Ranvir’s Portfolio

SEAMEC Ltd –

Q1 concall and results highlights –

Revenues – 223 vs 224 cr ( flat YoY )
EBITDA – 81 vs 61 cr, 33 pc ( margin @ 36 vs 27 pc – massive expansion, does not include the exceptional gain on sale of one of the bulk carriers )
PAT – 50 vs 26 cr ( includes an exceptional gain of 9 cr )

Company is net debt free. Has net cash on books @ 92 cr

Company profile – Owns and operates 05 state of the art DSV ( Diving support vehicles used to support offshore work like – maintenance and inspection of mobile platforms, pipelines etc ) and 03 OSV ( Offshore support Vehicles- these are also used to support offshore work ) and 02 Bulk Carriers ( used to carry dry bulk cargo like – coal, iron ore, grains etc )

Services provided by the company –

IMR ( inspection, maint, repair ) Operations – for Sub Sea infra
ROV ( remotely operated vehicles ) – facilitating safe and unmanned sub sea operations where human presence is unviable
Sub-Sea construction
Sub Sea fire fighting
Sub Sea pollution control

Major clients –

ONGC ,L&T, Aramco, POSH, MERMAID, ZAMIL, James Fisher, Kreuz Subsea

Current Portfolio of vessels –

DSVs, Gross Tonnage, Year of procurement –

Seamec – II, 4503, 1993
Seamec – III, 4327, 1993
Seamec – Princess, 11121, 2006
Seamec – Paladin, 5648, 2021
Seamec – Swordfish, 5732, 2023

OSVs, Gross Tonnage, Year of procurement –

Seamec – Diamond, 1922, 2024 ( acquired in Apr 24. Deployed with ONGC for 3 yrs @ $ 8750 / day. That translates to aprox 16-18 Cr / yr … assuming 270 days of deployment )
Seamec – Glorious, 8950, 2021
Seamec – Pearl – Delivery expected in June 24 ( again expected to be deployed with ONGC at similar rates )
Delivery of another OSV – Nusantara – is expected in Sep 25

Bulk Carriers, Gross Tonnage, Year of procurement –

Seamec – Gallant, 32289, 2017
Seamec – Asian Pearl, 27989, 2020

The DSV/OSV work has much higher margins due to the specialised nature of work vs margins earned by Bulk carriers

Confident of growing the business profitability @ 15-20 pc rates in the medium term. Acquisition and deployment of vessels this yr and DSV – Nusantara should ensure growth for FY 25 and FY 26. Even going fwd, company will not shy away from procuring more DSV / OSV assets in order to keep the growth engine running

Revenue enhancing triggers lined up for next 1-2 yrs include – repricing of OSV – Glorious, DSV – Swordfish, Deployment of Nusantara, Deployment of another OSV

Disc: holding, biased, not SEBI registered, not a buy / sell recommendation