On Tuesday, Mazagon Dock Shipbuilders Limited (MDL) is making headlines because the Ministry of Defence just signed two important contracts worth Rs 2,867 crore. These agreements, made with Mazagon Dock and France’s Naval Group, are focused on making Indian submarines even better, especially the Kalvari-Class submarines.
The first contract, worth about Rs 1,990 crore, is for building something called an AIP Plug. This will work with a system developed by DRDO (Defence Research and Development Organisation) that helps submarines remain underwater for longer without having to come up for air. This means our submarines can be stealthier and operate better. The project will also create a lot of jobs, totaling nearly three lakh man-days, which fits nicely with India’s goal to be more self-reliant in defense.
The second contract, valued at Rs 877 crore, is for adding an electronic heavy weight torpedo (EHWT) system to the Kalvari-Class submarines. This upgrade will improve the firepower of these submarines, making them much stronger.
Mazagon Dock has reported great financial growth too! In the last quarter, their net profit jumped by 76% year-on-year to Rs 585 crore. They also saw a revenue increase of 51% to Rs 2,757 crore. Their earnings before interest, taxes, depreciation, and amortization (EBITDA) margin more than doubled to 18.5%. Also, their order book stands strong at Rs 39,872 crore!
Leave a Reply