Great Eastern's net profit jumps 187.56% YoY on margin gain
Revenue grew 23.58% while expenses fell 20.99%, but other income still contributed 33.17% of pre-tax profit.
Filed 14 May 2026, 19:29 IST · after market close · Great Eastern Shipping Company Ltd (GESHIP)
Key takeaways
- Consolidated net profit rose 187.56% YoY as revenue grew 23.58% while expenses fell 20.99%.
- Operating margin widened 21.28 percentage points YoY to 62.29%, recovering 4.83 percentage points QoQ.
- Management said VLGC spot earnings grew 145% YoY even as global dirty trade volumes fell 2% in Q4FY26.
Price around the results
Revenue growth and lower costs lift consolidated earnings
Great Eastern Shipping's consolidated revenue grew 23.58% YoY, while expenses fell 20.99%, allowing operating profit to rise 87.67%. Net profit increased 187.56% YoY and 28.50% QoQ. Sequential momentum also improved, with revenue up 3.92% and operating profit up 12.66%.
Operating margin recovers, but other income remains material
Costs declined despite revenue growth, widening operating margin by 21.28 percentage points YoY and 4.83 percentage points QoQ. Lower interest expense, down 54.79% YoY, also supported pre-tax profit. Other income accounted for 33.17% of pre-tax profit, while the tax rate fell 8.42 percentage points YoY to -0.14%, so the net-profit increase was helped by both non-operating income and a lower tax charge.
Margin trend remains upward after a Q3FY26 dip
Operating margin rose from 41.01% in Q4FY25 to 53.50% in Q1FY26 and 58.63% in Q2FY26, dipped to 57.46% in Q3FY26, and recovered to 62.29% in Q4FY26. The company was 31.14 percentage points above the 31.15% median operating margin of the 12 Services-sector peers that had reported. Management said global dirty trade volumes fell 2% YoY and seaborne product trade declined 3% YoY, while VLGC spot earnings grew 145% YoY.
Post-results rise was above the stock's usual move
The stock rose 3.30% on the first session after the results, with a 4.38% opening gap, and was up 14.25% by the next session. That first-day gain exceeded the 2.14% median absolute move across the previous eight results, when the stock rose five times and fell three times. A corporate-action overlap means the immediate reaction is not a clean read of the results alone.
Q4FY26 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹1,511 cr | ₹1,454 cr | +3.92% | +23.58% |
| Other income | ₹346 cr | ₹282 cr | +22.60% | +130.25% |
| Expenses | ₹570 cr | ₹619 cr | -7.89% | -20.99% |
| Operating profit | ₹941 cr | ₹836 cr | +12.66% | +87.67% |
| Operating margin (%) | 62.29% | 57.46% | — | — |
| Interest | ₹23 cr | ₹25 cr | -8.22% | -54.79% |
| Depreciation | ₹222 cr | ₹246 cr | -9.96% | +8.00% |
| Profit before tax | ₹1,043 cr | ₹847 cr | +23.16% | +163.37% |
| Tax | ₹-1 cr | ₹34 cr | — | — |
| Net profit | ₹1,044 cr | ₹813 cr | +28.50% | +187.56% |
| EPS (₹) | ₹73.13 | ₹56.91 | +28.50% | +187.57% |
Operating margin of 62.29% compares with a Services sector median of 31.15% across 12 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +3.30% | +3.49% |
| Next session | +14.25% | — |
| 5 sessions | +12.20% | +12.08% |
| 15 sessions | -3.53% | — |
| 30 sessions | -0.12% | — |
Volume on the results session was 15.84× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- VLGC spot earnings grew 145% year-on-year in Q4 FY26.
Problems & risks
- Global dirty trade volumes fell 2% year-on-year in Q4 FY26, mainly because volumes dropped 15% year-on-year in March 2026.
- Seaborne product trade declined 3% year-on-year in Q4 FY26, with a roughly 13% decline in March 2026.
What to watch
- Whether consolidated operating margin holds above 62.29%.
- Whether other income remains below or above its 33.17% share of pre-tax profit.
- Whether revenue growth continues to outpace expenses after revenue rose 23.58% and expenses fell 20.99% YoY.