Seamec Ltd (SEAMECLTD) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator (Arihant Capital Markets Limited): Ladies and gentlemen, good day and welcome to Seamec Limited Q2 FY26 Earnings Conference Call, hosted by Arihant Capital Markets Limited. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing "*" then "0" on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Balasubramanian from Arihant Capital. Thank you and over to you, sir.
Balasubramanian (Arihant Capital Markets Limited): Thank you, sir. A very good morning to everyone. On behalf of Arihant Capital, I welcome you to the earnings of Seamec Limited Q2 FY27 conference call. From the management side, today we have Mr. Naveen Mokta, Whole Time Director, Mr. Ashok Verma, CFO and Mr. Sunil Gupta, Head of Strategy and Investor Relations. Please welcome the management of Seamec on this call. Now, I invite Mr. Naveen Mokta sir to give his opening remarks, following which we will open the floor for Q&A. Over to you, sir.
Naveen Mokta (Seamec Ltd): Thank you, Bala. Good afternoon ladies and gentlemen. On behalf of Seamec, I extend a warm welcome to all our shareholders, investors, analysts, and other participants joining us today for our Q2 and H1 FY27 earnings conference call. Thank you for taking the time to be with us, and for your continued confidence in the company. The offshore energy sector continued to see a growing focus on domestic energy security and the development of offshore hydrocarbon resources. During the quarter, the Government of India approved the Samudra Manthan National Offshore Exploration Scheme with an outlay of ₹84,084 crores through 2030 to '31. The scheme is The scheme is aimed at accelerating offshore exploration, supporting deepwater drilling, and developing common infrastructure for bringing discoveries into production. We believe this initiative provides an important policy foundation for the development of India's offshore energy sector over the coming years. We also saw encouraging developments in exploration activities during the quarter. ONGC announced a gas discovery in the Mahanadi offshore basin in September, following drilling under the Samudra Manthan initiative. This reinforces the potential of India's offshore basins and the importance of developing their
Naveen Mokta (Seamec Ltd): capabilities required to explore and service these fields. ONGC has also outlined significant investment in deepwater and ultra-deepwater exploration that will be carried out over the next 5 years, which could support activity across the wider offshore services value chain. For the offshore services industry, these developments are relevant because exploration and production activities require specialized vessels and technical capabilities at different stages of a field's life cycle. In addition to new exploration, inspection, maintenance, and repair work on existing offshore infrastructure remains an important area of activity. Our focus is on positioning SEAMEC to participate in these opportunities while maintaining the operational discipline and service standard expected by our customers. During the current quarter, we also continued to strengthen our fleet capabilities. I am pleased to share an important development in this regard. SEAMEC Anant was formally taken over by the company on 14th October 2026 at Kakinada. Subsequently, on 21st October, we signed a long-term charter with HAL Offshore for ONGC's inspection, maintenance, and repair assignments. The charter is for approximately 1,225 days with a contract value of approximately USD 55 million, excluding GST. The vessel commenced operations under the charter on 21st October. This is an important addition to our fleet. The long-term charter provides revenue visibility over the contracted period, while the deployment strengthens our ability to serve customers in offshore inspection, maintenance, and repair activities. As with our other assets, our priorities will be safe operations, reliable execution, and effective utilization of the vessel. Our existing fleet continued to support operation across domestic and international markets. We remain focused on operational reliability, preventive maintenance, efficient vessel deployment, and maintaining high safety standards. We also continue to evaluate growth opportunities selectively with an emphasis on demand visibility, the quality of contracts, and disciplined capital allocation. Looking ahead, we see opportunities arising from India's expanding offshore exploration program, investment in deepwater resources, and the ongoing maintenance requirements of existing offshore infrastructure. At the same time, these projects have long development cycles, and the timing of the individual opportunities will depend on exploration outcomes, project approvals, and customer deployment schedules. We will, therefore, continue to approach growth with a focus on execution, financial discipline, and sustainable returns. With that, I would like to hand over all the call to our CFO, Mr. Ashok Verma, who will take you through the company's financial performance for the quarter and half-year. Ashok ji, over to you.
Ashok Verma (Seamec Ltd): Thank you. Thank you, Naveen ji. Good morning or good afternoon, everyone, and a warm welcome to our Q2 and H1 FY '27 earnings call. I'll take you through company's financial performance for the quarter and the first half of the financial year FY '27. Starting with our stand standalone performance, revenue for Q2 FY '27 stood at 183.6 crores compared with 82.4 crore in Q2 FY '26, registering a growth of more than 100%, 120% approx. For the H1 FY '27, revenue increased by 65% to 467 crores compared with 283.8 crores in the corresponding quarter last year. Standalone EBITDA for the quarter 2 FY '27 was 31.2 crores compared with 0.2 crores in last year same quarter. For H1 FY '27, EBITDA grew by 57% to 148 crores as against 94.3 crores in H1 FY '26. Profit after tax for Q2 FY '27 was 4.2 crores compared with a loss of 25.8 crore in the same quarter last year. For H1 FY '27, profit after tax increased by 59% to rupees 85 crores, compared with 54 crore in H1 FY '26. Moving to our consolidated performance, revenue for Q2 FY '27 increased by 103% to 198.1 crores, compared with 97.4 crore in Q2 FY '26. For H1 FY '27, consolidated revenue grew by 61% approx to 495 crores against 308.3 crores in the corresponding period last year. Consolidated EBITDA for Q2 FY '27 increased to 38.3 crores compared with 7.8 crore in Q2 FY '26. For H1 FY '27, consolidated EBITDA increased by 55% to 162.2 crores compared with 104 crore in the same half year last year. Consolidated profit after tax for Q2 FY '27 stood at
Ashok Verma (Seamec Ltd): crores, compared with the loss of 25.7 crores in Q2 FY26. For the first half of FY27, consolidated profit after tax increased to 1.3 131.8 crores, compared with 50 crores in H1 FY26. Our robust financial performance reflects the benefit of our continued efforts towards fleet expansion, securing the O&M contracts, and improving vessel deployment. These initiatives have strengthened our revenue-generating capabilities and contributed to overall financial performance. The addition of Seamec Anant and its deployment under a long-term charter represent an important step in strengthening our fleet and enhancing contracted revenue visibility. With that, I would now request the moderator to open the floor for the question-and-answer session. Thank you very much.
Moderator (Arihant Capital Markets Limited): Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. We have first question from the line of Mr. Siddharth Chauhan from 360 ONE Capital. Please go ahead.
Siddharth Chauhan (360 ONE Capital): Hi, sir. Thank you for the opportunity and congratulations on good set of numbers. A couple of questions from my end. First of all, if I see offshore segment EBIT on a consol basis, it was an exceptionally strong quarter. So, can you share the reason for the same?
Sunil Gupta (Seamec Ltd): See, Siddharth, as we have been guiding, two contracts of Sevak, Prabha, which were not there last year, have helped us in terms of the operating performance. Secondly, Agastya was also not there in Q2 FY26, which has been added to fleet in FY27 Q2. So, overall deployment of business has grown up, which has helped us improve in the operating performance.
Siddharth Chauhan (360 ONE Capital): Sir, but just to understand, why the overseas segment? Just to understand, shouldn't it be a part of domestic results? Is there any reason for this bifurcation?
Sunil Gupta (Seamec Ltd): No, so, if we we see overseas then, because Swordfish had operated less last year compared to this year.
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