Zen Technologies reports 30% YoY growth in PAT; Check the order book highlights

Synopsis: Shares of Zen Technologies Ltd are in focus after the company reported 30% YoY profit growth in Q3 FY26 and a strong Rs 1,083 crore order book, providing solid revenue visibility and strengthening its medium-term growth outlook.

The shares of this company, which designs, develops, and manufactures combat training solutions and counter-drone solutions for defence and security forces and is actively involved in the indigenisation of technologies, which are beneficial to Indian armed forces, state police forces, and paramilitary forces, had its shares in focus today after the company delivered robust results.

With the market cap of Rs 12,082 crore, the shares of Zen Technologies Ltd are trading at Rs 1,337; they are trading at a PE of 46, whereas their industry PE is 59. The shares have given a return of about 1,400% over the last 5 years. 

About the Q3 Result highlights

The revenue from operations for the company stood at Rs 178 crore when compared to Rs 152 crore in Q3 FY25, growing by 17 percent on a YoY basis and on a QoQ basis increasing by 2 percent from Rs 174 crore in Q2 FY26.

The profit for the company stood at Rs 56 crore when compared to Rs 43 crore in Q3 FY25, growing by 30 percent on a YoY basis and on a QoQ basis falling by 10 percent from Rs 62 crore in Q2 FY26.

The order book information represents strong revenue visibility and business momentum. Beginning with an opening order book of Rs 675.04 crore as of October 1, 2025, the company registered new orders of Rs 585.55 crore in Q3 FY26, which is a strong indicator of order registrations. Following the execution of orders worth Rs 177.83 crore in Q3 FY26, the total order book as of December 31, 2025, stands at Rs 1,082.76 crore, which is a strong indicator of a healthy order book, a favourable demand environment, and strong growth visibility.

The commentary points out that Zen Technologies Ltd experienced a short-term revenue deferment in Q3 FY26 due to the delay in finalising procurements after the security-related disruptions in May 2025. Although this led to the deferral of FY26 revenues to later years, the company’s profitability continued to be robust, thanks to the favourable product mix and tight cost control. Notably, the company’s order intake saw a sharp pickup, with new orders of Rs 586 crore in Q3 and an additional Rs 345 crore post the end of the quarter, taking the total inflows in four months to Rs 931 crore, thereby improving revenue visibility over the medium term substantially.

In terms of operational performance, Q3 FY26 was a period of strong execution and innovation for the company. High-value orders such as the Rs 245 crore upgrade order for the Anti-Drone System and the Rs 102 crore Combat Training Node order reflect the increasing relevance of Zen Technologies in indigenous defence systems and simulation-based training solutions.

Early completion of the IADCS project and entry into naval simulation through the acquisition of a 76% stake in Anawave Systems further strengthen execution credibility and capability depth. With most orders scheduled for FY27 execution, Zen is well-positioned for a stronger financial performance ahead.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Zen Technologies reports 30% YoY growth in PAT; Check the order book highlights appeared first on Trade Brains.