Defence Stock Jumps 6% on ₹1,000 Cr Anti-Drone Demand Outlook and FY27 Margin Guidance

Synopsis: Shares gained after management projected Rs 1,000 crore anti-drone opportunities, guided 35 percent FY27 EBITDA margins, and launched new indigenous defence technologies.

The share of this company, which is a major player in India’s defense sector, focusing on indigenization with a strong R&D, holding 155+ patent applications, gained traction after management’s positive outlook.

With a market capitalization of Rs 14,626 crore, Zen Technologies Ltd’s share made a day high of Rs 1,655.10 per share, up by 5.6 from it previous day’s close price of Rs 1,567 per share. The share of this company gave a return of 2,102 percent over the last five years.

Management Outlook

Zen Technologies Chairman and Managing Director Ashok Atluri shared the company’s outlook on anti-drone opportunities, margin guidance, expected order inflows, and prospects for indigenous drone manufacturing.

Rising Need for Anti-Drone Innovation: Zen Technologies Ltd said the Armed Forces have done extraordinary work while highlighting the increasing role of autonomous drones in modern warfare. The company noted that drones are becoming more advanced and autonomous, making continuous innovation in anti-drone technology necessary to address evolving security and defence challenges.

New Product Launches and Order Expectations: The company recently launched new anti-drone systems at the North Tech Symposium to strengthen its defence technology portfolio. Management expects strong government demand ahead and indicated that anti-drone orders worth more than Rs 1,000 crore could be awarded going forward as defence spending in this segment rises.

Margin Guidance and Order Execution: Management guided that EBITDA margins are expected to remain around 35 percent in FY27, supported by execution strength and improving operating leverage. The company also expects order inflows to begin from H1FY27 and plans to execute nearly Rs 1,000 crore worth of orders by Q3FY27, improving revenue visibility over the coming quarters.

Focus on Indigenous Defence Manufacturing: The company stated that Predator drones are expected to be built indigenously going ahead, aligning with the government’s domestic defence manufacturing initiatives. Management believes localisation, combined with increasing opportunities in anti-drone systems and defence technology, could support long-term business growth and strengthen India’s defence ecosystem

New Product Launch

The company also launched a range of advanced defence products and technology solutions at the North Tech Symposium 2026. The new launches include an AI-powered anti-drone system, a cybersecurity suite, anti-drone simulator, an unmanned ground vehicle, smart ammunition airburst solutions, a long-range strike system, and a directed energy laser weapon system.

The company stated that these launches reflect its continued focus on developing indigenous next-generation defence technologies across counter-drone systems, cybersecurity, unmanned platforms, simulation, advanced munitions, and directed energy solutions. The initiative is aligned with the Government of India’s Atmanirbhar Bharat vision and the company’s localisation-driven defence manufacturing strategy.

About the Company

Zen Technologies Limited was incorporated in 1996. The company designs develop and manufactures combat training solutions and Counter-drone solutions for defence and security forces. It is actively involved in the indigenisation of technologies, which are beneficial to the Indian armed forces, state police forces, and paramilitary forces.

Financial Highlight: revenue from operations declined 45.2 percent YoY to Rs 178 crore in Q4 FY26 from Rs 325 crore in Q4 FY25. Operating margin fell to 28 percent in Q4 FY26 from 42 percent in Q4 FY25. Net profit declined 58.8 percent YoY to Rs 47 crore in Q4 FY26 from Rs 114 crore in Q4 FY25, while EPS dropped 68.8 percent YoY to Rs 3.49 per share from Rs 11.19 per share.

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