SEAMEC Ltd

- The company plans to fund upcoming CAPEX mainly through internal accruals. - If needed, term loans will be availed to support CAPEX requirements. - No specific mention of any new equity fundraising was discussed in the call. - The company currently has a net debt position of Rs. 88 crores. - There is no indication of immediate plans for major new debt issuance beyond term loans on an as-needed basis. - Overall, the focus is on using internal resources with selective term debt borrowing to fund growth and CAPEX.

- Maintenance CAPEX is regular for all ships, involving a dry dock every 2.5 years, costing $2-3 million per dry dock, amortized over 2.5 years. - No specific budget has been earmarked currently for OSVs, but the company is open to opportunistic acquisitions of smaller vessels for long-term charters, particularly in overseas markets. - Future CAPEX for vessel replacement is estimated at $50-$60 million per medium-aged ship (10-15 years old), with plans to run existing ships for the next year and evaluate replacement opportunities closer to expiry. - CAPEX is primarily funded through internal accruals, with term loans used as needed. - Seamec intends to consolidate vessel assets under the listed entity over the next few years, including acquiring certain leased assets from HAL Offshore by 2026-27, enhancing operational and financial consolidation. - Additional CAPEX to strengthen fleet size will be considered as market growth opportunities arise.

- Seamec expects a compound annual growth rate (CAGR) of around 15% in revenue over the next 3 to 5 years, driven by strong market traction and sector growth. - Growth is supported by long-term contracts in the Indian offshore diving support vessel (DSV) segment with ONGC, ensuring stable revenue visibility for 3 to 5 years. - Contract renewals for vessels like Seamec III and Princess in FY25 are expected at higher rates, contributing to revenue growth. - Additional CAPEX is planned opportunistically to expand fleet size when market conditions are favorable, supporting volume growth. - Dollar-denominated revenues may benefit from rupee depreciation, positively impacting reported revenue. - The company anticipates sustained high-day rates globally, supporting stable to growing revenue rates in the next 3 to 5 years.

- Seamec expects a CAGR of around 15% over the next 3 to 5 years in standalone business revenue. - EBITDA margins are expected to sustain in the range of 35% to 40% on a yearly basis. - The company anticipates growth driven by increased vessel deployment, contract repricing on renewal, and favorable currency movements (rupee depreciation). - Stable revenue visibility for the next 3 to 5 years from long-term contracts, especially in diving support vessels segment with ONGC. - No immediate aggressive CAPEX, but strategic acquisitions considered for OSVs if long-term charters arise, ensuring financial strength. - Overall Margin guidance is similar or slightly better than current quarter run rates (~40%). - The company expects improvements in ROCE and ROE from current levels of 12% and 14% respectively, with operating performance growth.

- The transcript does not provide explicit details on the current or expected order book or pending orders in specific numbers or values. - However, it is mentioned that Seamec has strong visibility of revenue for the next 3 to 5 years due to long-term contracts, particularly with ONGC, in the diving support vessel segment. - The company has a three-year contract for the newly acquired OSV vessel Sea Diamond, chartered to HAL Offshore. - There is a strategic plan to consolidate HAL's assets and contracts into Seamec over the next 2-3 years when contracts come up for renewal, potentially adding Rs. 300 to Rs. 400 crore in revenue. - The management emphasized expectations of higher contract rates upon renewal and growth in contracts, contributing to steady revenue growth. - Overall, the long-term contracts and strategic acquisitions indicate a robust and growing order book, though exact order book figures were not disclosed.