MUMBAI: The Shipping Corporation of India (SCI), the country’s largest shipping line, reported a strong set of earnings for the June quarter, with higher freight revenue and improved operating performance helping lift profit by 75% year-on-year.
The state-run company posted a net profit of ₹619 crore for the quarter ended June 30, compared with ₹354 crore in the corresponding period last year.
Revenue from operations increased 40% year-on-year to ₹1,847 crore, up from ₹1,316 crore a year earlier.
Operating performance strengthened even further. EBITDA rose 80% to ₹882 crore from ₹489 crore in the year-ago quarter, while EBITDA margin expanded to 47.8% from 37.2%.
Strong operating performance boosts profitability
The June-quarter results reflected broad-based improvement across SCI’s operations, with operating earnings growing at a faster pace than revenue.
In simple terms, the company not only generated more business but also earned significantly more from every rupee of revenue than it did a year ago.
The expansion in EBITDA margin indicates improved operating efficiency and stronger profitability during the quarter.
Why this matters: Margin expansion is an important indicator for shipping companies because it suggests they are retaining a larger share of revenue as operating profit. This can result from better freight rates, improved fleet utilisation, lower costs or a favourable business mix.
Revenue and earnings move higher
Revenue increased by more than ₹530 crore year-on-year, while EBITDA rose by nearly ₹393 crore, highlighting the strength of the company’s operational performance.
Net profit climbed by around ₹265 crore, reflecting healthy growth in the bottom line alongside higher operating earnings.
The results indicate that SCI benefited from stronger business activity during the quarter while maintaining financial discipline.
Management commentary
In a post on X after announcing the results, the company said the June-quarter performance reflected “operational excellence and financial discipline” and had set the tone for a resilient financial year.
SCI added that it remains focused on creating sustained value for shareholders as it continues to strengthen its business. Shipping Corporation of India Ltd. reported a strong performance for the first quarter, with consolidated net profit rising 74.9% year-on-year to Rs 619 crore from Rs 354 crore. Revenue increased 40.3% to Rs 1,847 crore, while EBITDA surged 80.2% to Rs 883 crore.
The company’s operating margin expanded sharply to 47.8%, compared with 37.2% in the year-ago period, reflecting stronger operational performance.
