Mazagon Dock shares climb 3% as defence PSU posts 28% profit jump; declares Rs 6 dividend

Shares of Mazagon Dock Shipbuilders Ltd gained nearly 3 per cent in Tuesday’s trade after the state-run defence major reported a 28.1 per cent year-on-year (YoY) jump in consolidated net profit at Rs 749.48 crore for the quarter ended September 30, 2025. The company had posted a net profit of Rs 585.08 crore in the same quarter last year.

Mazagon Dock's stock rose as much as 2.58 per cent to touch a day’s high of Rs 2.882.85 on BSE over its previous close of Rs 2,810.15. At last check, the stock was trading 1.51 per cent higher at Rs 2,852.50. The company commands a market cap of Rs 1.14 lakh crore.

The defence PSU also declared an interim dividend of Rs 6 per equity share (face value Rs 5 each) for FY26, following its strong quarterly performance.

According to a stock exchange filing, revenue from operations rose 6.3 per cent YoY to Rs 2,929.24 crore, compared with Rs 2,756.83 crore in the corresponding period last year.

Operationally, the company delivered a robust performance, with EBITDA rising 36 per cent to Rs 694.66 crore from Rs 510.65 crore a year earlier. The EBITDA margin expanded sharply to 23.7 per cent, up from 18.5 per cent in Q2 FY25, driven by better operating leverage.

The Board of Directors, at their meeting on October 27, 2025, approved the interim dividend, with November 4, 2025, set as the record date to determine shareholder eligibility. The company said the dividend payment will be completed on or before November 26, 2025.

The scrip is trading 49 per cent off its 52-week low of Rs 1,917.95 and 25 per cent below the 52-week high of Rs 3,778.