Lloyds Engineering Works Ltd partners with Fincantieri S.p.A to Strengthen India’s Defence Manufacturing Capabilities

Lloyds Engineering Works Ltd (Lloyds) has entered a strategic partnership with Fincantieri S.p.A., a global leader in shipbuilding. This collaboration aims to jointly manufacture high-quality products for the Indian Navy and Coast Guard, enhancing India’s defence manufacturing capabilities and supporting the country’s self-reliance in this critical sector.

Lloyds Engineering Works Ltd: Over three decades of expertise in defence manufacturing, supplying critical systems to the Indian Navy and Coast Guard.

- Defence sector currently accounts for 6% of the company’s order book.

- In April 2024, the company received orders worth ₹81 crore for the Navy. We are supplying only two naval components in the said Navy Ships: Ship Steering Gear Systems and Ship Stabiliser Systems for 11 different Naval Ships each.

Strategic focus areas include:

- Product diversification in defence and aerospace manufacturing.
- Investments in advanced technology for warship self-defence systems.
- Development of systems integrating telecommunication, signal processing, and aerospace engineering.

Shreekrishna Gupta, Director of Lloyds Engineering Works Ltd, expressed enthusiasm about the partnership, saying: "This collaboration with Fincantieri marks a significant milestone in our journey, further enhancing avenues for growth within the Defence Sector. Our strategy focuses on niche segments, delivering differentiated products, driving sustainable growth and strong margins. Following the recent orders worth ₹81 crore for 11 ships for the Indian Navy, where we are supplying only two key components for each of the ships, the company is poised to build on this momentum further.

Besides, the Government of India has been tendering contracts for more than 100 ships across naval defence and coast guards, which will create additional opportunities for Lloyds Engineering. With this collaboration and the upcoming orders, we see a robust opportunity for Lloyds.

Moreover, the collaboration scope is expected to expand across multiple product lines, further broadening our offerings."

Shares of Lloyds Engineering Works Limited was last trading in BSE at Rs. 74.11 as compared to the previous close of Rs. 68.70. The total number of shares traded during the day was 1062909 in over 6005 trades.

The stock hit an intraday high of Rs. 75.54 and intraday low of 68.20. The net turnover during the day was Rs. 77314532.00.

Source : Equity Bulls

Keywords

LloydsEngineeringWorks INE093R01011 Partnership FincantieriSpA Shipbuilding