Deep Industries Ltd

- Deep Industries Limited is planning to raise approximately ₹300 crores through a Qualified Institutional Placement (QIP) equity fundraising. - The fundraise aims to support expansion, acquisitions, and capital expenditure including a ₹400-600 crores CAPEX plan, with ₹100 crores already spent and the rest planned for future. - The rationale includes maintaining low leverage, strengthening the balance sheet to capture growth, and preparing for potential acquisitions. - The company has received all necessary approvals and conducted non-deal roadshows; they are awaiting the right market timing to close the QIP, potentially by the end of the current financial/calendar year. - No mention of new debt fundraising was indicated; focus is primarily on equity through QIP.

- The company is planning a total CAPEX of ₹600 crores, with ₹100 crores already spent and the balance to be incurred in the future, including CAPEX for production and contract-related activities. - A ₹300 crore QIP fundraise is underway to support this CAPEX as well as to strengthen the balance sheet and be prepared for potential acquisitions. - The CAPEX focuses on expansion, acquisition of new assets, and production enhancement contracts. - The addition of new assets, including six rigs in the last eight months and investments in gas processing projects, is expected to drive revenue growth and margin improvement. - The company is actively evaluating acquisition opportunities and keeping options open to acquire used offshore vessels at favorable prices.

- Deep Industries expects consolidated revenue growth of more than 35% year-on-year for FY26, potentially higher depending on new assets and contracts. (Page 9, 16) - Production Enhancement Contract (PEC) revenue is anticipated at around Rs. 140 crores for FY26, with strong margin (~50% EBITDA). (Page 6, 13) - Dolphin Offshore is expected to grow over 40% YoY, targeting Rs. 100 crores top line in FY26 with asset additions planned. (Page 16) - Additional rigs and assets added in current year will contribute fully from next financial year, supporting 35%-38% growth in FY27. (Page 7, 16) - H2 FY26 is expected to have higher growth than H1, with overall continuous momentum. (Page 16) - The company is actively bidding on a pipeline of around Rs. 700 crores, with good conversion expected. (Page 6) - Gas business and other verticals maintain similar margin profiles, underpinning steady revenue growth. (Page 15)

- For FY26, Deep Industries expects revenue growth of more than 35% YoY, with potential to exceed this figure. - Operating EBITDA margins are anticipated to improve beyond the current 45%-46% range in coming quarters. - Production Enhancement Contract (PEC) is projected to generate Rs. 140-150 crores revenue from FY27 with approx. 50% EBITDA margin. - Standalone business growth remains strong, with H2 FY26 expected to outperform H1, continuing momentum of 60%-70% YoY growth. - New assets and rigs addition will contribute incremental revenues and support continued profitability. - Continued positive bottom line and profitability expected for the rest of FY26 and beyond. - Fundraise of Rs. 300 crores via QIP planned to support CAPEX, asset acquisitions, and growth opportunities, strengthening the balance sheet for future expansion.

- As of November 2025, Deep Industries' total order book has crossed Rs. 3,050 crores. - Out of this, Rs. 1,300+ crores relate to a 15-year production enhancement contract (PEC). - Excluding the PEC, about Rs. 1,650 crores of orders are executable over the next 2.5 years. - There is a bidding pipeline close to Rs. 700 crores, with a substantial portion expected to convert. - The company witnesses continuous bidding activity, indicating dynamic order inflow. - Dolphin Offshore expects strong growth with new asset additions advancing, contributing to order book expansion. - The firm expects continued growth in the order book over the coming quarters driven by production enhancement contracts, rig additions, and offshore assets.