Synopsis:
Centum has partnered with Bharat Electronics Limited (BEL) through an MoU to jointly develop advanced defense electronics, focusing on Electronic Warfare, radar systems, and secure military communication solutions.
The shares of the Small-cap EMS company, which specializes in Electronic System Design and Manufacturing (ESDM), offering a wide array of services and products across various high-technology sectors, jumped upto 8 percent upon signing an MoU with Bharat Electronics Limited (BEL) to collaborate in the development of advanced defense electronics.
With a market capitalization of Rs. 4,118.81 Crores on Wednesday, the shares of Centum Electronics Ltd jumped by upto 8.28, making a high of Rs. 2889.00 compared to its previous closing price of Rs. 2668.75.
Centum Electronics Ltd, engaged in Electronic System Design and Manufacturing (ESDM), offers a wide array of services and products across various high-technology sectors, has entered into a Memorandum of Understanding (MoU) with Bharat Electronics Limited (BEL), a leading defense public sector undertaking under the Ministry of Defence, Government of India.
This MoU aims to establish a strategic collaboration between the two companies in the defense electronics sector, focusing on areas such as Electronic Warfare systems, radar systems, and secure military communication solutions. The goal is to combine their strengths in the design, development, and manufacturing of advanced defense electronics for the Indian Armed Forces and allied markets.
While the MoU sets a framework for future collaboration, it currently does not have any immediate financial impact. The company will provide further updates as specific business opportunities arise and contracts are executed under this agreement.
Financials & Others
The company’s revenue rose by 11.8 percent from Rs. 247.13 crore to Rs. 276.34 crore in Q1FY25-26. Meanwhile, the Net loss from Rs. 3.84 crore turned to a profit of Rs. 4.48 crore during the same period.
Centum Electronics Limited was founded in 1993, is one of India’s largest Electronics System Design and Manufacturing (ESDM) companies. The company specializes in the design and manufacture of complex, mission-critical products, serving prominent customers in advanced economies as well as India.
It offers a comprehensive range of design services and manufacturing solutions for systems and subsystems across sectors such as Defense, Space, Aerospace, Industrial, Transportation, and Medical. With world-class facilities in North America, Europe, and India, Centum boasts cutting-edge infrastructure and a global supply chain, ensuring high-quality, reliable product delivery worldwide.
For Q1-FY26, Centum’s key business segments include Engineering R&D Services (20%), Electronic Manufacturing Services (42%), and Build-To-Specification solutions (38%), providing innovative, high-tech solutions from design to mass production.
In Q1-FY26, Centum Electronics’ geographical revenue breakdown was as follows: 9% from North America, 36% from India, 3% from the Rest of Asia, and 52% from Europe and the UK.
Centum Electronics’ industry revenue breakdown for Q1-FY26 was as follows: 54% from Defense, Space & Aerospace, 18% from Industrial & Energy, 7% from Healthcare, and 21% from Transport & Automotive.
Written by Sridhar J
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