Dredging Corporation of India Limited (DREDGECORP) AI Stock Analysis

• Market Cap: ₹28.95B
• Dividend Yield: N/A
• Average Volume (3M): 5.32K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.22
• Revenue Growth: 38.09%
• EPS Growth: 67.21%
• Country: IN
• Employees: 248
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -12.21
• Shares Outstanding: 28,000,000
• 10 Day Avg. Volume: 3,372
• 30 Day Avg. Volume: 5,322
• PEG Ratio: 0.32
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 1.42
• P/FCF Ratio: -4.42
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: ₹1,023.00 ▲(6.14% Upside)

The score is primarily constrained by weak financial performance—recent losses (negative EBIT/net margins), declining equity, and negative free cash flow. Technicals provide a partial offset, with a clear uptrend (price above key moving averages) and positive MACD. Valuation remains a major risk signal due to a negative P/E and no dividend yield data.

Positive Factors

Strategic market position

Established specialized public-sector dredger with long tenure and government-facing work. Structural demand for port maintenance and development makes its services essential, supporting a durable project pipeline and preferential access to public tenders that underpin long-term revenue visibility.

Diverse service offering

Revenue comes from capital and maintenance dredging plus hydrographic and environmental services. This mix reduces reliance on a single project type, enables cross-selling, and helps smooth cyclicality because recurring maintenance contracts provide steady cashflow alongside episodic large capital jobs.

Manageable leverage

Balance sheet shows moderate leverage, implying capacity to support project financing and absorb cyclical downturns without immediate distress. Manageable debt levels enhance flexibility to bid for capex-intensive contracts and fund growth if operating performance stabilizes over the medium term.

Negative Factors

Negative profitability

Recent negative EBIT and net margins indicate the company is not converting revenues into operating profits. Persistent operating losses can erode competitive investment capacity, weaken the ability to sustain fleet and equipment, and impair long-term contract competitiveness if not reversed.

Negative free cash flow

High capex driving negative free cash flow shows operations do not fully cover investment needs. Over time this can force external financing, elevate funding costs, constrain maintenance of critical dredging assets, and limit strategic bids or fleet upgrades essential for competitive positioning.

Declining equity and negative ROE

Falling equity and negative ROE from sustained losses weaken the capital base, reducing borrowing capacity and dampening resilience to shocks. Long-term capital erosion may hinder investment in fleet renewal and reduce ability to participate in large, capital-intensive dredging contracts.

Dredging Corporation of India Limited Business Overview & Revenue Model

Company Description

Dredging Corporation of India Limited provides dredging services to various ports, Indian navy, fishing harbors, and other maritime organizations in India. The company offers capital dredging, maintenance dredging, beach nourishment, land reclamation, shallow water dredging, project management consultancy, and marine construction services. It operates through a fleet of 10 trailer suction hopper dredgers, 2 cutter suction dredgers, one backhoe dredger, and one inland cutter suction dredger, as well as other ancillary crafts. Dredging Corporation of India Limited was incorporated in 1976 and is headquartered in Visakhapatnam, India.

How the Company Makes Money

DREDGECORP generates revenue primarily through contracts for dredging services provided to various governmental and private entities involved in port development and maintenance. The company secures its projects through competitive bidding processes, where it offers its specialized dredging capabilities at competitive rates. Key revenue streams include capital dredging projects, maintenance dredging contracts, and ancillary services like hydrographic surveys and environmental assessments. Additionally, DREDGECORP may benefit from partnerships with other public and private sector organizations, enabling it to expand its service offerings and geographical reach, which contributes positively to its earnings.

Dredging Corporation of India Limited Financial Statement Overview

Summary

Dredging Corporation of India Limited faces challenges in profitability and cash flow management. While there's some stability in its gross profit, operational inefficiencies and high capital expenditures have led to net losses and negative free cash flow. The balance sheet shows moderate leverage, but declining equity could affect future financing capabilities.

Income Statement

The company has shown fluctuating revenue growth with a drop in the latest year. Despite having relatively high gross profit margins historically, the net profit margins have been negative in recent years due to negative EBIT. This indicates challenges in managing operational costs efficiently.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, suggesting manageable leverage. However, equity levels have been declining, and the return on equity has been negative recently due to net losses. This could pose risks to financial stability if losses continue.

Cash Flow

The company has struggled with negative free cash flow in recent periods, primarily due to high capital expenditures. While operating cash flow remains positive, it has not been sufficient to cover capital investments, indicating potential liquidity concerns.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.34B	11.42B	9.43B	11.58B	8.01B	7.53B
Gross Profit	8.65B	7.94B	7.27B	480.57M	5.97B	5.40B
EBITDA	1.98B	1.64B	2.04B	-252.22M	1.17B	-332.84M
Net Income	-193.78M	-274.57M	356.84M	-1.96B	35.70M	-1.72B
Balance Sheet
Total Assets	0.00	26.47B	24.03B	23.26B	23.07B	22.64B
Cash, Cash Equivalents and Short-Term Investments	481.37M	2.36B	835.79M	1.76B	1.26B	773.96M
Total Debt	0.00	9.23B	5.58B	3.81B	3.70B	4.36B
Total Liabilities	-12.21B	14.26B	11.39B	10.97B	9.03B	8.69B
Stockholders Equity	12.21B	12.21B	12.64B	12.29B	14.23B	13.95B
Cash Flow
Free Cash Flow	0.00	-3.67B	-1.00B	-304.84M	940.40M	1.73B
Operating Cash Flow	0.00	1.12B	1.91B	1.48B	2.05B	1.76B
Investing Cash Flow	0.00	-4.77B	-2.90B	-1.73B	-886.10M	-5.17M
Financing Cash Flow	0.00	3.63B	1.18B	-375.52M	-1.59B	-1.66B

Dredging Corporation of India Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 963.85
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DREDGECORP, the sentiment is Positive. The current price of 963.85 is below the 20-day moving average (MA) of 983.34, above the 50-day MA of 921.49, and above the 200-day MA of 723.47, indicating a bullish trend. The MACD of 28.46 indicates Negative momentum. The RSI at 65.70 is Neutral, neither overbought nor oversold. The STOCH value of 74.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:DREDGECORP.

Dredging Corporation of India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAZDOCK	68 Neutral	₹1.02T	42.89	―	0.47%	12.22%	-9.22%
GRSE	67 Neutral	₹284.38B	45.52	―	0.80%	43.86%	60.18%
IRCON	65 Neutral	₹154.01B	25.41	―	1.56%	-13.85%	-34.81%
COCHINSHIP	65 Neutral	₹411.23B	53.65	―	0.59%	19.62%	-12.34%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
SCHNEIDER	60 Neutral	₹153.24B	58.24	―	―	12.77%	31.32%
DREDGECORP	56 Neutral	₹28.95B	-154.21	―	―	38.09%	67.21%

Dredging Corporation of India Limited Corporate Events

Dredging Corporation of India Seeks Shareholder Nod for Appointment of Promoter Director via Postal Ballot

Dredging Corporation of India Limited has notified stock exchanges that its Board has appointed Shri Gaurav Dayal, IAS, as an Additional Director in the capacity of promoter, non-executive and non-independent director with effect from 7 November 2025. As the next annual general meeting is not scheduled in the near term, the company will seek shareholders’ approval for his regular appointment as director via a postal ballot process, in line with regulatory disclosure requirements, signaling ongoing adjustments in its board composition under promoter representation.