Shipping Corporation Q3 FY26 PAT up 433% YoY, revenue 23%

Key takeaway from the quarter

Shipping Corporation of India Ltd (SCI) reported a sharp year-on-year jump in profitability for the quarter ended 31 December 2025 (Q3 FY26), alongside strong revenue growth. Revenue from operations rose 22.5% YoY to ₹1,611.67 crore. Profit after tax (PAT) surged 432.9% YoY to ₹405 crore, as cited in the earnings update referenced alongside the market move. Operating margin for the latest quarter was stated at 42.0%, with a YoY improvement of 1,500 basis points.

Headline numbers: revenue, PAT, and margins

The reported set of quarterly metrics highlights an “inflection up” trend for both revenue and profit. Revenue growth was shown at +22.5% YoY and +20.4% QoQ for the Dec 2025 quarter. PAT growth was reported at +432.9% YoY and +114.3% QoQ. Operating margin (OPM) was listed at 42.0%, but also described as “volatile” across periods.

What drove the upside: tanker segment performance

A key operating driver flagged in the update was the tanker business. Tanker segment revenue grew 34.2% YoY to ₹1,097 crore. More notably, tanker segment EBIT was stated to have surged 388.5% YoY in the same period. This segment-level momentum was presented as one of the “key growth catalysts” identified from recent earnings analysis.

Cost and profit-before-tax movement in Q3 FY26

Profit before tax (PBT) for Q3 FY26 was reported at ₹426.93 crore, up 409.89% compared with ₹83.73 crore in Q3 FY25. Total expenses declined 1.88% YoY to ₹1,253.28 crore. The cost of service rendered stood at ₹728.80 crore (down 3.99% YoY), employee benefit expense was ₹154.15 crore (down 5.43% YoY), and finance cost was ₹48.39 crore (down 24.3% YoY). These cost lines were disclosed alongside the quarterly earnings report dated 09 Feb 2026.

“Inflection up” trends and longer-term growth rates

The earnings summary characterised SCI’s profit trend as “turning around (inflection up)”, supported by strong YoY and sequential growth in the latest quarter. Over a longer horizon, the same dataset showed a 3-year PAT CAGR of -0.8% and a 3-year revenue CAGR of +3.9%. It also quantified “earnings growth acceleration” at +135.1% (YoY) and +96.6% (sequential) in basis points terms.

Trailing twelve months snapshot

SCI’s trailing twelve month (TTM) numbers in the provided dataset show PAT of ₹1,000 crore and revenue of ₹6,000 crore. TTM PAT growth was listed at +17.4% YoY, while TTM revenue growth was -1.8% YoY. TTM operating margin was reported at 34.6%. Taken together, the TTM picture shows profitability growth alongside a softer revenue trend.

Another reference point: Q4 FY25 showed mixed YoY signals

Separate quarterly disclosures for the period ended 31 March 2025 (Q4 FY25) point to a different pattern versus the Dec 2025 quarter. Total income was reported at ₹1,510.08 crore, up 11.8% QoQ from ₹1,350.13 crore and up 4.0% YoY from ₹1,452.42 crore. Profit before tax (PBT) was ₹223.54 crore, up 207.0% QoQ from ₹72.82 crore but down 11.8% YoY from ₹253.41 crore. Profit after tax (PAT) was ₹307.28 crore, up 306.9% QoQ but down 19.1% YoY, with EPS at ₹6.60 versus ₹1.60 in the prior quarter and ₹8.20 a year ago.

What investors should track from here

The quarterly data underlines two simultaneous threads. First, SCI’s latest reported quarter (Dec 2025) delivered strong YoY growth in revenue and a sharp rebound in PAT, supported by improved operating performance and a strong tanker segment EBIT increase. Second, the same note that highlighted catalysts also flagged “rising interest costs up 38.14% YoY” as a factor to monitor, even as Q3 FY26 finance cost was reported lower YoY at ₹48.39 crore.

Summary table of reported metrics

Conclusion

SCI’s Dec 2025 quarter stands out for a sharp profit rebound, with PAT up 432.9% YoY and revenue up 22.5% YoY, while operating margin was reported at 42.0%. The tanker segment was highlighted as a key contributor, with revenue up 34.2% YoY and EBIT up 388.5% YoY. Investors will likely keep watch on how these operating gains sustain alongside movements in finance costs and other profitability drivers flagged in the earnings analysis.