Knowledge Marine & Engineering Works Limited (KMEW or the Company) has evolved into an integrated, future- ready maritime infrastructure platform. Over the years, the Company has diversified its capabilities across dredging, marine engineering, commercial shipbuilding and ancillary port services, strengthening its position across the maritime value chain.
Backed by a modern and expanding asset base, strong execution capabilities and an extensive operational network, KMEW is well positioned to deliver critical port infrastructure and marine engineering solutions across India. This integrated approach enables the Company to address the evolving requirements of ports and maritime infrastructure while creating a strong foundation for sustainable, long- term growth.
The Company operates a diversified fleet of over 45 vessels, supported by an experienced team of more than 500 dedicated personnel.
KMEWs dredging capabilities are powered by a specialised fleet of 19 dredging assets, including Trailing Suction Hopper Dredgers (TSHDs), Cutter Suction Dredgers (CSDs), Self- Propelled Grab Hopper Dredgers, Backhoe Dredgers and Hopper Barges. This strong asset base forms the backbone of the Companys dredging operations and enables KMEW to execute complex capital and maintenance dredging projects across India.
Beyond dredging, the Company plays an important role in supporting day- to- day port operations. KMEW has deployed over 27 ancillary crafts across major Ports of India. KMEWs vessels act as a vital force behind safe, reliable, and seamless maritime operations. The fleet includes - conventional tugs, mooring boats, pilot launches, high- speed patrol boats, multi- cat support vessels, and survey vessels with advanced multi- beam and single beam equipment.
During the year, KMEW Group has aligned its long- term vision with the Honourable Prime Ministers Amrit Kaal Vision 2047, under which the Government has increased its focus on the Blue Economy, domestic shipbuilding and the Make in India initiative.
Following the above vision, the Company, through its subsidiary, has acquired a workshop at Taloja which is capable of building upto 22- metre length boats and is equipped with 10- ton EOT cranes, 10m CNC cutting machine, drilling, bending, and lathe machines, along with an on- site office, primarily used for wheelhouse and panel fabrication, hull construction, simultaneously, ensuring efficient workflow and quality production.
Further strengthening and aligning its long- term shipbuilding ambitions and vision of Honourable Prime Minister, the KMEW Group, has acquired land near Sapha, with waterfront access to the Vaitarna River having strategic proximity to the upcoming Vadhavan Port. The proposed shipyard is planned to be developed in three phases and is expected to significantly expand Groups shipbuilding, repair and marine engineering capabilities.
Together, these capabilities position the Group as an integrated maritime infrastructure company with presence across dredging, port support services, marine engineering and shipbuilding, creating a strong platform for its next phase of growth.
In the shipbuilding segment, the Group is undertaking the design, construction and supply of Cutter Suction Dredgers, Accommodation Boats, Work Boats, 60 ton bollard pull conventional and green tugs for Inland Waterways Authority of India and private companies. These vessels are being built under the vision of Honourable Prime Ministers Amrit Kaal Vision and Make in India concept to support Indias growing maritime and infrastructure requirements.
Dredging is an essential, albeit often unseen, cornerstone of global maritime infrastructure and coastal management. The process involves the excavation of sediments, soil, and debris from the bottom of water bodies such as lakes, rivers, harbors, and coastal areas. By deepening and maintaining the requisite depth at navigational channels and port entrances, dredging facilitates and ensures smooth supply chain of international trade and protects coastal communities. As nations strive to accommodate massive modern cargo vessels and fortify their infrastructure, the global dredging market has become a multi- billion- dollar industry marked by steady growth, technological advancement, and a renewed focus on environmental sustainability.
The global market for dredging and marine engineering services has been growing at a CAGR of 8.5% 8.5% from CY19 to CY23 reaching market size of USD 22.3 billion by CY23. The market size for CY24 has been estimated at USD 23.1 billion and is expected to further grow at a CAGR of 3.5% 3.5% from CY24 to CY29, reaching market size of USD 27.4 billion by CY29.
In USD Bn Source: CareEdge Report - Industry Research Report on Dredging & Marine Engineering Services
The Indian dredging and marine engineering market is entering an unprecedented growth phase, significantly outpacing the global industrys growth rate. Driven by ambitious government infrastructure frameworks, expanding trade volumes, and a strategic shift toward sustainability, the domestic market is transforming rapidly. The demand for deeper channels and expanded port capacities has created a highly lucrative environment for marine infrastructure players in India. The Indian market for dredging and marine engineering services has been growing at a CAGR of 8.1% 8.1% from CY19 to CY23 reaching market size of USD 615 million by CY23. The market size for CY24 has been estimated at USD 655 million and is expected to further grow at a CAGR of 8.4% 8.4% from CY24 to CY29, reaching market size of USD 982 million by CY29.
In USD Mn Source: CareEdge Report - Industry Research Report on Dredging & Marine Engineering Services
The global dredging and marine engineering market is strategically divided among several key industries. Each sector utilizes these services for distinct, specialized applications, driving the demand for both capital and maintenance dredging.
Governments and public port authorities historically hold the dominant share of the dredging market. This segments
dominance is driven by substantial, continuous state investments in national infrastructure, maritime trade, and coastal security. As global supply chains expand, governments must continually invest in capital dredging to deepen existing navigational channels and berths to accommodate modern, mega- sized container vessels. Governments are the sole entities responsible for developing, maintaining, and upgrading naval and military ports, which require regular dredging to ensure operational readiness for national defence fleets. This share is expected to rise as emerging economies place greater emphasis on the upkeep of their waterways and the development of entirely new port facilities to foster regional economic growth.
The offshore oil and gas sector is the second- largest consumer of dredging and marine engineering services. Operations in this sector are highly capital- intensive and require precise, specialized engineering. Dredging is critical for creating deep- water access channels to remote offshore drilling locations, allowing heavy support vessels and rigs to navigate safely. Marine engineering services are heavily utilized to excavate protective trenches along the seabed. These trenches securely house underwater pipelines that transport oil and gas from offshore platforms back to onshore refineries. Dredgers are used to prepare the seabed, level foundations, and construct the massive offshore platforms required for deep- sea drilling operations. Maintenance dredging ensures that the logistics routes remaining open and accessible for the large tankers required to transport oil and gas supplies globally.
While occupying a smaller overall market share, the mining sector relies on dredging for highly specialized underwater extraction operations. Dredging equipment is specifically deployed to clear top- level sediment and uncover access to mineral- rich areas located beneath the seabed or at the bottom of riverbeds. Placer mining is a crucial application where marine engineering is used to safely extract valuable heavy minerals, such as gold, diamonds, or titanium, that have naturally accumulated in submerged sand and gravel deposits over time.
The remainder of the market is composed of various private, commercial, and environmental applications. This includes private marine development, localized land reclamation projects for commercial real estate, offshore wind farm installations, and targeted environmental remediation projects designed to remove contaminated sediments from historical industrial waterways.
The most fundamental driver of the dredging market is the continuous expansion of global trade, which relies heavily on accessible water routes. To accommodate massive modern cargo ships, ports require continuous capital dredging to deepen navigational channels and maintenance dredging to clear natural siltation. To maximize operational and fuel efficiency, modern commercial shipping lines are deploying significantly larger vessels, such as mega- container ships.
Maritime Amrit Kaal Vision 2047: This overarching strategy commits nearly 80 Lakh Crore in investments for maritime growth, focusing heavily on developing global- standard mega- ports and expanding inland waterways for efficient transport.
The Sagarmala Programme: Strategically targeted for implementation by 2035, this program features 839 projects worth an estimated - INR 5.79 Lakh Crore. Focused on port modernization, connectivity, and port- led industrialization, it provides multi- year visibility for large- scale capital dredging campaigns. As of 2026, 272 projects have been completed, and 214 are under active implementation.
Indias extensive coastline and river systems create massive, continuous siltation that naturally blocks harbor depths. According to the Ministry of Ports, Shipping and Waterways (MoPSW), approximate siltation at Indian ports totals 84.26 million cubic meters (mcm) annually. Major trade hubs like Cochin Port Trust (22.20 mcm), Deendral Port Trust (14.95 mcm), and Syama Prasad Mookerjee Port Trust (11.10 mcm) face recurring, high- volume silt accumulation. This creates a non- discretionary, recurring demand for maintenance dredging services, providing stable revenue streams for domestic marine operators.
Driven by rapid industrialization, the Indian maritime sector is witnessing a sharp increase in trade volumes. To optimize cargo logistics, shipping lines are utilizing much larger modern vessels. This creates an urgent, ongoing need to deepen navigation channels, harbor mouths, and alongside cargo berths from existing levels to deeper design depths (ranging from 6 meters up to 17 meters) so large ships can navigate safely without running aground.
The industry is moving toward highly specialized, technologically advanced dredging machinery and vessels. Product innovations that increase dredging depth capabilities, enhance material extraction precision, and improve fuel efficiency are expanding market growth by making previously unviable or highly complex marine engineering projects possible.
The international sector for owning, managing, and chartering port ancillary vessels is undergoing consistent growth, playing an indispensable role in maintaining the fluidity of global shipping and port operations. These port ancillary crafts comprise of a wide array of specialized crafts including tugboats, pilot launches, mooring boats, security patrol vessels, etc. Global commercial ports depend entirely on these support vessels to execute mission- critical tasks, such as manoeuvring large ships in and out of narrow berths, aiding in cargo handling, and conducting urgent sea rescue operations.
The demand for port ancillary vessels is directly proportional to the volume of global maritime logistics. According to recent data, global seaborne trade has exceeded 11 billion tonnes annually. To support this massive volume of trade, the broader Global Marine Ports and Services Market is valued at an estimated USD 90.2 billion in 2026 and is projected to grow at a CAGR of 4.7% to reach USD 124.4 billion by 2033. The Asia Pacific region is the definitive epicentre of this growth, handling approximately 65% of global container traffic and leading the demand for integrated logistics, vessel pilotage, and harbor support crafts.
The Indian market for owning, operating, and chartering port ancillary crafts is at expansion phase, and is very lucrative business. The Charter, hire business is primarily driven by continuous investments in national port infrastructure and a rising demand for highly specialized marine vessels.
Valued at USD 135.34 million in 2024, this sector acts as the operational backbone of maritime logistics across Indias 12 major and 217 non- major ports, ensuring that large commercial ships can safely navigate, berth, and exit harbor limits. Over the forecast period running from 2025 to 2029, the industry is projected to grow at a steady Compound Annual Growth Rate (CAGR) of 6.66%, scaling from an estimated USD 454 million in 2024 to a projected valuation of USD 626 million by 2029. This upward trajectory signals a thriving domestic maritime economy that is actively modernizing its support fleet to handle expanding international trade volumes.
Within this expanding landscape, the tugboat vertical has emerged as the single most dominant and rapidly consolidating segment. Reflecting the operational necessity of managing increasingly larger modern cargo ships in tight harbor basins, the market share for tugboats has risen steadily from 40.0% in 2019 to 40.7% in 2024, with projections indicating it will command 41.4% of the entire industry by 2029. Beyond towing and docking manoeuvres, the rest of the market space is occupied by a diverse mix of vital support craft. By 2029, mooring boats are expected to secure a 15.4% share, followed by high- visibility pilot boats at 11.2% for transporting maritime pilots, speed patrol boats at 9.0% for critical security and ISPS compliance, and other specialized platforms like multi- beam survey vessels and multicast launches making up the remaining 23.0% of the market.
This robust growth is deeply supported by sweeping government modernization frameworks, most notably the Sagarmala Project, which acts as a primary catalyst for upgrading port facilities and boosting support craft demand. Simultaneously, the Maritime Amrit Kaal Vision 2047 has introduced the flagship Green Tug Transition Program (GTTP) to accelerate decarbonization across harbor ecosystems. This program enforces a phased replacement of legacy diesel harbor tugs with electric or hybrid alternatives, aiming for a complete green transition by 2040 and opening up highly predictable, 15- year chartering opportunities for modern operators.
These aggressive national frameworks are closely paired with continuous advancements in vessel design. Technological innovations in hull hydrodynamics, alternative propulsion systems, and advanced navigation tools are structurally reshaping fleet profiles by lowering fuel consumption, minimizing vessel downtime, and reducing overall operational costs.
In USD Mn Source: CareEdge Report - Industry Research Report on Dredging & Marine Engineering Services
The Shipbuilding industry is critical to Indias strategic and economic interests and is characterised by high growth potential. Shipbuilding has spin offs to other industries, including steel, engineering equipment, port infrastructure, trade and shipping services and the labour market. The indirect potential of shipbuilding industry in employment generation and contribution to GDP is therefore tremendous. India has about 11,000 kilometres long coastline, around 32 shipyards, 12 major ports and 200 ports under states jurisdiction. This presents huge scope for development of the shipbuilding sector, considering that the countrys opportunities in the sector have not been fully utilised.
The Indian Ship- Building Industry can broadly be categorized into following categories:
1. Large ocean-going vessels catering to overseas as well as coastal trade
2. Medium size specialized vessels like Port Crafts, Fishing Trawlers, Offshore vessels, Inland and other smaller crafts
3. Defence /Naval crafts and Coast Guard Vessels.
In USD Mn Source: CareEdge Report - Industry Research Report on Dredging & Marine Engineering Services
Indias market for shipbuilding and the repair of ancillary marine crafts has shown fluctuating trends from 2019 to 2029, with an overall positive growth trajectory. The market was valued at USD 665 million in calendar year 2019, but saw a decline to USD 555 million in 2020, reflecting a 16.5% 16.5% drop largely attributed to the disruptions caused by the COVID 19 pandemic. A recovery began in 2021, with an 8.2% 8.2% growth to USD 601 million, followed by another contraction of 8.6% 8.6% in 2022, which brought the market down to USD 549 million. These fluctuations highlight the challenges posed by global supply chain disruptions and diminished demand during the pandemic. In 2023, the market rebounded significantly, growing by 33.1% 33.1% to USD 732 million, with projections indicating further growth to USD 937 million in 2024, a rise of 28.1% 28.1% . From 2025 to 2029, the market is expected to grow at a CAGR of 33.2% 33.2% , reaching USD 4,084 million by 2029.
In September 2025, the Government of India unveiled a massive 69.725 69.725 crore financial package focused on shipbuilding and maritime reforms to aggressively boost the domestic maritime infrastructure sector. A core component of this overhaul is the Shipbuilding Financial Assistance Scheme (SBFAS), which has been allocated an outlay of 24,736 24 , 736 crore to provide direct financial support, offer ship- breaking credit notes, and steer domestic manufacturing through the newly established National Shipbuilding Mission. To ensure robust capital access and commercial viability, a 25,000 25 , 000 crore Maritime Development Fund has been set up with a strict focus on equity investments and interest incentivization schemes. Furthermore, the Shipbuilding Development Scheme, backed by a 19,989 19 , 989 crore outlay, offers targeted capital support, comprehensive risk coverage, and capacity- building frameworks specifically designed to develop specialized domestic shipbuilding clusters. Finally, to dramatically lower financing barriers and accelerate sectoral growth, the government has officially granted Infrastructure Status to large ships, paving the way for easier capital deployment and fleet expansion across the domestic shipbuilding landscape.
The analysis of various facets of the global and the Indian shipbuilding industry clearly shows that India needs to look at multiple interventions including in the areas of Regulatory framework, Investment policies, Trade policies, Fiscal policies, Infrastructure, R&D, Skill, Financing, Process, Collaboration and Technology.
The year marked a record expansion in KMEWs order book, with the total balance order book reaching 1,395 1 , 395 crore at year- end.
During the year, the Company secured 11 new contracts aggregating 1,075 1 , 075 crore across dredging, chartering and shipbuilding, representing the highest annual order inflow in KMEWs history.
This milestone reflects the growing confidence of customers in KMEWs technical capabilities, execution track record and ability to deliver complex, high- value maritime projects. It also highlights the success of the Companys strategy to evolve into a diversified and integrated maritime solutions provider.
With orders spread across multiple business segments, KMEW has strengthened the diversity of its revenue base, improved medium- to long- term earnings visibility and created a stronger foundation for sustained growth.
During the year, the Company successfully executed a capital dredging contract awarded by the Dredging Corporation of India Limited for clearing hard patches in the North Dock Complex of Paradip Port.
The project involved dredging to achieve the required design depths from 6 metres to 17 metres and was executed using KMEWs self- propelled grab hopper dredger, River Pearl 2. KMEW successfully dredged approximately 84,000 cubic metres, within the stipulated timeline of 120 days and generated revenue of 8.88 crore.
The successful and timely execution of this challenging assignment further strengthened KMEWs credentials in complex dredging operations. Building on this performance, the Company subsequently secured a maintenance dredging order at Paradip Port, reflecting continued customer confidence and reinforcing KMEWs position as a trusted dredging execution partner.
During the year, KMEW successfully executed a critical Rock Dredging project awarded by Dredging Corporation of India Limited at Jawaharlal Nehru Port Authority.
The scope involved removal of underwater pinnacles and high spots and deepening the navigational depth up to 16 metres. The project required controlled underwater blasting, precision drilling and excavation of ultra- hard rock with compressive strength exceeding 170 MPa. Its proximity to the jetty further increased the technical complexity, requiring stringent safety controls and highly precise execution.
To meet these specialised requirements, the Company developed and deployed its self- propelled backhoe dredger, River Pearl 47, showcasing KMEWs ability to combine in- house engineering expertise with specialised marine execution capabilities.
The Company successfully dredged approximately 10,500 cubic metres within 90 days. The successful integration of controlled blasting, precision drilling and rock dredging reinforces KMEWs capability to execute technically demanding and high- risk marine infrastructure projects with precision, safety and operational excellence.
This year, KMEW achieved another major milestone with the construction and deployment of River Pearl 47, Indias largest and deepest Indian- flag self- propelled backhoe dredger.
Designed to operate at dredging depths ranging from 4 metres to 30 metres, River Pearl 47 is powered by a 1,000 BHP engine and equipped with a 200- ton- class Komatsu PC2000 excavator. Its flexible bucket capacity, ranging from 1.75 m3 for hard- rock dredging to 12 m3, enables the vessel to efficiently operate across diverse seabed conditions and project requirements.
River Pearl 47 strengthens KMEWs capability to undertake a wide range of specialised works, including port and harbour development, hard- rock removal, trenching and pipeline works, environmental dredging and operations in confined areas. Its self- propelled design also provides enhanced mobility, faster deployment and greater operational flexibility.
The Company achieved a significant breakthrough by securing two prestigious green tug contracts from Visakhapatnam Port Authority and V.O. Chidambaranar Port Authority, with combined revenue potential of 690 crores to be executed over a period of 15 years.
These contracts represent the highest- value and longest- tenure orders secured in KMEWs history, marking a defining milestone in the Companys growth journey. Importantly, KMEW possesses the capabilities and technical expertise to build these vessels in- house, reflecting the growing depth of its shipbuilding, engineering and marine operational
capabilities.
The awards also mark KMEWs formal entry into the Green Tug segment, strategically aligning the Company with the Government of Indias Green Tug Transition Programme (GTPP) and the broader national vision of developing cleaner, greener and more energy- efficient port operations.
With these milestone wins, KMEW is strengthening its long- term revenue visibility while establishing a meaningful presence in an emerging segment of Indias maritime economy. The contracts position the Company to actively participate in the nations transition towards sustainable port operations and reinforce its ambition to be at the forefront of Indias green maritime transformation.
KMEW Group has made a decisive entry into the commercial shipbuilding segment by securing three strategic contracts from the Inland Waterways Authority of India.
With a combined order value of over 230 crore, these contracts involve the design, construction and supply of Port ancillary crafts and Cutter suction Dredgers.
This entry represents an important step in KMEWs evolution from a dredging- focused company into an integrated maritime solutions platform, combining dredging, vessel operations, marine engineering and shipbuilding capabilities under one ecosystem.
KMEWs adoption of the Government of Indias Tonnage Tax Scheme has significantly improved the Companys earnings efficiency, helping reduce its effective tax burden by over 90% 90%
Under the scheme, eligible income is taxed based on the tonnage of qualifying vessels rather than their actual accounting profits. This results in meaningful tax savings, improves operating cash flows and provides the Company with greater financial flexibility.
The additional cash generated can be reinvested towards fleet expansion, acquisition and construction of new vessels and future growth initiatives, further strengthening KMEWs long- term maritime capabilities.
During the year, KMEW successfully strengthened its capital base by raising 284.81 crore through a preferential issue of equity shares and convertible warrants.
The fund raise represents an important milestone in the Companys growth journey and provides additional financial strength to support its expanding operations, fleet augmentation, shipbuilding initiatives and other strategic growth opportunities.
With a stronger balance sheet and enhanced financial flexibility, KMEW is well positioned to pursue the next phase of its growth across Indias rapidly expanding maritime infrastructure landscape.
For FY26, our consolidated revenue from operations increased by 27% 27% to 256 crore, compared to approximately 201 crore in FY25, reflecting healthy growth across our business verticals. More importantly, the Company continued to sustain strong profitability, with EBITDA of 97 crore and an EBITDA margin of 38% 38% , underscoring our disciplined approach to project selection, efficient execution and strong cost management. Profit after tax stood at 79 crore, translating into a robust PAT margin of 31% 31% , reflecting the strength of our earnings quality and the Companys ability to convert operational performance into sustainable shareholder value.
2025- 26, KMEW contributed 99.32 lank towards initiatives focused on education and preventive healthcare, in collaboration with the Well Wisher Education & Social Welfare Society. These initiatives were directed towards improving access to essential healthcare services and educational support for underprivileged and underserved sections of society.
| Particulars | Financial Year 2025-26 | Financial Year 2024-25 | % Change |
| Debtors Turnover Ratio | 4.26 | 3.95 | 8% |
| Interest Coverage Ratio | 5.25 | 7.3 | -29% |
| Current Ratio | 0.84 | 1.53 | -45% |
| Debt-equity Ratio | 0.41 | 0.48 | -16% |
| Operating Profit Margin Ratio | 0.39 | 0.38 | 3% |
| Net Profit Margin Ratio | 0.35 | 0.23 | 48% |
| Return on Equity | 0.14 | 0.18 | -21% |
a. The above ratios were based on Standalone Financial Statements of the Company.
b. Definitions of ratios:
At KMEW, we believe human capital to be one of its most valuable assets and a key enabler of sustainable growth. During FY2025- 26, the Company continued to invest in attracting, developing, engaging and retaining skilled talent across its onshore and offshore operations.
KMEW aims to build a performance- driven, collaborative and inclusive workplace by providing employees with opportunities for continuous learning, increased responsibility and career progression.
Internal talent development is encouraged through job rotation, role enhancement, cross- functional exposure and the
delegation of responsibilities, enabling employees to develop broader technical, operational and managerial capabilities.
KMEW continues to promote a unified organisational culture under the philosophy of One Team - One Plan - One Goal. This approach encourages coordination between project teams, vessel crews, technical personnel and corporate functions, ensuring that employees across locations work towards common business and operational objectives.
KMEWs workforce combines the experience of seasoned maritime professionals with the energy and agility of a young leadership team comprising naval architects, marine engineers, mechanical engineers, chartered accountants, company secretaries, legal professionals and other specialists. This diverse pool of expertise has strengthened the Companys execution capabilities and supported its expansion across dredging, vessel chartering, shipbuilding, inland waterways and green marine solutions.
The Company encourages employees at all levels to contribute ideas, identify operational improvements and participate in problem- solving. This bottom- up approach promotes innovation, strengthens employee ownership and enables valuable ideas to be implemented consistently across the organisation. It also enhances the Companys ability to respond effectively to complex project requirements and changing business conditions.
As the Company expands its operations and undertakes larger and more technically advanced maritime projects, KMEW will continue to focus on building a strong talent pipeline, developing future leaders and maintaining a safe, collaborative and high- performance work environment.
At KMEW, responsible growth extends beyond business performance. The Company recognises that sustainable value creation also requires a meaningful contribution to society and the communities connected with its operations. Accordingly, Corporate Social Responsibility forms an important part of KMEWs broader approach to responsible and inclusive growth.
During FY 2025- 26, KMEW contributed 99.32 lank towards initiatives focused on education and preventive healthcare, in collaboration with the Well Wisher Education & Social Welfare Society. These initiatives were directed towards improving access to essential healthcare services and educational support for underprivileged and underserved sections of society.
The Company believes that access to education creates opportunities for long- term social and economic progress, while preventive healthcare plays an equally important role in improving quality of life and strengthening community well- being. By supporting these fundamental areas, KMEW seeks to contribute to initiatives that can create meaningful benefits beyond the immediate term.
KMEWs CSR approach is guided by a clear objective - to support credible, need- based and outcome- oriented programmes that address genuine social requirements and create a lasting impact. The Company remains conscious of the need to deploy its CSR resources responsibly and towards initiatives that are capable of delivering tangible benefits to beneficiaries.
The contribution made during the year also reflects the Companys belief that corporate growth and community development should progress together. As KMEW expands its presence and undertakes projects across different regions, it remains mindful of its responsibility towards the broader social ecosystem in which it operates.
For KMEW, Corporate Social Responsibility is not viewed merely as a statutory obligation, but as a responsibility towards society and a commitment to shared progress. The Company seeks to build long- term relationships with communities by supporting initiatives that promote dignity, opportunity, health and social inclusion.
Going forward, KMEW will continue to evaluate meaningful areas of intervention and collaborate with suitable institutions to enhance the reach and effectiveness of its CSR initiatives. The Company remains committed to ensuring that its growth journey is accompanied by a positive, responsible and enduring contribution to society.
1. Amrit Kaal Vision
The Maritime Amrit Kaal Vision 2047 is the Government of Indias long- term strategic roadmap to transform the country into a globally competitive, technologically advanced and environmentally sustainable maritime power by 2047. Launched during the Global Maritime India Summit 2023, it builds on the Maritime India Vision 2030 and provides a comprehensive framework for the development of Indias ports, shipping, shipbuilding, inland waterways, coastal transport and maritime logistics ecosystem. The roadmap was developed through more than 150 stakeholder consultations and the study of over 50 international benchmarks, and contains more than 300 actionable initiatives across 11 broad themes. At its core, the vision seeks to use Indias extensive coastline, navigable rivers and strategic geographical position to strengthen the countrys Blue Economy. It aims to reduce logistics costs, expand maritime capacity, increase the movement of cargo and passengers through waterways, improve Indias share in global shipping and create a strong domestic ecosystem for vessel construction, repair, recycling and marine services. The broader roadmap envisages investments of nearly ? 80 lakh crore across ports, coastal shipping, inland waterways, shipbuilding and green maritime infrastructure by 2047.
Core Focus Areas:
Development of World-class Ports Promotion of Domestic Shipbuilding & Ship Repair Expansion of Inland Waterways Shipping & Logistics Green Maritime Transition Technology, Skills & Innovation
The Sagarmala Programme is the Government of Indias flagship initiative for promoting port- led development and improving the efficiency of the countrys maritime logistics network. Launched in March 2015 under the Ministry of Ports, Shipping and Waterways, the programme seeks to use Indias coastline, ports and navigable waterways as engines of industrial growth, trade, employment and regional development. The central idea behind Sagarmala is that ports should not function merely as points for loading and unloading cargo. Instead, they should become integrated economic gateways connected to industrial clusters, logistics parks, highways, railways, inland waterways and coastal communities. By reducing the distance, cost and time involved in moving goods between production centres and ports, Sagarmala aims to improve the global competitiveness of Indian industry. As of 24 March 2026, the programme comprised 845 projects involving an estimated investment of approximately ? 6.06 lakh crore. Of these, 315 projects worth ? 1.57 lakh crore had been completed, while the remaining projects were under implementation or development.
Programme Snapshot 845 Projects under Sagarmala ? 6.06 Lakh crore total project pipeline 315 Projects complete worth 1.57 lakh crore 210 Projects under implementation 320 Projects in Planning
Five Pillars Port Modernization & New Port Development Capacity expansion, mechanisation, efficiency & new port creation
Port Connectivity Enhancement Better road, rail, coastal shipping & inland waterway links
Port-led Industrialisation Industrial clusters & logistics ecosystems near ports
Coastal Community Development Skills, fisheries, tourism & livelihood support
Coastal Shipping and Inland-water Transport Shift cargo to efficient, lower cost water transport
There are 111 officially notified Inland National Waterways (NWs) in India identified for the purposes of inland water transport. As of late 2025 and early 2026, 32 National Waterways were operational for some combination of cargo or passenger movement. The Union Budget 2026- 27 also announced plans to operationalise 20 additional National Waterways over the following five years, indicating that the next phase will focus on moving more waterways from legal designation to actual commercial use. Cargo traffic on National Waterways has increased from 18.10 MMT to 145.5 MMT between FY- 14 and FY- 25, recording a CAGR of 20.86% 20.86% . In FY- 25, traffic movement registered a growth of 9.34% 9.34% year- on- year from FY- 24.
MAP OF INDIA SHOWING IMPORTANT WATERWAYS
The Green Tug Transition Programme, a key initiative aligned with the Maritime Amrit Kaal Vision 2047, was announced on 22 May 2023 by Shri Sarbananda Sonowal as part of the Panch Karma Sankalp to accelerate Indias transition towards cleaner and more sustainable maritime operations.
Phase-wise Transition
Phase 1 4 major ports, 2 tugs each. 16 battery-electric tugs deployed at the end, Pilot & proof of concept 2024-2027
Phase 2 Scale to all major ports 30% of operational tug fleet to be made ASTDS-GTTP compliant 2028-2030
Phase 3 60% of operational tug fleet to be made ASTDS-GTTP compliant 2031-2033
Phase 4 100% of operational tug fleet of ports under MoPSW to be made ASTDS-GTTP compliant 2034-2036
Phase 5 Finalization if action plans for all ports in India 100% transition of the operational tug fleet to be ASTDS-GTTP compliant tugs. 2037-2040
60% Increased renewable power usage at major ports 30% Carbon emission reduction per tonne of cargo 30% Port vessel emission reduction by 2030
5. Harit Nauka Guidelines
The Harit Nauka initiative, formally titled Harit Nauka - Inland Vessels Green Transition Guidelines, is the Government of Indias framework for moving inland- waterway vessels away from conventional fossil fuels and towards cleaner, low- emission and zero- emission technologies. Its long- term objective is to establish an ecosystem in which passenger ferries, cargo vessels, cruise vessels, workboats and other inland crafts can progressively transition to green propulsion, with the broader ambition of achieving 100% 100% green vessels in Indian waters by 2047.
Green Vessel Ecosystem Promote green inland vessels & operational support systems
Supporting Infrastructure Develop charging, bunkering, maintenance & terminal readiness
Safe Passenger Mobility Enable cleaner & safer ferry & public transport services
Shipbuilding Capability Strengthen indigenous design & construction under Make in India
Financing Support Encourage funding mechanisms for vessels & green infrastructure
The Shipbuilding Financial Assistance Scheme (SBFAS) is a Government of India incentive scheme designed to make Indian shipyards more competitive by providing direct financial assistance for eligible vessels built in India.
Under SBFAS, the government provides financial assistance to Indian shipyards as a percentage of the vessel value. The assistance is calculated on the lower of the contract price or fair price of the vessel. The broad assistance rates are:
| Vessel category | Financial Assistance available |
| Conventional Vessel | Flat 14% of the value |
| Hybrid or Electric (Battery operated) Propulsion Vessels | Flat 20% of the value |
| Alternative/Green Fuel (Ammonia/Hydrogen/Methanol Fuels Cells) | Flat 30% of the value |
The scheme is also linked to indigenous manufacturing. A vessel must meet minimum domestic content requirements to receive support:
| Domestic content | SBFAS support |
| Less than 30% | Nil |
| 30% to below 40% | Pro-rata support |
| 40% and above | Full support |
The financial assistance is not paid entirely at the end. It is released in stages against construction milestones:
| Milestone | Share of assistance released |
| Keel laying | 30% |
| Launching | 40% |
| Delivery | 30% |
WHO GETS THE ASSISTANCE? Paid to the Indian shipyard constructing the vessel (not to the owner). Shipyard must be in India with waterfront access, docks/ slipways/ ship lifts and undertake construction, assembly, outfitting in India.
CONTRACTS COVERED Private, Govt., PSU orders Tenders / Nomination / Negotiation Export shipbuilding orders Export defence orders (excluding weapon systems)
Contracts signed from 24 SEP 2025 eligible (approval by 31 MAR 2036)
STAGE-WISE DISBURSEMENT (Milestone linked) KEEL LAYING 30% LAUNCHING 40% DELIVERY 30%
Keel laying & launching tranches require approved security instrument (BG / surety bond / PSU corporate guarantee). Security released after delivery & final payment.
The Company follows a structured and proactive approach to risk management, aimed at safeguarding its operations, financial performance and long- term strategic interests. Risks arising across business functions are identified and evaluated on an ongoing basis, with suitable controls and mitigation plans integrated into operational and decision- making processes. The Board of Directors periodically oversees the risk management framework to ensure its continued effectiveness and alignment with the Companys evolving scale and business environment.
The principal risks faced by the Company and the measures adopted to mitigate them are set out below:
The marine engineering and maritime infrastructure sectors remain highly competitive, with participation from both large established players and smaller operators. Aggressive bidding by some market participants may create pricing pressure and impact margins.
KMEW addresses this risk through disciplined bidding, specialised technical capabilities, control on capex and opex cost, owned marine assets and a strong focus on quality, safety and timely execution. The Company also continues to diversify across dredging, vessel chartering, shipbuilding, inland waterways and green marine solutions to reduce dependence on any single business segment.
Technological transformation in the maritime sector is advancing at an unprecedented rate, including the adoption of automation, digital monitoring systems, artificial intelligence, advanced vessel- design technologies, alternative propulsion systems and energy- efficient equipment. Failure to adopt current relevant technologies in a timely manner may affect operational efficiency, competitiveness, safety and the Companys ability to participate in technically complex projects. The development of green propulsion, battery- powered vessels and low- emission marine systems may also require specialised technical capabilities and investment.
At KMEW, we address this through ongoing technology evaluation, modern equipment, employee training and growing capabilities in green tugs, electric vessels and specialised marine crafts.
Economic slowdowns, fluctuations in global trade, reductions in infrastructure expenditure and changes in government budgetary allocations may affect the demand for dredging, port- development, shipbuilding and marine- engineering services. Further, geopolitical conflicts, international trade restrictions, volatility in crude- oil prices, disruptions to global shipping routes may increase operating costs, affect procurement schedules and disrupt supply chains.
KMEws diversified order book, long- term contracts, presence across multiple maritime segments and prudent financial position provide resilience against such uncertainties. KMEw has also Risk Management Committee and allied team which monitors macroeconomic and geopolitical developments and adopts appropriate procurement and project- planning strategies.
Delays in the availability of specialised marine equipment and components may impact project timelines and costs. The Company mitigates this through advance procurement planning, a diversified vendor base, strategic supplier relationships and increased localisation wherever feasible.
Marine operations are exposed to weather, tidal and environmental conditions that may affect project execution. KMEw manages this through seasonal planning, weather monitoring, established safety procedures and project- specific contingency measures.
KMEw undertakes large and technically complex projects that may be exposed to delays, cost overruns, equipment breakdowns, changes in scope, site- related challenges and non- achievement of contractual milestones and site.
KMEw mitigates these risks through experienced project teams, owned marine assets, detailed planning and close coordination with customers and stakeholders, which support timely and efficient project execution.
The Companys growing presence in shipbuilding exposes it to risks associated with vessel design, engineering modifications, procurement of specialised components, classification approvals, construction delays, quality standards, sea trials and performance guarantees. Projects involving green tugs, electric passenger vessels, work boats and other specialised marine crafts may require new technical expertise and coordination with multiple design, technology and certification partners.
KMEw is strengthening this segment by deployment of highly skilled professionals, qualified naval architects, marine engineers and project professionals, implementing strict quality- control processes, undertaking phased project monitoring and maintaining close coordination with classification societies, customers and statutory authorities
A significant portion of the Companys business is derived from Government and port- related organisations, which may expose it to delays in tendering or approvals.
KMEw continues to reduce this risk through customer diversification, multiple business segments and an increasing share of long- duration contracts, improving revenue visibility.
Imported equipment and marine components may be affected by currency movements, duties and international supply disruptions. The Company manages this through advance procurement, favourable commercial terms, localisation initiatives and regular monitoring of foreign currency exposure
The Company has established a comprehensive and well- defined internal control framework that is commensurate with the size, scale and complexity of its operations. The framework is designed to support the orderly and efficient conduct of business, safeguard the Companys assets, maintain the accuracy and reliability of financial information, ensure compliance with applicable laws and regulations and promote accountability across the organisation.
The internal control system forms an integral part of the Companys day- to- day operations and covers both financial and operational activities. It is supported by clearly defined policies, approval mechanisms, standard operating procedures and
periodic management reviews.
The framework broadly focuses on the following key areas:
? effectiveness and efficiency of business and operational processes;- proper utilisation, protection and monitoring of the Companys assets and resources;- control and review of capital expenditure and operating expenditure;- systematic evaluation, plann ing and bidding of tenders in accordance with prescribed commercial, technical and profitability parameters;- conduct of site visits, technical assessments and pre-project and post-project surveys, wherever required;- monitoring of project execution, costs and operational performance against approved budgets and timelines;- compliance with applicable statutory and regulatory requirements, internal policies and delegated authority limits;- accurate, complete and timely recording of financial and operational transactions; and- timely identification of deviations and implementation of corrective measures.
Considering the project- based nature of the Companys operations, particular emphasis is placed on project budgeting, cost control and performance monitoring. Project costs, capital expenditure and operating expenses are periodically reviewed against approved plans and budgets. Significant variations, if any, are analysed by the Management and appropriate actions are taken to maintain financial discipline and operational efficiency.
The Company also follows defined processes for evaluating new business opportunities and tender participation. Commercial, technical and financial parameters are reviewed before bidding to ensure that projects are undertaken in line with the Companys risk appetite, operating capabilities and targeted returns.
The internal audit function provides an additional layer of independent oversight. During FY 2025- 26, the Company engaged M/s RSSA & Associates, Chartered Accountants, Mumbai, to review the adequacy and operating effectiveness of its internal financial controls, operational processes and statutory compliance systems. The internal audit covers key functions and processes and identifies areas where controls or procedures may be further strengthened.
The findings and recommendations arising from internal audits are periodically presented to the Audit Committee. The Audit Committee reviews significant observations, evaluates the adequacy of the existing control environment and monitors the implementation of corrective and improvement measures by the Management.
The Companys financial reporting process is also supported by a structured system of checks and approvals. The financial statements are prepared in accordance with applicable accounting standards and the significant accounting policies adopted by the Company. These policies are periodically reviewed by the Management and are placed before the Audit Committee and the Board of Directors, wherever required.
Transactional controls embedded in the Companys ERP system support the recording and processing of financial transactions through defined authorisation levels, segregation of responsibilities and maintenance of appropriate supporting documents. These system- based controls, together with the Companys standard operating procedures and approval framework, help strengthen the reliability and integrity of financial information.
The adequacy and operating effectiveness of the Companys internal financial controls over financial reporting were assessed during the year with reference to the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
Based on the assessments and reviews carried out during FY 2025- 26, no material weakness or significant deficiency was observed in the design or operation of the internal financial controls.
The Company recognises that internal controls are an evolving process and need to be continuously reviewed as the business expands, operations become more diverse and new systems and processes are introduced. Accordingly, KMEW continues to strengthen its control environment through periodic audits, management reviews, process improvements and timely implementation of recommendations.
Internal financial controls, by their inherent nature, provide reasonable and not absolute assurance against material misstatement, operational failures or non- compliance. Their effectiveness may also be influenced by changes in business conditions, systems and the level of adherence to established policies and procedures.
Based on the overall assessment undertaken during the year, the Board of Directors is of the view that the Companys internal financial control systems were adequate and operating effectively during FY 2025- 26. Further, there were no instances of fraud that resulted in any material misstatement of the Companys financial statements or materially affected its operations.
As the Company continues to scale its activities across dredging, marine operations, shipbuilding and related maritime segments, it will continue to enhance its systems, processes and governance framework to ensure that the internal control environment remains aligned with the evolving needs of the business.
For and on behalf of the Board of Directors Knowledge Marine & Engineering Works Limited
Saurabh Daswani Kanak Kewalramani Managing Director Whole- time Director & CFO DIN: 07297445 DIN: 06678703
Date: 08/September/2026 Place: Mumbai
Place: Mumbai
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Capital Services Support WhatsApp Number
+91 9892691696
Download The App Now
Follow us on
2026, IIFL Capital Services Ltd. All Rights Reserved
IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132 (Member ID - NSE: 10975 BSE: 179 MCX: 55995 NCDEX: 01249), DP SEBI Reg. No. IN-DP-185-2016, IA SEBI Regn. No: INA000000623, Merchant Banker SEBI Regn. No. INM000010940, RA SEBI Regn. No: INH000000248, BSE Enlistment Number (RA): 5016, AMFI-Registered Mutual Fund Distributor & SIF Distributor
ARN NO : 47791 (Date of initial registration – 17/02/2007; Current validity of ARN – 08/02/2027), PFRDA Reg. No. PoP 20092018, IRDAI Corporate Agent (Composite) : CA1099
This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.
