Synopsis: Zen Technologies’ stock jumped 7% to Rs. 1,446.10 after bagging Rs. 289 crore Defence Ministry contracts for anti-drone system upgrades, boosting local defence manufacturing.
A leading innovator in indigenous defence technologies, the company specializes in advanced anti-drone systems for national security. In this article, we explore a major boost as it secures two contracts from the Defence Ministry, signaling a strong shift toward locally-made defence solutions and spurring a sharp surge in its stock.
Zen Technologies Limited’s stock, with a market capitalisation of Rs. 12,721 crores, rose to Rs. 1,446.10, hitting a high of up to 6.55 percent from its previous closing price of Rs. 1,357.20. However, the stock over the past year has given a negative return of 24.5 percent.
Anit-Drone Order
Zen Technologies has received two major contracts worth Rs. 289 crores from India’s Ministry of Defence to upgrade its Anti-Drone Systems (ADS). These projects highlight the importance of using systems that are designed, developed, and made in India, rather than imported ones. The upgrades are expected to be finished within a year.
The new upgrades respond to feedback from frontline missions, where fast-changing drone threats have shown the need for quick updates to both hardware and software. Zen’s in-house developed ADS allows rapid improvements based on new defence requirements, providing flexibility and speed that imported products cannot match.
Order Book
As of 30 September 2025, Zen Technologies total order book stands at Rs. 675.04 crore. This amount includes orders received earlier, new orders worth Rs. 94.05 crore added during Q2FY26, and orders worth Rs. 173.57 crore that were completed in the same quarter. Part of the total, Rs. 190.53 crore, is from subsidiary companies. The numbers show that the company started Q2FY26 with an order book of Rs. 754.56 crore, took in new orders, and executed many projects, leading to the updated total.
Q2 Financial Highlights
The company reported revenue of Rs. 174 crore in Q2FY26, down 28% year-on-year from Rs. 242 crore in Q2FY25, but up 10% quarter-on-quarter from Rs. 158 crore in Q1FY26, indicating a sequential recovery despite annual contraction. The three-year sales CAGR stood strong at 141%, reflecting high growth momentum over the medium term.
Profit for Q2FY26 came in at Rs. 62 crore, down 1.6% year-on-year compared to Rs. 63 crore in Q2FY25, but rising 17% sequentially from Rs. 53 crore in Q1FY26, driven by margin improvement. Over three years, profit has compounded at 411% CAGR, while ROE grew at 26% CAGR, highlighting consistent profitability expansion.
Written By Fazal Ul Vahab C H
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