Western Marine Shipyard financial analysis: Tk 23.7bn term loans, Tk 916.5m revenue and a qualified audit (Oct 2026)

A Chattogram export shipyard with Tk 916.5m of FY2025 revenue, Tk 23.7bn of term loans and a qualified audit opinion for a second year

What it is. Western Marine Shipyard Limited (WMShL) was incorporated on 11 July 2000, builds and repairs ships at Kolagaon, Patiya, Chattogram, and registered with the Board of Investment as an export-oriented shipbuilder in March 2008; it became a public limited company on 10 September 2009 [1 p.98] [1 p.136]. The directors describe the business as 'Export-oriented Ocean going shipbuilding', building bulk carriers, container ships, tankers, passenger vessels, patrol vessels and fishing trawlers [1 p.46] [1 p.47]. The latest audited accounts are for the year to 30 June 2025: the statement of financial position is headed 'AS AT 30 JUNE 2025' and the profit and loss statement 'FOR THE YEAR ENDED 30 JUNE 2025' [1 p.104] [1 p.105].

Where it stands. FY2025 revenue was Tk 916.5m against Tk 920.0m in FY2024, gross profit Tk 342.7m (37.4% of revenue) and operating profit Tk 332.7m; financial expenses of Tk 404.2m exceeded operating profit plus financial income of Tk 66.8m, leaving a loss before tax of Tk 4.8m and a net loss of Tk 5.0m, EPS Tk (0.02) [1 p.105]. Term loans were Tk 23,652.6m at 30 June 2025 (Tk 22,485.6m non-current, Tk 1,167.0m current), 6.22 times shareholders' equity of Tk 3,801.8m [1 p.104] [14]. Capital work in progress (slipway, pedestal, shipyard shed, gantry crane and a new office building) was Tk 11,884.7m, 42.7% of total assets [1 p.110] [14]. No accounts for any period after 30 June 2025 had been published by 31 October 2026 [6].

Revenue, cost, finance cost and affiliate interest. Revenue: it was Tk 2,978.5m to Tk 3,129.9m in FY2017-FY2019, Tk 2,280.4m in FY2020 and Tk 808.0m to Tk 920.0m in each year from FY2021 to FY2025 [5 p.84] [4 p.82] [3 p.117] [2 p.98] [1 p.105]. Depreciation: Tk 393.5m of the Tk 573.8m FY2025 cost of shipbuilding (68.6%) was depreciation [1 p.123] [14]. Financial expenses: Tk 404.2m in FY2025, 44.1% of revenue [1 p.105] [14]. Interest income from four affiliated companies at 10% a year, Tk 66.2m in FY2025 (99.2% of financial income) [1 p.124] [14]. Net profit has been between a Tk 14.6m loss and a Tk 9.5m profit in each year from FY2021 to FY2025 [5 p.84] [4 p.82] [3 p.117] [2 p.98] [1 p.105]. Equity has also been reduced by 'Development & Project Investment' debited directly to retained earnings: Tk 517.5m in FY2022, Tk 503.1m in FY2023, Tk 571.3m in FY2024 and Tk 71.8m in FY2025 [2 p.100] [1 p.106].

• What are the Tk 3,605.8m of advances, and to whom were they paid? Signpost: the FY2026 auditor's report and note 7.
• What is the S. Alam Group sales agreement the auditor refers to, and is it disclosed? Signpost: the FY2026 revenue and receivables notes.
• When does the Tk 11,884.7m of capital work in progress start depreciating? Signpost: 'Capitalized during the year' in note 3.3 (nil in FY2024 and FY2025).
• What do the first-quarter FY2026 accounts show? Signpost: the board meeting of 4-Nov-2026 (DSE post of 28-Oct-2026).

Business: a shipbuilder whose revenue fell from Tk 3.1bn in FY2019 to Tk 0.8bn-0.9bn a year from FY2021

How the money is made. WMShL builds vessels under shipbuilding contracts and recognises revenue under IFRS 15, over time where control passes gradually and at a point in time otherwise [1 p.102]. Its contracts include a warranty article under which the buyer 'is entitled to withhold a portion of the contract price as security' [1 p.103]. The auditor's key audit matter on revenue states that 'all sales are converted from USD to BDT' [1 p.94]. Note 16 shows a single line, 'Net Revenue', of Tk 916,518,560 for FY2025 and Tk 920,027,590 for FY2024, with no split by vessel, customer or country [1 p.122]. Bank guarantees of Tk 1,923.6m were outstanding 'against the installments proceeds receipt from JSW, OPV, NFT project' [1 p.126].

What it has built. The 'Our Products' pages show four 8,000 DWT bulk carriers for the Jindal Group of India (JSW Raigad, JSW Pratapgad, JSW Lohgad, JSW Sinhgad), a SOLAS passenger ship for New Zealand, a car ferry for the Uganda National Roads Authority, four inland container ships for Pangaon ICT, a 3,900 DWT heavy-lift ship for the Ecuadorian Navy, two 700-passenger ships for BIWTC, one of eight 5,200 DWT sister ships for a German buyer, a landing craft exported to the UAE, a 200-passenger ship for Karachi Port Trust, an oily-waste collection vessel for LAMOR Corp. of Finland, a double-ended car ferry in Denmark, an offshore patrol vessel for the Kenyan Department of Fisheries and a 25-ton bollard-pull tug for Chittagong Port [1 p.128] [1 p.129] [1 p.130] [1 p.131] [1 p.132] [1 p.133] [1 p.134]. The pages give no delivery dates or contract values. On 1-Jan-2025 the company told DSE it was 'going to export a ship named "Rayan", for United Arab Emirates (UAE)' and that eight more ships were in the process of being exported [6]; that post is dated before the FY2025 year-end (passed), and the FY2025 accounts do not name the vessel.

Note 31 prints the same capacity and 'Actual Buildup' (88,300 MT) in both columns, and the columns are headed 30-Sep-24 and 30-Jun-23 in a report for the year to 30-Jun-2025 [1 p.127]. Note 30 uses the same headings for employees: 14 directors, 56 officers and 529 staff and workers (599 in total) against 14, 65 and 515 (594) [1 p.127]. We report the figures as printed and do not assign them to a year.

Group companies. WMShL holds small stakes in three private companies: Stella Shipping Limited (ship-owning and chartering; 3,570 shares, Tk 0.4m), IHC WMShL Limited (ship and dredger manufacturing; 1,020 shares, Tk 1.0m) and Western Fishers Shipyard Limited (shipbuilding; 75,000 shares, Tk 7.5m), and states that no dividend has been received from any of them [1 p.111]. It also lends to four affiliated companies, charging interest at 10% on the daily balance (section 7).

Industry and peers: the directors cite Asian dominance of shipbuilding; two listed engineering peers for comparison

The directors' view of the industry. The directors' report states that 'Nearly 90 percent of the ships are made by China, Korea and Japan according to World Shipbuilding Statistics', that vessels 'with less complexity are moving to newer destinations', and that 'Countries such as Vietnam and India with inherent economic advantages are well placed to emerge as new players' [1 p.46]. It describes shipbuilding as 'a thrust sector in the economy of Bangladesh' and says domestic development work needs 'many ships and barges' [1 p.46]. The report gives no order book, no market share and no tonnage delivered by year.

Policy background. LDC graduation date: 24-Nov-2029 [12] [13]. The filings read for this note do not mention LDC status, and we attach no line item to it.

Peers. No other shipbuilder is listed on DSE. For comparison we use the two other engineering companies in the same AnalystBro sector format that have published notes and FY2025 audited accounts: Mir Akhter Hossain Limited ('Engineers & Builders', consolidated) [10 p.90] and Dominage Steel Building Systems Limited [11 p.2]. All three have June year-ends. The table uses each company's own printed figures.

Notes to the peer table. Borrowings: WMShL term loans (current and non-current) [1 p.104]; Mir Akhter long-term loan, zero coupon bond and short-term loan [10 p.52]; Dominage long-term loan (current and non-current) and short-term loan, excluding lease liability [11 p.10]. Finance cost: WMShL's Tk 404.2m is gross, with financial income of Tk 66.8m shown on a separate line [1 p.105]; Mir Akhter's Tk 127.6m is after Tk 2,461.2m of interest 'charged to Joint Venture Partners' out of gross financial expenses of Tk 2,588.8m [10 p.126]; Dominage's Tk 11.6m excludes Tk 0.01m of lease interest [11 p.11]. WPPF: WMShL made no WPPF provision in FY2025 [1 p.92]; Dominage charged Tk 0.47m [11 p.11]. Within this three-company set WMShL has the highest gross margin (37.4%), the highest financial expenses relative to revenue (44.1%) and the highest debt to equity (6.22x) [14].

Audit opinions of the peers, from their own filings. Mir Akhter received a 'Qualified Opinion' from G. Kibria & Co. with one numbered basis paragraph (01): 'The company had established a provident fund at 2010 under the rules of Bangladesh labor Act- 2006. … However, the company did not do so. We were unable to determine if any issues exist there which may affect financial statements. The audit is under process.' [10 p.90]. Dominage received an unmodified 'Opinion' from Khan Wahab Shafique Rahman & Co. with five numbered 'Emphasis of Matters' items, ending 'Our opinion is not modified in respect of these above matters.' [11 p.2] [11 p.3]. WMShL's opinion is qualified with five basis paragraphs (section 7).

Line items: depreciation is 68.6% of cost of shipbuilding, and financial expenses exceeded operating profit in each of FY2021-FY2025

Revenue. Revenue was Tk 2,978.5m in FY2017, Tk 3,024.3m in FY2018 and Tk 3,129.9m in FY2019, the highest of the nine years [5 p.84] [4 p.82] [3 p.117] [2 p.98] [1 p.105]. It fell 27.1% to Tk 2,280.4m in FY2020 and 63.2% to Tk 839.1m in FY2021 [14]. From FY2021 to FY2025 it was Tk 839.1m, Tk 808.0m, Tk 810.9m, Tk 920.0m and Tk 916.5m; the lowest in the series was FY2022 [5 p.84] [4 p.82] [3 p.117] [2 p.98] [1 p.105]. The filings do not explain the FY2020-FY2021 fall vessel by vessel. The directors' report says 'Shipbuilding business in the world has ups and downs year by year' [1 p.47]. The trade receivable note adds revenue to receivables in full ('Addition during the year' Tk 916.5m) and shows Tk 730.1m 'Realized during the year', 79.7% of revenue (83.7% in FY2024) [1 p.111] [14].

Cost of shipbuilding. Depreciation was Tk 393.5m of the Tk 573.8m FY2025 cost (68.6%), materials Tk 168.4m and salaries, wages and bonus Tk 2.5m [1 p.123] [14]. Most of the other 41 cost lines in note 17, and most lines in notes 18 and 19, are 1.50% above their FY2024 amounts (derived): salaries, wages and bonus Tk 2,536,592 against Tk 2,499,105, fabrication and sand blasting Tk 1,109,328 against Tk 1,092,934, canteen Tk 879,427 against Tk 866,430, and administrative salaries Tk 1,381,774 against Tk 1,361,354 [1 p.123] [1 p.124]. Gross margin was 37.4% in FY2025; across the nine years it ranged from 28.65% (FY2021, the lowest) to 41.04% (FY2019, the highest) [14].

Administrative and selling expenses. These were Tk 10.0m in FY2025 (administrative Tk 9.3m, selling and marketing Tk 0.7m), 1.1% of revenue [1 p.105] [14]. They were Tk 43.4m in FY2017 [5 p.84]. The administrative note includes listing fees of Tk 0.3m and an audit fee of Tk 0.5m [1 p.124].

Financial expenses. Note 21 shows loan interest and bank charges of Tk 398.4m, bank guarantee commission of Tk 5.5m and a foreign currency loss of Tk 0.4m, Tk 404.2m in total [1 p.125]. Financial expenses divided by average borrowings give 1.75% for FY2025 and 1.71% for FY2024 (derived), against 5.19%-5.99% in FY2018-FY2020 [14]. The derived rate is our arithmetic, not a company disclosure.

Term-loan terms. Term loans were Tk 22,455.3m at the start of FY2025 and Tk 23,652.6m at the end. Note 10 states they are 'repayable by 33 to 60 monthly installments at rate of interest chargeable from 9.00 % to 18.00 %' [1 p.118].

Financial income. Financial income was Tk 66.8m in FY2025 (Tk 37.6m in FY2024). Interest from IHC-WMShL Limited was Tk 40.8m (Tk 10.4m), from New Western Marine Shipbuilders Limited Tk 16.1m (Tk 18.1m), from Western Marine Services Limited Tk 6.3m (Tk 5.5m) and from Western Fishers Shipyard Limited Tk 3.0m (Tk 2.4m); interest from financial institutions was Tk 0.3m [1 p.124]. Interest from these four affiliates was 99.2% of financial income in FY2025 (derived) [14].

WPPF and tax. No WPPF was charged in FY2021-FY2025 [5 p.84] [4 p.82] [3 p.117] [2 p.98] [1 p.105]; the auditor states that 'the company did not make provision for the year although the company is showing net operating profit for the year' [1 p.92]. Tax was a net charge of Tk 0.3m in FY2025: current tax Tk 11.7m less a deferred tax credit of Tk 11.4m [1 p.125]. The current-tax provision has risen from Tk 161.7m to Tk 184.4m over two years with no payment shown in either year [1 p.121], and the cash-flow statement shows no income tax paid in FY2024 or FY2025 [1 p.107]. The directors' report states the contribution to the exchequer as 'BDT (2.59) Million' for FY2025 and 'BDT (10.14) Million' for FY2024 [1 p.49].

FY2025 quarters: EPS Tk (0.01), (0.03), (0.04) and a full-year Tk (0.02); one DSE correction

What DSE published. The FY2025 interim results were all posted in November 2025, after the year had ended: Q1 on 12-Nov-2025, Q2 on 13-Nov-2025 (twice) and Q3 on 16-Nov-2025, the same day as the audited full year [6]. The first Q2 post gave EPS of Tk (0.02) for October-December 2024 and Tk 0.06 for July-December 2024; a second post the same day, headed 'Q2 Financials (Revised)', gave Tk (0.03) and Tk (0.04), NOCFPS Tk 1.44 instead of Tk 1.54 and NAV per share Tk 16.44 instead of Tk 16.54, and asked readers to 'ignore the previous news' [6]. That is the one correction among the 32 DSE posts in the 24 months to 31-Oct-2026.

The sequence, figure by figure. EPS was Tk (0.01) for Q1, Tk (0.03) for Q2 and Tk (0.04) for Q3, giving Tk (0.08) for nine months; the audited full year was Tk (0.02), so the April-June 2025 quarter was about Tk 0.06 a share (derived) [6] [14]. NAV per share was Tk 16.49 at 30-Jun-2024, Tk 16.48 at 30-Sep-2024, Tk 16.44 at 31-Dec-2024, Tk 16.41 at 31-Mar-2025 and Tk 16.16 at 30-Jun-2025 [6]. NOCFPS was Tk 1.12 for Q1, Tk 1.44 for the half, Tk 1.41 for nine months and Tk 3.01 for the year [6]. In FY2024 nine-month EPS was Tk 0.08 and full-year EPS Tk 0.04 [6].

FY2026. No interim accounts for FY2026 had been published by 31-Oct-2026. On 28-Oct-2026 DSE posted that a board meeting is scheduled for 4-Nov-2026 'to consider, among others, Un-Audited Financial Statements for the First Quarter (Q1) period ended September 30, 2025' [6]. The FY2026 accounts are overdue relative to that quarter's end, so we infer no dates for the later FY2026 quarters, the FY2026 annual report or its AGM.

Nine-year ratios: debt to equity rose every year from 2.13x to 6.22x; asset turnover 0.03x

Growth and margins. Revenue in FY2025 was 70.7% below FY2019 (derived) [14]. Gross margin recovered from 28.65% in FY2021 to 38.36% in FY2024 and 37.39% in FY2025, while operating margin was 36.3% in FY2025 [14]. Net margin was between -1.80% and +1.03% in each year from FY2021 to FY2025, against 8.7%-17.5% in FY2017-FY2020 [14].

Returns. ROE on average equity was 8.5% in FY2018 and 9.5% in FY2019, 3.4% in FY2020 and between -0.31% and +0.23% in FY2021-FY2025 [14]. Reported EPS, as printed each year without restatement for later bonus shares, was Tk 2.14 (FY2017), Tk 2.71 (FY2018), Tk 2.75 (FY2019), Tk 0.86 (FY2020), Tk (0.04) (FY2021), Tk (0.05) (FY2022), Tk (0.06) (FY2023), Tk 0.04 (FY2024) and Tk (0.02) (FY2025) [5 p.84] [4 p.82] [3 p.117] [2 p.98] [1 p.105].

Leverage and coverage. Total borrowings (term loans plus bank overdraft) rose in every year of the series, from Tk 10,816.0m at June 2017 to Tk 23,652.6m at June 2025, 2.19 times [5 p.83] [4 p.81] [3 p.116] [2 p.97] [1 p.104] [14]. Debt to equity rose every year from 2.13x to 6.22x, the highest in the series, and equity fell to 13.7% of total assets, the lowest [14]. Operating profit covered financial expenses 1.41x-1.64x in FY2017-FY2019, 1.12x in FY2020 and 0.70x-0.93x in FY2021-FY2025 [14].

Efficiency. Asset turnover fell from 0.18x in FY2017 to between 0.032x and 0.036x in each year from FY2021 to FY2025; the lowest was 0.0316x in FY2023 and FY2025 was 0.0329x [14]. Year-end receivables were equal to 1,092 days of FY2025 revenue, the highest in the series (1,082 days in FY2023) [14]. Inventories were 5.55 times FY2025 revenue; the auditor's key audit matter says inventories are 'almost 18.28% of total assets and 555% of yearly sales' [1 p.94] [14].

Cash conversion. Net operating cash flow was Tk 707.1m in FY2025 and Tk 324.9m in FY2024 [1 p.107]; for FY2021-FY2023 the Annexure D NOCFPS figures (Tk 0.34, Tk 0.44, Tk 0.78) times 235.2m shares give about Tk 80m, Tk 104m and Tk 184m (derived) [1 p.83] [14]. In FY2025, collections from customers were Tk 730.1m and payments to suppliers and others Tk 22.2m [1 p.107], while note 6.1 shows Tk 415.5m of materials imported and purchased during the year [1 p.112]. Investing outflows were Tk 1,531.4m (capital work in progress Tk 1,385.7m, other PPE Tk 73.9m, 'Development & Project Investment' Tk 71.8m) and new loans brought in Tk 1,197.2m [1 p.107].

Balance sheet and audit: Tk 11.9bn of work in progress, Tk 3.6bn of advances the auditor could not verify, Tk 23.7bn of term loans

Capital work in progress. The balance rose in every year, from Tk 3,641.5m at June 2017 to Tk 11,884.7m at June 2025, and 'Capitalized during the year' is nil in FY2024 and FY2025 [5 p.93] [1 p.110]. The FY2025 make-up lists slip way Tk 4,978.7m, pedestal Tk 1,311.0m, shipyard shed Tk 1,171.6m, gantry crane Tk 1,989.9m and shipyard new office building Tk 1,388.4m, which add to Tk 10,839.5m, Tk 1,045.3m less than the closing balance of Tk 11,884.7m printed on the same page (flag) [1 p.110] [14]. The slip way line fell from Tk 5,884.2m to Tk 4,978.7m in FY2025 with no capitalisation shown [1 p.110]. Note 3 states that 3,207.235 decimals of land are mortgaged to lenders [1 p.109].

Lenders. Note 10 lists 19 lenders. The largest balances at 30-Jun-2025 were National Bank Tk 10,604.3m (44.8% of term loans, derived), Bank Asia Tk 5,059.0m, Sonali Bank Tk 2,068.3m, Mutual Trust Bank Tk 1,666.5m and One Bank Tk 895.3m [1 p.118] [14]. Of the 19, the current portion is shown for six: Bank Asia Tk 300.0m, NCC Bank Tk 96.0m, Sonali Bank Tk 700.0m, National Housing Finance Tk 8.0m, Premier Leasing Tk 45.0m and Uttara Finance Tk 18.0m [1 p.118] [1 p.119]. Several balances are identical at both year-ends, including NCC Bank (Tk 264.5m), Bank Asia (Tk 5,059.0m), Midas Financing (Tk 547.3m), Union Capital (Tk 453.6m), Premier Leasing (Tk 427.7m), Uttara Finance (Tk 103.3m) and National Finance (Tk 164.4m) [1 p.118] [1 p.119]. The loans carry 'collateral security of land and equipment with Directors' personal guarantee' [1 p.118], and note 10 states that ten named lenders 'rescheduled its loan' [1 p.119]. CRISL assigned a bank loan rating of 'blr BB' based on audited financials to 30-Jun-2024 (DSE post 24-May-2025) [6].

Advances, receivables, inventories and cash. Prepayments, deposits and advances were Tk 3,605.8m, of which Tk 3,570.6m is a single line, 'Customer/party/land lord/purchased' [1 p.113]; the balance was Tk 3,605.9m a year earlier [1 p.104]. Trade receivables were Tk 2,741.2m [1 p.111]. Inventories were Tk 5,088.6m, of which materials, stores and spares Tk 4,111.8m (main engines and spares Tk 831.4m, lashing materials Tk 622.6m) and material in transit Tk 976.8m [1 p.112]. The accounting policy says 'No provision is considered for slow moving and obsolete stocks since all items were considered moving and good' [1 p.100]. Cash was Tk 116.9m, of which Tk 46.1m was on deposit with finance companies (Union Capital Tk 16.5m, Premier Leasing & Finance Tk 29.6m; Reliance Finance nil, Tk 10.0m a year earlier) [1 p.115]. The note states that Premier Leasing & Finance and Reliance Finance 'currently are unable to settle calims of their clients' and that Tk 36,603,333 'is under risk of collection'; that figure equals the two companies' 30-Jun-2024 balances (Tk 26,603,333 + Tk 10,000,000), not their 30-Jun-2025 balances (flag) [1 p.115].

Audit opinion, FY2025. M. Z. Islam & Co. (partner Md. Matiur Rahman FCA, FCMA), dated 15 November 2025, gave a qualified opinion: 'In our opinion, except the effect of the matters stated below the accompanying statements give true and fair view of the financial position of the company as at 30 June 2025 …' [1 p.92] [1 p.97]. The 'Basis for Qualified Opinion' has five paragraphs, (a) to (e), as printed [1 p.92]:

The 'Emphasis of Matters' section has four paragraphs, (a) to (d), 'Without qualifying our opinion' [1 p.92] [1 p.93]: (a) inventories of Tk 5,088,613,935 where 'management used the average cost method instead of cost and net realizable value of these inventories'; (b) 'We did not receive updated Schedule 10 or Schedule 12 during our course of audit.'; (c) trade receivables of Tk 2,741,156,691 where 'management had not provided us any ageing schedule of such receivables' and 'part of such receivables should not be treated as good rather adequate provision or write off are required to be provided in the books of accounts of the company'; (d) 'we observed that in most of the cases payment and received has been made in cash.' In paragraph (e) the auditor's BDT 22,485,555,932 is the non-current portion; total term loans including the current portion were Tk 23,652.6m [1 p.104] [1 p.118]. Note 10 heads its current-year column '30-09-2024' (flag) [1 p.118]. Paragraph (a) of the basis cites 'Note no 13.3' for the advances, which appear in note 7 of the accounts [1 p.113].

Key audit matters, FY2025. The report lists five: property, plant and equipment (carrying value Tk 15,577,005,368), revenue (Tk 916,518,560), valuation of receivables (Tk 2,741,156,690), valuation of inventories (Tk 5,088,613,935) and measurement of deferred tax liabilities (Tk 20,609,590) [1 p.93] [1 p.94] [1 p.95]. The receivables matter states 'Accounts receivables of the company comprise of mainly receivables from sale of yarns which is secured by Letter of Credit (L/C)', and the inventories matter refers to 'QSTML's values its inventories using the weighted average method' [1 p.94]; we quote both as printed (flag).

FY2024. The same firm's FY2024 opinion was also qualified, with five basis paragraphs (a) to (e) on the same subjects: advances of Tk 3,605,900,166, WPPF of Tk 30,834,604, turnover against finance, the S. Alam Group sales agreement and term loans of BDT 22,455,342,430, where 'only 2 no of Banks and non-banking financial institutions replied us balance confirmation letters'; the emphasis of matters had three paragraphs [8].

Governance: 14 directors holding 30.01%, Tk 694.2m lent to four affiliated companies at 10%

Related parties. Note 29 lists four related parties, each described as 'Common Director' with 'Financial Transactions' [1 p.127]. Note 11 gives the movements [1 p.120]. Balances are receivable by WMShL and carry interest at 10% a year on the daily balance under a board decision of 15-Jul-2014; note 2.18 and note 20 say 'with effect from July 2014' and note 11 says 'with effect from July 2015' (flag) [1 p.102] [1 p.103] [1 p.120] [1 p.124].

Figures differ between notes. For IHC-WMShL Limited, interest is Tk 40,840,908 in note 11 and in note 20 but the note 29 'Volume of Transaction (Net)' is Tk 40,113,449 [1 p.120] [1 p.124] [1 p.127]. For Western Fishers Shipyard Limited, note 11 shows Tk 2,981,626 and note 29 Tk 2,981,625 [1 p.120] [1 p.127]. Both figures are reported here and flagged. IHC-WMShL interest was Tk 10,444,604 in FY2024 on an opening balance of Tk 397,652,971, and Tk 40,840,908 in FY2025 on an opening balance of Tk 408,409,077 [1 p.120].

Ownership. Sponsors and directors held 30.01% at both 30-Jun-2024 and 30-Jun-2025 [1 p.116]. The table in note 9.3 prints institutes at 16.76% and individuals at 53.23% for 30-Jun-2025 (18.19% and 51.80% a year earlier), while the summary line above it on the same page prints 'C. Institute: 15.72%' and 'E. Public: 54.27%' (flag) [1 p.116]. Shareholders numbered 34,370 at 30-Jun-2025 against 27,890 a year earlier, and 23 holders of over 1,000,000 shares held 42.88% [1 p.117].

The directors' report says the NRC was 'constituted in 30 June 2025' and that 'The NRC meeting held 1 times this year', while its attendance table shows 03 meetings held and attended by each member (flag) [1 p.52]. Page 8 prints the head of internal audit as 'Mr. Raihan Iqbal Aziz' [1 p.8]. The CEO and CFO declaration states that 'During the year the company did not paid any Board meeting attendance fees' [1 p.53]. The corporate governance compliance auditor is Hoque Bhattacharjee Das & Co. [1 p.8].

Dates and labels in the report. The financial statements' note 2.22 says they 'were authorized for issue by the Board of Directors of the Company on 06th November 2022' [1 p.103], the statements carry the date 'December 24,2024' beside the auditor's name [1 p.104], the auditor's report is dated 15 November 2025 [1 p.97] and note 32 states the 210th board meeting on 14 November 2025 [1 p.127]. The directors' report welcomes members to the '24th Annual General Meeting' [1 p.46]; the proxy form is for the '25th Annual General Meeting' on 28 December 2025 [1 p.136]. The statement of changes in equity carries a second heading 'STATEMENT OF CHANGES IN EQUITY (UN-AUDITED)' [1 p.106]. Annexure D prints FY2024 NAV per share with revaluation as Tk 13.64 and without as Tk 16.49 (the statement of financial position gives Tk 16.49 and Tk 13.64), FY2025 operating cash flow per share as Tk 1.38 (Tk 3.01 in note 25) and FY2024 gross profit as Tk 350,763,997 (Tk 352,913,997 in the profit and loss statement) [1 p.83] [1 p.104] [1 p.105] [1 p.125]. The WPPF note shows prior-year provision Tk 30,834,604 plus interest Tk 3,083,460 and a closing balance of Tk 27,751,143 [1 p.121]; the closing figure is Tk 30,834,604 less Tk 3,083,461 (derived) (flag).

Capital: six bonus issues from 2014 to 2020, no dividend for FY2024 or FY2025

Note 9.2 dates the 20th AGM as 30.12.20 in the table and 29.12.2021 in the text below it (flag) [1 p.116]. Share premium of Tk 497.6m remains after 'From 2017-2018 the company adjust stock dividend with share premium account' [1 p.117]. A cash dividend of Tk 16.5m was charged to equity in FY2022 [2 p.100]. For FY2024 and FY2025 the board recommended 'No Dividend' (DSE posts of 17-Nov-2024 and 16-Nov-2025) [6]. The directors' report states: 'Due to the good performance of the company in the year 2024-2025 So no dividends have been declared by the company this year. We hope to try to pay dividends in the coming years.' [1 p.50]

Equity charged with project spending. Under a board approval cited in note 3.40, 'the company is utilizing retained earnings in Development works & Project Investment', listed as Tk 517,535,975 for 2021-2022, Tk 503,145,820 for 2022-2023 and Tk 571,257,975 for 2023-2024 [1 p.110]. The FY2025 statement of changes in equity shows a further Tk 71,784,315 [1 p.106], and the cash-flow statement shows the same amount under investing activities [1 p.107]. Across FY2022-FY2025 these debits total Tk 1,663.7m (derived) against cumulative net losses of Tk 22.6m over the same four years (derived) [14]. The notes do not say what assets, if any, these payments bought.

NAV per share, figure by figure. As printed: Tk 34.24 (June 2017), Tk 33.02 (2018), Tk 30.26 (2019), Tk 24.06 (2020), Tk 23.40 (2021), Tk 21.08 (2022), Tk 18.88 (2023), Tk 16.49 (2024) and Tk 16.16 (2025); the 2017-2020 figures are on the shares in issue at each date, before later bonus issues [5 p.83] [4 p.81] [3 p.116] [2 p.97] [1 p.104]. Without the revaluation reserve, FY2025 NAV per share is Tk 13.31 [1 p.125]. The revaluation dates from 31 December 2009 [1 p.99].

Market data: Tk 8.1 a share, 0.50 times June 2025 NAV per share

The shares closed at Tk 8.1 on 29-Oct-2026. On DSE trading-day closes from 30-Oct-2025 to 29-Oct-2026, the 52-week range was Tk 7.1 (16-Nov-2025) to Tk 10.5 (28-Jun-2026 and 29-Jun-2026) [9]. At Tk 8.1 the market value is about Tk 1,905m on 235.2m shares. The price is 0.50 times the 30-Jun-2025 NAV per share of Tk 16.16 and 0.61 times NAV per share without revaluation of Tk 13.31; with FY2025 EPS of Tk (0.02) there is no P/E [1 p.125] [9]. Term loans of Tk 23,652.6m were 12.4 times that market value (derived).

What's next: a board meeting on 4-Nov-2026 for the quarter to 30-Sep-2025

Overdue accounts. The quarters to 31-Dec-2025 and 31-Mar-2026 and the year to 30-Jun-2026 had no published accounts and no notified board dates at 31-Oct-2026 [6]. They are overdue against the quarter-ends, so we give no inferred dates for them or for an FY2026 AGM.

Passed items, outcome unknown. The 25th AGM was set for 28-Dec-2025 (passed); the DSE archive to 31-Oct-2026 carries no post on its outcome [6] [1 p.136]. The 'Rayan' export to the UAE was announced on 1-Jan-2025 (passed), outcome unknown [6].

Risks: each tied to the line it sits in, with FY2025 sizes

Paragraph (c) of the basis for the qualified opinion ends 'If this continues then the business continuity will be at question.' The directors state that they 'have a reasonable expectation that the company has adequate resources, adequate financial support and legal instruction to continue its operation' and adopted the going-concern basis [1 p.92] [1 p.49]. Both statements are in the same annual report. The auditor did not include a separate material-uncertainty paragraph on going concern in the FY2025 report [1 p.92] [1 p.93].

• Q1 FY2026 accounts at the board meeting of 4-Nov-2026: revenue against Tk 916.5m for FY2025, financial expenses, and NAV per share against Tk 16.16.
• Any DSE post on the FY2026 annual results, the auditor's opinion and the AGM.
• Note 7 in the next annual report: the make-up of the Tk 3,570.6m 'Customer/party/land lord/purchased' line.
• Note 3.3: any amount 'Capitalized during the year' out of the Tk 11,884.7m of work in progress.
• Note 10: term-loan balances by lender, the current portion and any further rescheduling.
• Any new CRISL rating post on DSE (last: 'blr BB', 24-May-2025).

FAQ

What does Western Marine Shipyard do?

It builds and repairs ships at a yard at Kolagaon, Patiya, Chattogram, registered as an export-oriented shipbuilder since 2008. Its product pages list bulk carriers, passenger ships, ferries, patrol vessels, a tug and container ships for buyers in Bangladesh and abroad. FY2025 revenue was Tk 916.5m.

Is Western Marine Shipyard profitable?

It reported a net loss of Tk 5.0m in FY2025 (EPS Tk (0.02)) and a profit of Tk 9.5m in FY2024. Net results were between a Tk 14.6m loss and a Tk 9.5m profit in each year from FY2021 to FY2025, against Tk 198.1m-548.1m of profit in FY2017-FY2020.

How much does Western Marine Shipyard owe?

Term loans were Tk 23,652.6m at 30-Jun-2025 from 19 banks and finance companies, 6.22 times shareholders' equity. The largest lender was National Bank with Tk 10,604.3m. Loans are secured on land and equipment with directors' personal guarantees.

Why is the FY2025 audit opinion qualified?

The auditor, M. Z. Islam & Co., gave five reasons: Tk 3,605.8m of prepayments, deposits and advances without sufficient evidence; unpaid WPPF and no provision for the year; turnover small against the finance taken; an undisclosed sales agreement with S. Alam Group; and lender balance confirmations received from only 7 of 31 banks and NBFIs.

Has Western Marine Shipyard paid a dividend recently?

No. The board recommended no dividend for FY2024 and FY2025. Share capital grew through six bonus issues approved at AGMs from 2014 to 2020.

When are the next accounts due?

The board meets on 4-Nov-2026 to consider the first-quarter accounts for the period to 30-Sep-2025. Accounts for later FY2026 periods had no notified dates at 31-Oct-2026.

Sources

1. Western Marine Shipyard Limited Annual Report 2024-2025, year to 30-Jun-2025 (corpus WMSHIPYARD_ANNUAL_2025, PDF page numbers) · link · accessed 2026-10-31
2. Western Marine Shipyard Limited Annual Report 2022-2023, year to 30-Jun-2023, with FY2022 comparatives (corpus WMSHIPYARD_ANNUAL_2023) · link · accessed 2026-10-31
3. Western Marine Shipyard Limited Annual Report 2021-2022, year to 30-Jun-2022, with FY2021 comparatives (corpus WMSHIPYARD_ANNUAL_2022) · link · accessed 2026-10-31
4. Western Marine Shipyard Limited Annual Report 2019-2020, year to 30-Jun-2020, with FY2019 comparatives (corpus WMSHIPYARD_ANNUAL_2020) · link · accessed 2026-10-31
5. Western Marine Shipyard Limited Annual Report 2017-2018, year to 30-Jun-2018, with FY2017 comparatives (corpus WMSHIPYARD_ANNUAL_2018) · link · accessed 2026-10-31
6. DSE news archive for WMSHIPYARD, 31-Oct-2024 to 31-Oct-2026 (old_news.php, criteria=3), 32 posts from 10-Nov-2024 to 28-Oct-2026 · link · accessed 2026-10-31
7. DSE dissemination: 'Qualified Opinion' and 'Emphasis of Matter' paragraph in the auditor's report for the year ended 30 June 2025 (posted 14-Jan-2026) · link · accessed 2026-10-31
8. DSE dissemination: 'Qualified Opinion' and 'Emphasis of Matter' paragraphs in the auditor's report for the year ended 30 June 2024 (posted 22-Jan-2025) · link · accessed 2026-10-31
9. AnalystBro market data: DSE daily bars (30-Oct-2025 to 29-Oct-2026) and monthly bars for WMSHIPYARD · link · accessed 2026-10-31
10. Mir Akhter Hossain Limited Annual Report 2025, year to 30-Jun-2025 (peer; p.51-52 five-year consolidated summary, p.90 auditor's report, p.126 note 29) · link · accessed 2026-10-31
11. Dominage Steel Building Systems Limited audited financial statements, year to 30-Jun-2025 (peer; p.2-3 auditor's report, p.10-11 statements) · link · accessed 2026-10-31
12. The Daily Star, 'Bangladesh gets 3 more years for LDC graduation', 30 Oct 2026 · link · accessed 2026-10-31
13. The Business Standard, 'Bangladesh gets 3 more years for LDC graduation', 30 Oct 2026 · link · accessed 2026-10-31
14. AnalystBro history and ratio model for WMSHIPYARD (model.xlsx, the workbook below) · link · accessed 2026-10-31