Semac: A lot is going on with it – 6 Jun 2025

Semac is a desi diving vessel and marine logistics company with an impressive global footprint. And a lot is going on with it

After months of downtime and visa delays, the Swordfish has been chartered by Aramco at a fixed rate for 730 days, signaling a long-term foothold in the Gulf’s saturated diving support segment.

With all vessels deployed and no idle capacity, Seamec fast-tracks fleet expansion through a new MSV purchase—financed via internal accruals and debt—to meet a confirmed 4–5 year offshore contract.

Despite UAE arm turning profitable, depreciation and interest costs from the UK unit continue to drag consolidated profits—pushes cash-positivity to FY26–27

Seamec’s two-season alliance with Porsche Subsea and L&T concludes, with revenue fully recognized. The team now enters PRP-VIII—smaller, but strategic in keeping ageing assets productive.

Despite rising O&M costs, three of Seamec’s oldest vessels remain operational. Company confirms no scrapping planned unless margins collapse.

Investments in UK operations yield no immediate cash; losses tied to non-cash depreciation and interest on capex. Strategy being “re-evaluated.”

Saudi Arabia’s visa ban for South Asians during Haj month stranded Seamec Swordfish at port in April, derailing initial March charter plans.

All operational vessels now on 2–5 year charters; only Seamec Barge remains on scheduled off-hire during monsoons. Dry dock maintenance expected to cause minor revenue dips mid-year.

Unlike drilling rigs tied to oil price swings, Seamec’s post-discovery MSV operations enjoy fixed charter stability—ensuring predictable returns even in downcycles.

Seamec launches Searete India IFSC Pvt Ltd, a JV with Arete Shipping DMCC, to buy and charter bulk carriers. The venture is asset-backed and expected to generate rental income from year one.

With tonnage tax shielding most shipping income, Seamec’s sudden tax spike arose from profits on its non-qualifying barge and income from interest and mutual fund gains.

The long-promised transfer of HAL’s vessel Seamec Anant to Seamec Ltd is still under process. Seamec aims to consolidate ONGC contracts under its own banner during renewals.