Your Directors are pleased to present the 78th Annual Report
on the business operations and the Financial Statements of your Company for the financial
year ended March 31, 2026.
FINANCIAL PERFORMANCE
The financial results of your Company (standalone) for the financial
year ended March 31, 2026 are presented below:
(Rs in crores)
|
2025-26 |
2024-25 |
| Total Revenue |
4420.33 |
4713.29 |
| Total Expenses |
1994.21 |
2450.88 |
| Profit before tax |
2426.12 |
2262.41 |
| Less : Tax Expenses |
69.66 |
96.16 |
| Profit for the year |
2356.46 |
2166.25 |
| Retained Earnings |
|
|
| Balance at the beginning of the year |
6885.70 |
5516.77 |
| Add: |
|
|
| - Profit for the year |
2356.46 |
2166.25 |
| - Other Comprehensive Income |
(9.96) |
3.79 |
| Less: |
|
|
| - Transfer to Tonnage Tax Reserve |
350.00 |
300.00 |
| - Dividend paid during the year |
411.17 |
501.11 |
| Balance at the end of the year |
8471.03 |
6885.70 |
The net worth of the Company as on March 31, 2026 was Rs 13929.61
crores as compared to Rs 11992.80 crores for the previous year.
The financial statements have been prepared in accordance with the
Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting
Standards) Rules, 2015.
DIVIDEND
During the year, your Directors declared and paid three interim
dividends aggregating to Rs 23.40 per equity share of Rs 10/- each. Subsequent to the end
of the year, your Directors declared fourth interim dividend of Rs 11.70 per equity share.
The aggregate outflow on account of the equity dividend for the year will be Rs 501.11
crores.
Your Directors have not recommended any final dividend for the year
under review.
MANAGEMENT DISCUSSION AND ANALYSIS
COMPANY PERFORMANCE
In Financial Year 2025 - 26 (FY26), your Company recorded a total
income of Rs 4420.33 crores (Previous Year Rs 4713.29 crores) and earned a PBIDT of Rs
3124.89 crores (Previous Year Rs 3026.20 crores).
MARKET ANALYSIS
CRUDE TANKER MARKET
Crude tanker earnings commenced FY26 on a firm footing and strengthened
further through the year. The market was supported by robust underlying supply-demand
fundamentals, incremental volumes moving on the mainstream non-sanctioned fleet and
elevated geopolitical risk premiums. The war in West Asia towards the end of FY26 further
disrupted the crude tanker markets, leading to unprecedented levels of earnings.
OPEC+ proceeded with the unwinding of voluntary crude oil production
cuts, with approximately 2.5 mbpd of additional crude oil supply being released. A
meaningful portion of these incremental barrels became visible in seaborne exports from Q3
FY26 onwards. Concurrently, new upstream developments in Brazil and Guyana further
augmented export availability. As a result, crude oil production in the Middle East
expanded by approximately 6%, while South American production grew by about 8%,
reinforcing global export flows and supporting crude tanker demand.
Prior to the escalation of the West Asia crisis in March 2026, the
global oil market was characterized by a supply surplus, driven by strong production
growth relative to demand. China played a key role in absorbing part of this surplus
through strategic stockpiling, thereby supporting tonne-mile demand. Additionally, India
began reducing its dependence on Russian crude during January–February 2026,
increasing imports from the Middle East and the Atlantic Basin.
Towards Q4 FY26, the crude tanker market also experienced a notable
shift in ownership structure, with increased fleet concentration in the large tanker
segments led by prominent market participants. Market conditions were further supported by
increased loadings of Venezuelan crude on the mainstream fleet following geopolitical
developments and easing constraints on exports.
Building on these favourable dynamics, tanker earnings rose sharply
following the escalation of conflict in the Middle East and the resulting disruption to
vessel transits through the Strait of Hormuz, which temporarily constrained crude oil
flows equivalent to approximately 14 mbpd (about 30% of global seaborne crude trade).
While alternative measures - including diversion of Saudi Arabian exports, strategic stock
releases and partial relaxation of sanctions on Russia and Iran - helped mitigate supply
shortages, these measures were insufficient to fully replace lost volumes. Notwithstanding
the reduction in trade volumes, tanker markets remained supported by vessel dislocation
and increased demand for replacement barrels from long-haul sources in the Atlantic Basin,
which together contributed to elevated freight rates during the period.
Overall, global seaborne dirty (crude and fuel oil) trade grew by
approximately 3% y/y in FY26, with West-to-East long-haul trade increasing by about 6%.
During the same period, the global crude tanker fleet expanded by only around 1% in
nominal terms, while demolition activity remained negligible. This modest fleet growth,
combined with steady demand expansion and periodic geopolitical disruptions, resulted in a
constructive supply-demand balance for the crude tanker market through the year.
The table below captures spot market earnings for the Suezmax and
Aframax tanker segments over the financial year (in $/day).
|
FY26 |
FY25 |
YoY change |
| Suezmax |
80,575 |
42,011 |
92% |
| Aframax |
63,666 |
37,431 |
70% |
PRODUCT TANKER MARKET
Relative to the elevated levels observed over the previous two years,
product tanker earnings started FY26 on a softer footing but strengthened progressively
during H2 FY26. Market conditions remained comparatively stronger West of Suez than in the
East, reflecting regional imbalances in supply, demand, and trade flows.
Higher newbuilding deliveries in the LR2 and MR segments kept a lid on
earnings during H1 FY26, as incremental fleet supply outpaced demand growth. While overall
trade volumes remained largely flat, tonne-miles declined due to approximately 30%
increase in transits via the Suez Canal, supported by the absence of vessel-related
incidents in the Bab al Mandeb Strait. This normalization of routing reduced voyage
distances compared to the disruptions observed in prior periods.
During H2 FY26, United States refinery utilisation remained elevated,
and the absence of weather-related shutdowns during January–February 2026 resulted in
a 12% y/y increase in refined product exports from the United States. In addition, the
strength in crude tanker markets led to approximately 90 LR2 vessels (around 15% of the
global LR2 fleet) switching to dirty trades, thereby tightening effective supply in the
product tanker segment and providing support to earnings.
The conflict in West Asia had a significant impact on global product
markets, with export flows through the Strait of Hormuz coming to a near standstill. Gulf
producers typically export around 3.4 mbpd of refined products, representing approximately
15% of global product trade. More than 3 mbpd of refining capacity in the region was shut
due to the conflict, while refinery runs across Asia were curtailed due to feedstock
availability constraints. The disruption resulted in a decline of approximately 2.4 mbpd
of trade in March 2026, creating dislocations across regional product balances.
Overall, seaborne product trade volumes remained flat y/y in FY26.
While the product tanker fleet grew by approximately 4% y/y in nominal terms, LR2 vessels
switching to dirty trades created effective fleet tightness in the latter half of FY26.
The table below captures the market spot earnings of LR1 and MR product
tankers over the financial year (in $/day).
|
FY26 |
FY25 |
YoY change |
| MR - Avg. Earnings |
23,751 |
21,689 |
10% |
| LR1 Middle East Gulf (MEG)-Asia Earnings |
30,255 |
23,585 |
28% |
Source: Clarksons; Non-Eco/Non-Scrubber earnings
ASSET VALUES
Crude and product tanker asset prices strengthened over FY26. Values
have gained between 15% and 35% in FY26 depending upon the age profile and the type of the
vessel.
OUTLOOK
The short-term tanker market outlook remains highly uncertain, with the
duration of conflict in the Middle East and transit levels through the Strait of Hormuz
set to remain the key drivers of market dynamics.
Higher oil prices and a softer macroeconomic environment may weigh on
demand across parts of the refined product spectrum. At the same time, adjustments in
trade flows and inventory management by consuming regions are expected to continue
influencing tanker utilisation in the near term. While disruptions to Middle Eastern
export flows have affected regional supply balances, increased long-haul movements from
alternative exporting regions may provide partial support to tonne-mile demand.
Over the medium term, a gradual recovery in production and export
activity in the region, together with potential stock rebuilding by importing countries,
could support tanker demand. Increasing ownership concentration among large tanker
operators has also contributed to improved commercial discipline across key segments,
supporting earnings resilience during periods of supply-side disruption.
Meanwhile, the tanker orderbook has seen a sharp uptick, particularly
for crude tanker with orderbook at approximately 20% of fleet (vs 11% last year). Product
tanker orderbook stood at around 19% of the fleet.
LPG CARRIER MARKET
The VLGC market experienced a strong recovery during FY26, with
earnings improving materially y/y. The key driver was the escalation of trade conflict
between the United States and China, which led to a significant redrawing of global LPG
trade routes. U.S. LPG volumes were increasingly directed towards the Far East, India, and
South-East Asia, while China diversified its sourcing towards the Middle East Gulf (MEG),
Canada, and Australia. These trade realignments materially increased tonne mile demand
during a year characterised by moderate vessel deliveries. In addition, a moderation in
the U.S. export terminal fees allowed shipowners to capture a larger share of the
U.S.-Asia arbitrage, further supporting VLGC earnings during the year.
Chinese VLGC LPG imports declined by about 10% y/y in FY26, as China
was unable to fully replace lost U.S. volumes following the imposition of tariffs. In
contrast, India recorded a healthy 9% growth in LPG imports, primarily driven by resilient
residential and commercial demand. North-East Asian imports increased by 3% y/y, while
South-East Asian imports grew by a stronger 9%, supported by rising energy demand. Export
growth in FY26 was led by the U.S., where LPG exports increased by 5% y/y, aided by rising
domestic production and subdued local consumption.
On the other hand, MEG LPG exports declined by approximately 6% y/y.
This was largely driven by a sharp reduction in March 2026 volumes following disruptions
to flows through the Strait of Hormuz amid the escalation of conflict in West Asia.
Nominal VLGC fleet supply grew by approximately 3.5% in FY26,
representing a more balanced supply environment following higher vessel deliveries in the
preceding two fiscal years. The table below captures the market spot earnings of VLGC over
the financial year (in $/day).
|
FY26 |
FY25 |
YOY change |
| VLGC - Avg. Earnings |
55,889 |
37,460 |
49% |
ASSET VALUES
Stronger VLGC earnings translated into sustained asset value strength,
with second-hand values holding at historically high levels despite macro and geopolitical
uncertainties.
OUTLOOK
The short-term outlook for the VLGC market remains sensitive to
developments in the Middle East, particularly transit conditions through the Strait of
Hormuz, which is a vital corridor for global LPG trade. Import-dependent markets such as
India and China remain exposed to potential adjustments in supply from the Middle East
Gulf region, although alternative sourcing from the United States and other exporting
regions may partially mitigate disruptions. However, given the scale of demand in these
markets, fully bridging potential supply gaps may remain challenging. Continued growth in
U.S. LPG export capacity is expected to support incremental long-haul trade flows over the
medium term.
Increased eastbound movements of crude oil, LPG and refined products
from the U.S., partly reflecting adjustments in trade flows following disruptions in the
Middle East Gulf region, may also increase competition for Panama Canal transit slots.
This could limit VLGC transits through the Canal and support tonne-mile demand through
increased routing via longer alternative passages.
Looking ahead, VLGC fleet growth is expected to accelerate from FY27
onwards, with a substantial orderbook scheduled for delivery over the next two years.
Developments in the Middle East and transit conditions at the Panama Canal are expected to
be important drivers as trade patterns continue to evolve.
DRY BULK CARRIER MARKETS
Dry bulk earnings started FY26 softer y/y across all vessel types
before improving significantly during the second half of FY26. Capesize was the best
performing segment, aided by continued strength in iron ore and bauxite trade.
Sub-Capesize earnings were supported by firm grain trade, while demand for coal faced
headwinds during the year.
Iron ore trade remained resilient during FY26 as China continued to
build inventories, although steel output remained under pressure due to sustained weakness
in the property sector. Firm Chinese steel exports provided partial support to domestic
steel production and helped maintain import demand for iron ore.
Coal trade remained subdued as imports into China and India softened
amid steady growth in domestic production and increased electricity generation from
hydroelectric and renewable sources.
Grain trade remained supported by firm Chinese soybean demand and
rising exports from South America. During H1 FY26, China increased purchases from South
America as part of efforts to reduce reliance on U.S. grains amid tariff tensions.
However, imports of U.S. grains improved during H2 FY26 following the announcement of a
soybean trade agreement between the two countries.
Bauxite trade continued its strong growth trajectory, increasing by 16%
y/y in FY26. Guinea's exports to China reached record levels, supported by robust
aluminium production in China. Other minor bulks, including steel products and
fertilisers, also supported overall dry bulk demand.
The nominal bulk carrier fleet supply increased by approximately 2.9%
y/y in FY26. Fleet growth was lower for Capesizes at around 1.2% y/y versus growth of 4.0%
y/y for Sub-Capesizes.
The table below shows the market spot earnings of the various
categories of dry bulk ships over the financial year (in $/day):
|
FY26 |
FY25 |
YoY Change |
| Capesize |
23,891 |
19,586 |
22% |
| Kamsarmax |
14,778 |
12,578 |
17% |
| Supramax |
13,277 |
12,378 |
7% |
ASSET VALUES
Bulker asset prices increased over FY26. Values have risen between 15%
and 25% in FY26 depending upon the age profile and the type of vessel.
OUTLOOK
Overall dry bulk trade growth outlook remains broadly positive,
although ongoing developments in the Middle East Gulf region continue to introduce
uncertainty for certain commodity flows and pricing dynamics.
Iron ore trade is expected to remain supported by the gradual ramp up
of supply from the Simandou iron ore project in Guinea. Long-haul iron ore exports from
Guinea to China are likely to benefit Capesize tonne-miles. However, slowdown in domestic
steel demand in China could act as a headwind for import requirements, while any
moderation in Chinese steel exports may further influence overall iron ore trade flows.
Coal trade dynamics may be influenced by developments in global energy
markets; tighter LNG availability following disruptions to export infrastructure in the
Middle East, could lead to greater reliance on coal for power generation in some regions.
At the same time, domestic production trends in major importing countries such as China
and India, together with production policies in Indonesia, the world's largest
thermal coal exporter, may influence the pace of growth in seaborne coal trade over the
medium term.
Fertilizer exports from the Middle East Gulf region have been affected
by recent regional developments, contributing to tighter supply conditions and higher
prices. This may influence planting decisions and crop production in major agricultural
regions of the world.
The bulk carrier orderbook is around 13% of the fleet, with the fleet
expected to grow at approximately 3% in CY2026, consistent with fleet growth in CY2025.
FLEET SIZE AND CHANGES DURING THE YEAR
As on March 31, 2026, your Company's fleet stood at 40 vessels,
comprising 26 tankers (5 crude carriers, 17 product carriers, 4 LPG carriers) and 14 dry
bulk carriers (2 Capesize, 9 Kamsarmax, 1 Ultramax, 2 Supramax) with an average age of
14.59 years aggregating 3.20 Mn dwt.
During the financial year, your Company: took delivery of a Suezmax
Crude Oil Carrier ‘Jag Laadki'; a Medium Range Product Carrier ‘Jag
Pranesh'; a Very Large Gas Carrier ‘Jag Vijay'; two Kamsarmax Dry Bulk
Carriers ‘Jag Amol' and ‘Jag Anjali'; and a Ultramax Dry Bulk Carrier
‘Jag Riddhi'. sold and delivered to the buyers a Suezmax Crude Carrier ‘Jag
Lok'; a Medium Range Product Carrier ‘Jag Pooja'; a Very Large Gas Carrier
‘Jag Vishnu'; and a Kamsarmax Dry Bulk Carrier ‘Jag Aarati'.
Subsequent to the end of the year, your Company: took delivery of a Kamsarmax Dry Bulk
Carrier ‘Jag Abhishek. contracted to acquire a Medium Range Product Carrier.
contracted to sell a Medium Range Product Carrier ‘Jag Pankhi'. sold and
delivered to the buyers a Medium Range Product Carrier ‘Jag Prakash'.
A detailed Asset Profile section forms part of this Annual Report.
KEY FINANCIAL RATIOS
Conventional return ratios are not appropriate to assess the
performance or condition of your Company for the following reasons:
1. A very significant part of the return in shipping comes from the
appreciation in the value of the asset itself. This does not enter the Profit and Loss
account except at the time of sale.
2. In recent years, due to the change in accounting standards, the
Company's profits have been affected very significantly by the movement in exchange
rates. When the foreign currency current assets are higher than the foreign currency debt,
this has the effect of increasing the Company's profits when the rupee depreciates
against the US Dollar, and of reducing its profits when the rupee appreciates against the
US Dollar.
Considering the cyclical and highly volatile nature of the shipping
industry, the ability to survive weak markets, and if possible, even take advantage of
them, is critical to success. The Company therefore believes that following are the key
financial ratios applicable to its business:
1. Gross and Net Debt: Equity Ratio This shows the extent of leverage
taken by the business, both at a gross level and net of the cash and cash equivalents
held. Net debt: equity is a standard ratio used in assessing a shipping company's
creditworthiness.
Debt ratios have stayed at low levels due to the strong cash flow
generation and low capex relative to balance sheet size.
|
FY26 |
FY25 |
| Gross |
0.08 |
0.12 |
| Net |
-0.38 |
-0.42 |
2. Cash Debt Service Coverage Ratio This represents the Company's
ability to meet its debt servicing obligations. It is the sum of the PBIDT plus the cash
and cash equivalents held by the Company divided by the expected debt service payments
over the next 12 months.
This ratio stood at 16.72 as of end FY26 versus 15.23 at the end of the
previous financial year. The increase in the ratio is due to lower interest costs in FY27
as compared to FY26.
3. Net Debt:PBIDT This shows the number of years earnings it would take
to cover the repayment of the debt which is not covered by the cash and equivalents.
The ratio was -1.71 as of end FY26 versus -1.66 as at the end of the
previous financial year. The level of the ratio is not currently relevant since the net
debt is negative in both years.
4. Return on Net Worth - The ratio was 18.18% for FY26 vs 19.39% for
FY25. The decrease was mainly due to the higher net worth base during the year as against
the previous year.
RISKS AND CONCERNS
Your Company has carried out a detailed exercise to identify the
various risks faced by your Company, and has put in place mitigation, control and
monitoring plans for each of the risks. Risk owners have been identified for each risk,
and these risk owners are responsible for controlling the respective risks. The efficacy
of these processes is monitored on a regular basis by Risk Sub- Committees (comprising of
Whole-time Directors and Senior Management Personnel of the Company) for the different
areas in order to make continuous improvement and is further reviewed by the Risk
Management Committee.
The Risk Management Committee currently consists of Mr. Bharat K.
Sheth, Chairman, Mr. Amitabh Kumar, Mrs. Kalpana Morparia, Mr. Shivshankar Menon,
Mr. T. N. Ninan, Mr. Uday Shankar and Mr. G. Shivakumar.
The Board of Directors and Audit Committee are regularly briefed on
your Company's risk management process.
The material risks and challenges faced by your Company are as follows:
ECONOMIC RISK:
Shipping is a global business whose performance is closely linked to
the state of the global economy. Therefore, if global economic growth is adversely
impacted, it could have an unfavourable effect on the state of the shipping market.
GEO-POLITICAL RISK:
OPEC nations control about one third of the world oil supply.
Therefore, their decision on whether to increase or reduce crude production can have a
material impact on the tanker freight markets.
Many of the countries producing and exporting crude oil are politically
volatile and geographically located in sensitive areas. Any change in the political
situation in these countries may alter the supply-demand scenario. This would have a
consequential impact on the tanker market. We are seeing this issue currently, with the
Strait of Hormuz effectively closed to normal traffic since the beginning of March 2026.
Issues such as sanctions and wars may also affect shipping markets.
TRADE BARRIERS:
Trade disputes between countries can turn into trade wars with erection
of tariff and non-tariff barriers. The manner in which such barriers are implemented could
have significant impact on trade volumes and routes.
CHINESE ECONOMY:
China has been a major driver of global growth especially for
commodities. If the economy falters or changes its policy towards import of various goods,
the consequential damage to shipping will be significant.
CHALLENGES FACED BY THE SHIPPING BUSINESS
EARNINGS VOLATILITY:
The shipping industry is a truly global business with a host of issues
potentially impacting the supply demand balance of the industry. This results in
significant volatility in freight earnings and asset values.
Your Company attempts to manage that risk in various ways.
If your Company believes that the freight market could weaken, it may
enter into time charter contracts ranging from 6 months to 3 years or use freight
derivatives to hedge the risk. Another method of managing risk is by adjusting the mix of
assets in the fleet through sale or purchase of ships.
As capital cost is a major cost component, your Company also ensures
that assets are bought at cheap prices. Your Company hopes to weather weak markets better
than most players in the business by having among the lowest fleet break-evens.
Your Company operates ships in different asset classes and different
markets. This ensures that your Company's fortunes are not fully dependent upon a
single market.
LIQUIDITY RISK:
The sale and purchase market and time charter markets are not always
liquid. Therefore, there could be times when your Company is not able to position the
portfolio in the ideal manner.
FINANCE RISK:
Your Company's business is predominantly USD denominated as
freight rates are determined in USD and so are ship values. Your Company has its
liabilities also denominated in USD. Any significant movement in currency or interest
rates could meaningfully impact the financials of your Company.
SHIPBOARD PERSONNEL:
Indian officers continue to be in great demand all over the world.
Given the unfavourable taxes on a seafarer sailing on an Indian flagged vessel, it is
difficult to source officers capable of meeting the modern-day challenges of worldwide
trading.
CYBER RISK:
A new and worrying threat to our business is cyber risk. Your Company
is taking steps to secure its assets and systems from this threat, including by having
suitable protection in place and by constant training to employees on how to avoid such
issues.
INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
Your Company has instituted internal financial control systems which
are adequate for the nature of its business and the size of its operations. The policies
and procedures adopted by your Company ensure the orderly and efficient conduct of its
business, including adherence to Company's policies, safeguarding of its assets,
prevention and detection of frauds and errors, accuracy and completeness of the accounting
records, and timely preparation of reliable financial information.
The systems have been well documented and communicated. The systems are
tested and audited from time to time by your Company and internal as well as statutory
auditors to ensure that the systems are reinforced on an ongoing basis. Significant audit
observations and follow up actions thereon are reported to the Audit Committee.
No reportable material weakness or significant deficiencies in the
design or operation of internal financial controls were observed during the year.
The internal audit is carried out by a firm of external Chartered
Accountants (Ernst & Young LLP) and covers all departments. Your Company also has an
independent Internal Audit Department. Apart from facilitating the internal audit by Ernst
& Young LLP, the Internal Audit
Department also conducts internal audit as per the scope decided from
time to time.
Both Ernst & Young LLP and Head (Internal Audit) report to the
Audit Committee in their capacity of internal auditors of your Company.
Consequent upon resignation by Head (Internal Audit), Ernst & Young
LLP would continue as the sole internal auditors of the Company
In the beginning of the year, the scope of the internal audit exercise
including the key business processes and selected risk areas to be audited are finalised
in consultation with the Audit Committee. All significant audit observations and follow up
actions thereon are reported to the Audit Committee.
The Audit Committee comprises of Mr. Keki Mistry (Chairman), Mrs.
Bhavna Doshi, Mr. Raju Shukla and Mr. T. N. Ninan all of whom are
Independent Directors of your Company. Mr. Berjis Desai ceased to be
the member of the Audit Committee w.e.f. April 24, 2026.
CONSOLIDATED FINANCIAL STATEMENTS
The Consolidated Financial Statements have been prepared by your
Company in accordance with the Indian Accounting Standards (Ind AS) notified under the
Companies (Indian Accounting Standards) Rules, 2015. The audited Consolidated Financial
Statements together with Auditors' Report thereon form part of the Annual Report.
The group recorded a consolidated net profit of Rs 2,942.52 crores for
the year under review as compared to net profit of Rs 2,344.26 crores for the previous
year. The net worth of the group as on March 31, 2026 was Rs 16,962.49 crores as compared
to Rs 14,259.16 crores for the previous year.
SUBSIDIARIES
The statement containing the salient features of the financial
statements of your Company's subsidiaries for the year ended March 31, 2026 is
attached along with the financial statements of your Company.
The report on performance of the subsidiaries is as follows:
GREATSHIP (INDIA) LIMITED, MUMBAI
Greatship (India) Limited (GIL), wholly owned subsidiary of your
Company and one of India's largest offshore oilfield services providers, experienced
a good year of performance and turned in the highest profits since FY16. In the financial
year 2025-26, GIL has recorded a total income of Rs 1287.63 crores (previous year Rs
1130.05 crores) on a standalone basis and Rs 1571.18 crores (previous year Rs 1332.45
crores) on a consolidated basis. In the current financial year, GIL has earned a profit
before interest, depreciation (including impairment) & tax of
Rs 619.05 crores (previous year Rs 521.69 crores) and Rs 819.59 crores
(previous year Rs 630.71 crores) on a standalone and consolidated basis, respectively.
GIL's net profit for the current financial year is Rs 302.25 crores (previous year Rs
183.55 crores) and Rs 438.85 crores (previous year Rs 232.66 crores) on a standalone and
consolidated basis, respectively.
The improvement in the business, primary in the Offshore Logistics
vertical, allowed GIL to improve consolidated revenue by 18% on a YoY basis, but
comparable profitability metrics of EBIDTA and PAT improved by 30% and 89% respectively,
once again demonstrating the operational leverage inherent in the business. Considering
the dollar denominated or linked revenue base of the business, the ~4.5% depreciation of
the Indian rupee (INR) against the U.S. dollar lends support to the improvement in such
YoY financial metrics.
During the year, your Company granted a term loan of Rs 425 crores to
GIL for repayment of its External Commercial Borrowing facility. As of
March 31, 2026, GIL's debt is entirely internal i.e. from your
Company and the cash balance in excess of Rs 1400 crores comfortably covered such debt
liability.
During the financial year, Greatship Oilfield Services Limited, a
wholly owned subsidiary of GIL, was dissolved under section 59 of the Insolvency and
Bankruptcy Code, 2016 w.e.f. December 11, 2025, through voluntary liquidation.
GIL has following three wholly owned subsidiaries, whose performance
during the year is summarized hereunder:
1. Greatship Global Energy Services Pte. Ltd., Singapore (GGES)
GGES has earned a net profit of USD 0.20 Mn for the current financial
year as against the net profit of USD 0.27 Mn in the previous year. The decrease in net
profit was mainly due to lower interest income and increase in expenses during the year.
2. Greatship Global Offshore Services Pte. Ltd., Singapore (GGOS)
GGOS owns and operates two Multi purpose Platform Supply and Support
Vessels and one R-Class Supply Vessel. GGOS has earned a net profit of USD 16.93 Mn for
the current financial year as against the net profit of USD 7.25 Mn in the previous year.
The increase in net profit was primarily attributable to higher charter hire income,
increased interest income, and the reversal of impairment loss on trade receivables that
had been provided in earlier years.
3. Greatship (UK) Limited, United Kingdom (GUK)
GUK's net loss for the current financial year amounted to USD 0.03
Mn as against USD 0.02 Mn in the previous year. The net loss in the current financial year
has been on account of certain expenses incurred by GUK.
THE GREATSHIP (SINGAPORE) PTE. LTD., SINGAPORE
The Greatship (Singapore) Pte. Ltd. is a wholly owned subsidiary of
your Company. The Greatship (Singapore) Pte. Ltd. does shipping agency business for the
ships owned by your Company. During the year ended March 31, 2026, there were 94 ship
calls at Singapore. The company's profit for the current financial year amounted to
S$ 64,041 as compared to a profit of S$ 89,248 in the previous year.
THE GREAT EASTERN CHARTERING LLC (FZC), U.A.E.
The Great Eastern Chartering LLC (FZC) is a wholly owned subsidiary of
your Company. During the year ended March 31, 2026, the company made a profit of USD 13.50
Mn (previous year loss of USD 6.55 Mn). The company has invested in shares of some listed
shipping companies and these shares were valued at USD 13.60 Mn as of March 31, 2026.
THE GREAT EASTERN CHARTERING (SINGAPORE) PTE. LTD., SINGAPORE
The Great Eastern Chartering (Singapore) Pte. Ltd. is a wholly owned
subsidiary of The Great Eastern Chartering LLC (FZC), UAE. During the financial year ended
March 31, 2026, the company made a loss of USD 0.36 Mn (previous year profit of USD 1.01
Mn). As of March 31, 2026, the company held positions in dry bulk freight futures and oil
futures.
GREAT EASTERN FOUNDATION, INDIA
Great Eastern Foundation (Foundation) (formerly ‘Great Eastern
CSR Foundation') is a wholly owned subsidiary of your Company which handles the
CSR activities of your Company and its subsidiaries. The Foundation received a total
contribution of Rs 45.21 crores during the year ended March 31, 2026. The Foundation spent
Rs 29.08 crores on CSR activities during the year.
Details of CSR activities carried out by Great Eastern Foundation are
set out in the reports on CSR activities which form part of this Annual Report.
GREAT EASTERN SERVICES LIMITED, INDIA
Great Eastern Services Limited (‘GESL') is a wholly owned
subsidiary of your Company. GESL was incorporated on June 23, 2020. It had not commenced
its business operations since incorporation.
With a view to save on administrative time and cost, the Board of
Directors of your Company had granted its approval for voluntary liquidation of GESL. The
members of GESL at their Extra- Ordinary General Meeting held on June 23, 2025, passed a
special resolution for voluntary liquidation of GESL. The application for voluntary
liquidation of GESL is under process with Hon'ble National Company Law Tribunal
(‘NCLT'),
Mumbai Bench.
GESHIPPING (IFSC) LIMITED, INDIA GESHIPPING (IFSC) Limited is a wholly
owned subsidiary of your Company. During the year, the company has made a profit of USD
1.72 Mn (previous year loss of USD 1.50 Mn).
During the year, GESHIPPING (IFSC) Limited voluntarily prepaid USD 3 Mn
term loan availed from your Company out of the total outstanding term loan amount of USD
10 Mn.
DEBT FUND RAISING
During the year, no fresh debt was raised. The gross debt:equity ratio
as on March 31, 2026 was 0.08 (including effect of currency swaps on rupee debt was 0.11)
and the debt:equity ratio net of cash and cash equivalents as on March 31, 2026 was -0.38
(including effect of currency swaps on rupee debt was -0.35). The Company did not have any
External Commercial Borrowings at the opening of the year and redeemed Non-Convertible
Debentures aggregating to Rs 450 crores during the year and also settled the swaps
relating to those debentures.
HEALTH, SAFETY, ENVIRONMENT AND QUALITY (HSEQ)
The last few years have been very challenging for the shipping industry
due to geopolitical instability grappling with the economy and the businesses across the
globe. Changing safety, environmental and local regulatory regimes like PSC inspections
are making operations more complex. Your Company's committed teams on board and
ashore with proactive approach ensured the implementation of risk based plan, helping to
minimize its impact on business operations to a larger extent.
Other than mandatory ISM certification, your Company is certified for
ISO 9001, ISO 14001 and ISO 45001 standards. An internationally recognized benchmark
ensures business follows high standard for quality and environmental responsibility. The
standardized operation facilitates safe and efficient navigation in prevailing complex
operational environment.
Your Company's performance during third party inspections like
Port State Control inspection, SIRE, Rightship is also very good. QUALSHIP 21 (Quality
Shipping for the 21st Century) is a United States Coast Guard (USCG) program. It rewards
foreign flagged vessels and their operators that demonstrate a strong commitment to
maritime safety and environmental protection. Many vessels operated by your Company are
eligible for QUALSHIP 21 certification.
Your Company is taking various proactive measures to utilise advanced
technology for efficient operation. As part of this initiative, applicable vessels are
fitted with redesigned propellers, ultrasonic devices on propellers, adaptive auto pilot
system and application of high performance paints. These measures have yielded positive
results in your Company's mission to reduce environmental impact and simultaneously
improve operational efficiency. Artificial intelligence technology is being used to ease
seafarers workload and monitor health of machinery proactively. Also, many vessels are
equipped with CCTV system as ongoing efforts to improve safe monitoring of activities on
board and improve safety culture. CCTV system is also equipped with inbuilt AI, making it
more useful and effective.
Your Company cares for its employees and has taken enhanced measures
towards their health and safety. For the benefits of all shore employees the Company
continued arrangements like work from home option for junior ranks and remote offices
located in Mumbai suburbs. For the benefit of seafarers, the Company has provided free
limited internet access to all seafarers onboard ship for better social connectivity.
Additionally, a remote expert counselling service for mental wellbeing, enhanced
pre-employment mental examination from the experts, annual health insurance for senior
officers and their spouses and a dedicated crew relationship officer for managing their
welfare to enhance their relationship with the organization are in place.
TRAINING AND ASSESSMENT
During FY 2025 26, the Training & Assessment function remained
aligned with the Company's objective of maintaining a competent, confident and
operationally prepared seafaring workforce.
The Training & Assessment function delivered structured, practical
learning across the seafaring workforce, with over 7,000 training interventions conducted
during the year spanning operational, technical, safety, and behavioural competencies.
Training was delivered through a mix of simulator-based learning,
classroom sessions, and computer-based modules. Full mission simulators were actively used
for scenario-based exercises, keeping crews operationally sharp. Programmes were aligned
with key industry inspection frameworks — SIRE 2.0 and RightShip RISQ 3.2 —
while also addressing emerging threats through dedicated cybersecurity and ransomware
drill modules.
Engineering capability was strengthened through targeted workshops
covering blackout prevention, main engine operations, and ballast water management,
supported by structured competency assessments tied to rank-specific responsibilities.
Safety and compliance training covered emergency preparedness and operational safety,
complemented by human factors modules on leadership, communication and mental wellbeing.
A notable external recognition came from the DNV Maritime Training
Provider audit in April 2025, which highlighted the Company's initiative in combining
Engine Room Simulator refresher training with Engine Team Resource Management — an
approach participants found directly relevant to their operational roles.
The Training Centre retains its DNV certification, with programmes
regularly reviewed against regulatory changes and operational learnings.
IT INITIATIVES
In FY2026, the IT function significantly advanced the
organization's digital maturity by driving a focused strategy around Digital
Transformation with focus on Enterprise Data Analytics, Gen AI, RPA along with application
rationalization and legacy application modernization. These initiatives have streamlined
core business processes, enhanced monitoring and compliance with ease of operations,
strengthened cybersecurity posture and enhanced operational resilience in an increasingly
complex global maritime environment.
Key focus areas
Your Company continues its Digital Transformation journey for next-gen
technology implementation and adoption to ensure business enablement and process
standardization and automation. Some of the key focus areas were:
• SAP Ecosystem & peripheral systems implementation: The
Company has expanded SAP footprint to automate Accounts Payable & Vendor Management
process, HR & Payroll and integration with other shipping ERP systems. This has
substantially improved compliance and process standardization.
• Shipping ERP Platforms implementation and stabilization:
Shipping ERP platforms Veson, Harborlab, Danaos and Stormgeo have been further enhanced to
include additional functionalities and improve overall data integrity and control.
Additionally, new SaaS platform Mariapp is being implemented for crew management and
training.
• Application Rationalization & Consolidation: A structured
digital transformation with new SaaS platforms implementation and legacy application
rationalization and consolidation has helped the Company to optimize its application
footprint, resulting in seamless integrated enterprise. This has led to enhanced data
integrity, system-based controls, improved compliance and long-term scalability.
• Enterprise Data Analytics: The Company has implemented
Enterprise Data Analytics using Data Lake and Power BI platforms for improved decision
making by establishing robust data governance and integration mechanism across all
enterprise systems.
• Artificial Intelligence Enablement: An AI-powered knowledge
system has been deployed, enabling both office and vessel staff to access critical
guidance and procedures from SMS/IMS SOPs with speed and accuracy.
Infrastructure & Cyber Security
Your Company has successfully ensured zero cyber security incidents and
ensuring uninterrupted system availability for smooth business operations in a complex
maritime environment. This continues to be the Company's top strategic priority. By taking
proactive steps and integrating modern infrastructure with a multi layered security
architecture, your Company has built a “Resilient by Design” ecosystem.
• Cloud-First Operations & Ransomware Immunity: The Company
has transitioned to a location-independent operational model that ensures business remains
functional regardless of physical or digital disruptions. This has been ensured by setting
up Cloud DR framework with rapid failover capabilities and deployment of air-gapped cloud
backup solutions.
• Modernized Maritime Infrastructure & Monitoring: The Company
has upgraded its physical and digital backbone which is central to enabling real-time
operational control by establishing high-bandwidth satellite communication, network
redesign and modernization.
• Proactive Cyber Defense & Governance: The Company's
infrastructure is fortified by an intelligence led security layer designed to counter
evolving global threats. This includes Security Operations Centre (SOC & SIEM) with
24/7 monitoring along with real time threat hunting and proactive data protection. Your
Company has established KPI based governance mechanism to ensure controls and compliance
to regulatory frameworks which includes IT Act 2000, and CERT-In guidelines.
Future Roadmap
Looking ahead, the Company's digital strategy is anchored in
“AI first” transformation, next gen technology enablement using agentic
framework with data driven decision making. The Company's key priorities are further
optimization of enterprise digital architecture, gen AI enablement and agentic process
automation for efficiency improvements and improved decision-making. The Company is going
to focus on implementing The Digital Personal Data Protection Act, 2023 and its compliance
framework and is evaluating next gen AI enabled cyber security frameworks with additional
check points and controls for improved resiliency and continual business support.
HUMAN RESOURCES
The employee value proposition of the organization rests on two pillars
of Employee Capability and Commitment and its efforts are focused on strengthening these
two areas through sustained investments. The objective of the capability building
initiative is to ensure that the employees are able to build their competence and feel
confident and skilled to meet up the emerging work requirements at the workplace. This was
achieved through a combination of leadership programs, coaching, and exposure to digital
learning platforms such as LinkedIn learning. Using the Leadership Gap Indicator developed
by the Center for Creative Leadership, the Company identified leadership capabilities that
are critical for business success, and areas of improvements specific to the organization.
Subsequently, a structured leadership journey was designed for middle managers to develop
the competencies which were identified; this included class room learning sessions and one
to one coaching using the Immunity to Change framework. Emphasis was also placed on self
awareness as a foundation for growth, supported by 360 feedback and use of psychometric
instruments like CPI 260 and FIROB.
The Company's efforts to build Employee Commitment is by enhancing
belonginess and psychological safety. This was achieved through multiple ways - climate
surveys, employee town halls, informal engagements like quizzes, cultural get-togethers
and promoting work life balance. These activities encouraged cross functional interaction
and fostered cameraderie.
The overall engagement score stood at 82% with an employee retention of
97%.
Total number of shore staff and shipboard personnel was 256 and 1872
respectively at the end of the year.
THE GREAT EASTERN INSTITUTE OF MARITIME STUDIES (GEIMS)
In FY2026, The Great Eastern Institute of Maritime Studies (GEIMS)
continued to uphold its reputation for maintaining high standards in maritime education
and training. The institute remained committed to developing skilled maritime
professionals and strengthening its contribution to the maritime industry.
During the year, GEIMS undertook several outreach and expansion
initiatives. One of the key highlights was the organization of its inaugural roadshows in
Lonavala and Pune, where the institute provided guidance to numerous aspiring candidates
interested in pursuing careers in the Merchant Navy. These initiatives helped create
awareness about maritime education and encouraged young individuals to explore
opportunities in the maritime sector.
In FY2026, GEIMS proudly graduated 425 cadets from its four pre sea
courses Diploma in Nautical Science (DNS), Graduate Marine Engineering (GME), Electro
Technical Officer (ETO), and GP Rating (General Purpose Rating). During the same period,
GEIMS welcomed 424 new cadets into these programs, further strengthening its role in
developing the next generation of maritime professionals.
GEIMS cadets continued to demonstrate exceptional talent and
competitiveness by securing various prizes in competitions organized by maritime
institutions. Notable achievements included participation and recognition in events hosted
by AMET Chennai and Prayaan @
IMU-Mumbai. Cadets also showcased commendable performance in sporting
events. A joint team comprising members from the Company and GEIMS secured the Runners-Up
Trophy at the prestigious Maritime Soccer League 2025, reflecting strong teamwork and
sporting excellence.
The institute also focused on faculty development and professional
growth. Faculty members enhanced their competencies by attending advanced simulator
training courses and participating in seminars alongside senior floating staff of the
Company, ensuring that the training methodologies remain aligned with evolving industry
standards and practices.
A significant milestone during the year was the successful organization
of “Naviquest” on October 31, 2025, hosted by GEIMS for the first time. The
event witnessed participation from all major maritime institutes in the country and finals
included competitions in Maritime Quiz and Technical Skills. GEIMS performed exceptionally
well, securing First Prize in the Nautical Event and Second Prize in the Technical Event.
Another highlight of the year was the vibrant celebration of
GEIMS's 21st Foundation Day. The event was graced by distinguished chief
guests Capt. Rajesh Tandon, CEO FOSMA, and Mr. Viren Rasquinha, MD & CEO OGQ. During
the ceremony, Cadet Kalyani Satpute was honored with the “Best Girl Cadet of the
Year” award. The celebration was attended by prominent industry leaders and received
significant media coverage, further reinforcing GEIMS's growing prominence in the
maritime training sector.
The annual grading of Maritime Training Institutes (MTIs) by the
Directorate General of Shipping (DGS), GEIMS's commitment to excellence was reflected
in its consistent CIP Grade (Comprehensive Inspection Programme Grade) of “A1”,
which stands as a testament to the institute's dedication in imparting best in class
maritime training for the future mariners.
CORPORATE SOCIAL RESPONSIBILITY
Your Company has always been conscious of its role as a good corporate
citizen and strives to fulfil this role by running its business with utmost care for the
environment and all the stakeholders. Your Company looks at Corporate Social
Responsibility (CSR) activities as a significant tool to contribute to the society.
The Board of Directors of your Company has constituted a Committee of
Directors, known as the Corporate Social Responsibility Committee, currently comprising of
Mrs. Bhavna Doshi (Chairperson), Mr. Raju Shukla and Mr. Bharat K. Sheth, to steer its CSR
activities.
Copy of the Corporate Social Responsibility Policy of your Company as
recommended by the CSR Committee and approved by the Board is enclosed as ‘Annexure
A'. The CSR Policy is also available on the website of your Company: www.
greatship.com.
The CSR Policy is implemented by your Company through Great Eastern
Foundation, a wholly owned subsidiary of your Company, specifically set up for the
purpose.
During FY 2025-26, Rs 44 crores were contributed by your Company to
Great Eastern Foundation for undertaking CSR activities as per the provisions of Section
135 of the Companies Act, 2013.
The Annual Report on CSR activities is enclosed herewith as
‘Annexure B'.
DIRECTORS
The first term of office of Mr. T. N. Ninan, Mr. Uday Shankar and Mr.
Shivshankar Menon as Independent Directors of the Company expired on May 05, 2025. The
members approved the re-appointment of Mr. T. N. Ninan and Mr. Uday Shankar as Independent
Directors of the Company for a second term of 5 years w.e.f. May 06, 2025, by passing
Special Resolutions through Postal ballot the results of which were declared on March 27,
2025. Subsequently, the members at their Annual General Meeting held on August 01, 2025,
approved the reappointment of Mr. Shivshankar Menon as an Independent Director of the
Company for a second term of 5 years w.e.f. August 02, 2025.
The members, at their Annual General Meeting held on August 01, 2025,
also approved the re- appointment of Mr. Ravi K. Sheth as a Director of the Company liable
to retire by rotation, the re appointment of Mr. Bharat K. Sheth as ‘Managing
Director' of the Company for a period of 5 years w.e.f. April 01, 2026, and the re
appointment of Mr. G. Shivakumar as ‘Executive Director' of the Company for a
period of 5 years w.e.f. November 14, 2025.
During the year, Mr. K. M. Sheth stepped down as the Chairman and
member of the Board of the Company w.e.f. November 09, 2025, owing to age-related reasons.
Your Directors place on record their appreciation for the valuable
guidance and support extended by Mr. K. M. Sheth. Your Directors also note that his
association with the Company had been truly extraordinary and unparalleled. Under his
leadership, the Company earned a reputation for sound governance, professional excellence,
and financial prudence, while upholding the highest standards of integrity and enterprise.
His vision and guidance had been instrumental in shaping your Company's enduring
values and long term success.
In recognition of his lifelong and distinguished service to the Company
and his invaluable contribution to the Indian maritime industry, the
Board of Directors at their meeting held on November 07-08, 2025,
appointed Mr. K. M. Sheth as ‘Chairman Emeritus' of the Company for life w.e.f.
November 09, 2025.
The Board of Directors, at their meeting held on November 07-08, 2025,
appointed Mr. Bharat K. Sheth as ‘Chairman' of the Company w.e.f. November 09,
2025. Accordingly, he was re designated as ‘Chairman and Managing Director' of
the Company with effect from the said date.
With a view to further strengthen the governance framework of the
Company, the Board of Directors at their meeting held on January 29, 2026, designated Mr.
Ranjit Pandit as the ‘Lead Independent Director' of the Company w.e.f. January
29, 2026.
Subsequent to the end of the year, Mr. Berjis Desai has stepped down
from the office of Non-Executive, Non-Independent Director of the Company w.e.f. April 24,
2026, consequent upon his appointment as a Member, National Commission for Minorities, New
Delhi.
Your Directors place on record their appreciation for the valuable
guidance and support extended by Mr. Berjis Desai during his tenure as a Non- Executive,
Non-Independent Director of the Company.
The first term of office of Mrs. Bhavna Doshi as an Independent
Director of the Company expired on May 11, 2026. The members approved the re-appointment
of Mrs. Bhavna Doshi as an Independent Director of the Company for a second term from May
12, 2026 to October 25, 2030, by passing special resolution through postal ballot, the
results of which were declared on April 30, 2026.
Mr. G. Shivakumar shall retire by rotation at the ensuing Annual
General Meeting and being eligible, offers himself for re-appointment.
Necessary resolution for re appointment of Mr. G. Shivakumar as a
‘Director retiring by rotation' has been included in the Notice convening the
ensuing Annual General Meeting.
As per the provisions of the Companies Act, 2013, Independent Directors
shall not be liable to retire by rotation. The Independent Directors of your Company have
given the certificate of independence to your Company stating that they meet the criteria
of independence as mentioned under Section 149(6) of the Companies Act, 2013 and under
Regulation 16(1)(b) of Securities and Exchange Board of India (Listing Obligations and
Disclosure Requirements) Regulations, 2015. In the opinion of the Board, all the
Independent Directors are persons of integrity and possess relevant expertise and
experience to effectively discharge their duties as Independent Directors of the Company.
The policies on Director's appointment and remuneration including
criteria for determining qualifications, positive attributes, independence of Director and
also remuneration for key managerial personnel and other employees are enclosed herewith
as Annexures ‘C' and ‘D' respectively.
The details of remuneration as required to be disclosed pursuant to the
Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are enclosed
as Annexure ‘E'.
During the year, Mr. Bharat K. Sheth, who is also the Non Executive
Chairman of Greatship (India) Ltd. (GIL), a wholly owned subsidiary of the Company, was in
receipt of remuneration of Rs 81 lakhs for FY 2024-25 from GIL. The Board of Directors of
GIL have approved payment of remuneration of Rs 108 lakhs for FY 2025-26 to Mr. Bharat K.
Sheth.
BOARD MEETINGS
During the year, 5 meetings of the Board of Directors were held. The
details of Board meetings as well as Committee meetings are provided in the Corporate
Governance Report.
BOARD EVALUATION
With a view to bring in objectivity and independence in the process of
performance evaluation of the Board, its Committees and individual
Directors, your Company engaged the services of Talentonic HR Solutions
Private Limited (‘Talentonic') to assist in conducting performance evaluation
for FY 2025-26.
Talentonic conducted the assessment in line with the regulatory
requirements and leading practices in the market and submitted its Board Evaluation
Reports. They made a comprehensive presentation of their findings at the meeting of the
Independent Directors of the Company. The annual performance evaluation of the Board, its
committees and all the Directors individually was done based on the same.
Pursuant to the provisions of the Companies Act, 2013, a separate
meeting of Independent Directors reviewed performance of your Company, Board as a whole
and Non-Independent Directors (including Chairman) of your Company. The Board of Directors
reviewed the performance of Independent Directors and Committees of the Board. Nomination
and Remuneration Committee also reviewed performance of your Company and the Directors.
DIRECTORS RESPONSIBILITY STATEMENT
Pursuant to the requirement of Section 134(3) of the Companies Act,
2013, the Board of Directors hereby state that:
(a) in the preparation of the annual accounts, the applicable
accounting standards had been followed along with proper explanation relating to material
departures; (b) the directors had selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and prudent so as to
give a true and fair view of the state of affairs of the company at the end of the
financial year and of the profit and loss of the company for that period; (c) the
directors had taken proper and sufficient care for the maintenance of adequate accounting
records in accordance with the provisions of this Act for safeguarding the assets of the
company and for preventing and detecting fraud and other irregularities; (d) the directors
had prepared the annual accounts on a going concern basis; and (e) the directors, in the
case of a listed company, had laid down internal financial controls to be followed by the
company and that such internal financial controls are adequate and were operating
effectively.
(f) the directors had devised proper systems to ensure compliance with
the provisions of all applicable laws and that such systems were adequate and operating
effectively.
CORPORATE GOVERNANCE
Maintaining high standards of Corporate Governance has been fundamental
to the business of your Company since its inception. A separate report on Corporate
Governance is provided together with a certificate from the practicing Company Secretary
regarding compliance of conditions of Corporate Governance as stipulated under the
Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements)
Regulations, 2015.
Your Company has formally adopted the ‘National Guidelines on
Responsible Business Conduct' (‘NGRBC') issued by Ministry of Corporate
Affairs. The applicable aspects of the principles of NGRBC have been
suitably incorporated in the internal policy framework and operating processes followed by
your Company.
The Business Responsibility and Sustainability Report (BRSR) as per the
format specified by Securities & Exchange Board of India forms part of this Annual
Report. Your Company is undertaking external assurance of BRSR Core Indicators for FY
2025-26 from DNV Business
Assurance India Private Limited.
A separate section on Environment, Social & Governance (ESG) also
forms part of this Annual Report.
Copy of Annual Return as required under Section 92(3) of the Companies
Act, 2013 has been placed at the website of your Company: www.greatship.com
PREVENTION OF SEXUAL HARASSMENT AT WORKPLACE
With a view to create safe workplace, your Company has formulated and
implemented Sexual Harassment (Prevention, Prohibition and Redressal) Policy in accordance
with the requirement of the Sexual Harassment of Women at Workplace (Prevention,
Prohibition and Redressal) Act, 2013. For the purpose of handling and addressing
complaints regarding sexual harassment, your Company has constituted Internal Complaint
Committee with an external lady representative (who has the requisite experience in this
area) as a member of the Committee. To build awareness in this area, your Company also
conducts awareness programmes within the organisation.
During the year, no complaints with allegations of sexual harassment
were received by the Company.
VIGIL MECHANISM
Your Company has established a vigil mechanism (Whistle Blower Policy)
for Directors and employees to report genuine concerns. The
Whistle Blower Policy provides for adequate safeguards against
victimisation of persons who use such mechanism and make provision for direct access to
the Chairperson of the Audit Committee in appropriate or exceptional cases. No personnel
was denied access to the Audit Committee.
A copy of the Whistle Blower Policy is available on the website of your
Company: www.greatship.com
RELATED PARTY TRANSACTIONS
Your Company has formulated a policy on dealing with Related Party
Transactions, a copy of which is available on the website of your Company:
www.greatship.com
The particulars of material contracts arrangements with related parties
in Form AOC 2 is annexed herewith as “Annexure F”.
All the related party transactions have been entered into by your
Company in the ordinary course of business and on arm's length basis.
DIVIDEND DISTRIBUTION POLICY
The Dividend Distribution Policy of your Company is available on the
website of your Company: www.greatship.com
ENERGY CONSERVATION AND TECHNOLOGY ABSORPTION
CONSERVATION OF ENERGY
The revised IMO GHG Strategy includes an enhanced common ambition to
reach net-zero GHG emissions from international shipping by or around 2050, as well as
indicative checkpoints for 2030 and 2040. Your Company has been undertaking various
technical and operational initiatives about enhancing energy efficiency in its business
operations. The same has also been described in detail in the BRSR and ESG Reports, which
form part of this Annual Report.
ENERGY SAVING TECHNOLOGIES
In its efforts to improve energy efficiency and reduce emissions, your
Company has implemented the following energy efficiency initiatives on various vessels
during this financial year. Few of these will help us in complying with IMO and EU
regulations on emission reduction:
• Redesigned Propellers – Fitted on 2 LR tankers in this
fiscal, with this we have completed fitment on total 4 LR tankers. These propellers are
lighter in weight and have an improved design profile which will help in emissions
reduction. These will also help with the reduction of underwater noise.
MAN B&W EcoCam Retrofit was completed on 3 vessels during their
respective dry dockings. This will assist in emission reduction during part load
operations of main propulsion engine.
• Ultrasonic equipment for biofouling protection of propellers
– This is installed on 18 vessels and the Company plans to do on selected vessels in
the coming fiscal year.
Adaptive autopilot retrofit was completed on 14 vessels. This will
assist in reducing cross track error during vessel's navigation and hereby resulting
in reduced emissions.
• LED lighting – LED lights are energy efficient as compared
to traditional lights such as fluorescent, halogen and incandescent lights. Total 34
vessels are fitted with such arrangement.
• High performance paints – For a typical ship, loss of
energy through hull resistance is around 30% and this increases with growth of hull
roughness due to biofouling. To minimize growth of biofouling, your Company has applied
superior anti-fouling coatings on 6 vessels during their respective dry dockings in this
financial year.
During the year, your Company made a total capital investment of USD
684,483 on energy conservation equipments.
COMPLIANCE WITH IMO & EU EMISSION REGULATIONS
IMO DCS Data for the calendar year 2025 have been submitted to R.O. by
the due date for their review. A similar exercise for corresponding requirement of
European Union, but applicable to vessels which have made commercial voyages to or from EU
for the calendar year 2025, has been completed.
Your Company tracks and monitors the Carbon Intensity Indicator (CII)
ratings for all its vessels. This will help the organization in timely identifying the
vessels which will require improvement and appropriate actions can be planned accordingly.
In CY 2025, 81% of our ships were rated C or better.
For EU ETS, we have contracted with couple of reputed brokers for the
purchase & management of EUAs for non pool vessels and for pool vessels it will be
handled by respective pool managers.
The Company has opened a Maritime Operator Holding Account (MOHA) with
Spanish Registry for holding and submission of EUA allowances.
For FuelEU Maritime, the Company has partnered with established
organisations and opted for pooling mechanism as compliance method. For pool vessels it is
managed by respective pool managers. As a sustainable and effective method, your Company
has also used bio-fuel for effective management of Fuel EU regulations.
AUDITORS
Pursuant to the provisions of Section 139 of the Companies Act, 2013,
Deloitte Haskins & Sells LLP were re appointed as the Statutory
Auditors of your Company at the Annual General Meeting held on July 29,
2022 to hold office until the conclusion of the 79th Annual General Meeting to
be held in the calendar year 2027.
The report given by the Auditors on the financial statements of your
Company is part of this Report. There are no qualifications, adverse remarks of disclaimer
given by the Auditors in their Report.
SECRETARIAL AUDITORS
Pursuant to the provisions of Section 204 of the Companies Act, 2013
and Regulation 24A of Securities Exchange Board of India (Listing Obligations and
Disclosure Requirements) Regulations, 2015, M/s. Mehta & Mehta, Company Secretaries
were appointed as Secretarial
Auditors of your Company at the Annual General Meeting held on August
01, 2025 for a term of 5 financial years with effect from April 01,
2025. The Secretarial Audit Report of your Company is annexed herewith
as “Annexure G”.
The Secretarial Audit Report of Greatship (India) Limited, the material
unlisted Indian subsidiary of your Company, is annexed herewith as “Annexure H”.
FOREIGN EXCHANGE EARNINGS AND OUTGO
The details of Foreign Exchange Earnings and Outgo are as follows:
| a) Foreign Exchange earned on account of freight, charter
hire earnings, sales proceeds of ships, etc. |
3372.84 |
| b) Foreign Exchange used including operating expenses,
capital repayment, down payments for acquisition of ships (net of loan), interest payment,
etc. |
3882.46 |
OTHER DISCLOSURES
Particulars of Loans, Guarantees and Investments covered under the
provisions of Section 186 of the Companies Act, 2013 are given in the notes to the
financial statements.
There are no significant and material orders passed by the regulators
or courts or tribunals impacting the going concern status and the Company's
operations in future.
Maintenance of cost records as specified by the Central Government
under sub section (1) of section 148 of the Companies Act, 2013 is not required by your
Company.
Neither any application was made, nor any proceeding was pending under
the Insolvency and Bankruptcy Code, 2016 in respect of your Company during or at the end
of the financial year 2025-26.
The disclosures on valuation of assets as required under Rule 8(5)(xii)
of the Companies (Accounts) Rules, 2014 are not applicable.
The Company has complied with the provisions of Maternity Benefit Act,
1961 and the Code on Social Security, 2020 relating to maternity benefits.
APPRECIATION
Your Directors express their sincere thanks to all customers,
charterers, vendors, investors, shareholders, shipping agents, bankers, insurance
companies, protection and indemnity clubs, consultants and advisors for their continued
support throughout the year. Your Directors also sincerely acknowledge the significant
contributions made by all the employees through their dedicated services to your Company.
Your Directors look forward to their continued support.
|
For and on behalf of the Board of Directors |
|
Bharat K. Sheth |
|
Chairman and Managing Director |
| Mumbai, May 14, 2026 |
(DIN: 00022102) |
|