GRSE Set for Navratna Status: DPE Clears Proposal as Shares Surge 74% in Q3 FY26

New Delhi: Kolkata-based defense giant Garden Reach Shipbuilders & Engineers Ltd (GRSE), currently a Schedule ‘A’ Miniratna (Category-I) company, is on the verge of joining India’s elite 'Navratna' club. Following a stellar Q3 performance, the Department of Public Enterprises (DPE) has officially cleared the proposal, sending a wave of optimism through the defense corridors.

The Road to Navratna: DPE Clearance Received

The proposal to upgrade GRSE from its current Miniratna (Category-I) status to Navratna has successfully passed its first major hurdle. Originally moved by the Department of Defence Production last month, the proposal underwent rigorous scrutiny by an inter-ministerial committee.

With the DPE now giving its nod, the file has been moved to an apex committee for final approval. Once finalized, GRSE will transition from being a top-tier Miniratna to joining the ranks of 27 other Navratna Central Public Sector Enterprises (CPSEs).

Why Navratna Status is a Game-Changer

Moving up from Miniratna to Navratna provides the company with significantly higher financial and operational autonomy:

Higher Investment Power: While Miniratna (Cat-I) companies have limited powers, Navratna status will allow GRSE to invest up to ₹1,000 crore (or 15% of its net worth) in a single project without seeking government approval.
Global Joint Ventures: The upgrade allows the shipyard to enter into Joint Ventures and set up subsidiaries abroad more easily, facilitating international expansion.
Faster Execution: With greater board-level powers, the company can make strategic decisions at a much faster pace, which is crucial for competing in the global warship market.

Q3 FY26 Performance: Profits Surge by 74%

The timing of this elevation couldn't be better. GRSE recently reported its Q3 FY26 earnings, showcasing its readiness for the upgrade:

Net Profit (PAT): Surged by 74%, reaching ₹171 crore.
Total Revenue: Witnessed a growth of 46%, climbing to ₹1,327 crore.
EBITDA: Jumped by 65%, reflecting peak operational efficiency.

Also Read: GRSE Q3 FY26 Results: Net Profit Soars 74% YoY; Declares ₹81.9 Crore Dividend

Market Reaction

As of February 20, 2026, the market responded positively to the news of the DPE clearance. GRSE shares were trading at ₹2,479.30, up by 1.26%, with analysts expecting further momentum as the final notification for the Navratna status is expected soon.

Current Tally: If approved, GRSE will become the 28th Navratna company in India, following Numaligarh Refinery Ltd (NRL), which was the 27th to be added in December 2024.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. The stock market involves risks, and the mention of share prices or company performance should not be taken as a recommendation to buy or sell. Investors should conduct their own research or consult a certified financial advisor before making any investment decisions.