr. | ROE | 14.4% |
| Current Price | ₹118 | ROCE | 14.2% |
| Stock P/E | 17.6 | Industry P/E | 13.8 |
| Book Value | ₹64.5 | Intrinsic Value | ₹119 |
| 52W High/Low | ₹274/109 | Debt to Equity | 1.14 |
| Promoter Holding | 69.4% | Pledged Shares | 0.00% |
| EPS | ₹6.71 | Dividend Yield | 0.00% |
| Free Cash Flow | -₹43.5 Cr. | 3Y Free Cash Flow | -₹72.6 Cr. |
| Graham Number | ₹98.7 | PEG Ratio | N/A |
| RSI (Relative Strength Index) | 40.4 | 200 DMA | ₹160 |
Stock Outlook
Sadhav Shipping’s recent work order win, along with its strategic expansion in Odisha, signals strong future growth prospects. The company’s focus on:
- Expanding its fleet
- Entering the offshore supply base market
- Developing port infrastructure
positions it well for long-term success in the maritime industry.
While the stock has corrected from its 52-week high of ₹274, the fundamentals remain strong, with an intrinsic value of ₹119. The current RSI of 40.4 suggests that the stock is in a neutral zone, providing potential upside if positive triggers continue.
Final Thoughts
Sadhav Shipping Limited’s 9.5% jump in stock price reflects investor confidence in its latest contract win and future growth prospects. With strong financials, strategic joint ventures, and expansion plans in Odisha’s port infrastructure, the company is set for a promising future in India’s growing maritime sector.
For investors looking for a high-potential small-cap stock in the shipping industry, Sadhav Shipping is a company worth tracking.
For more market insights, follow our news.
Stay tuned for more updates and insights on the stock market! For more insights on investing in the Indian stock market, check out resource like ET, NSE India.
Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.