In Monday’s trading session, the shares of one of leading defence stock specializing in the design, manufacturing, and supply of advanced electronic systems and solutions jumps up to 6 percent upon receiving a new work order for Rs.483 crores from ELTA Systems.
Price action
With a market capitalization of 4,116.84 Crores on Monday, the shares of DCX systems Limited is up by 6 percent making a high of Rs 393 compared to its previous closing price of Rs 368.90.
What happened
DCX systems Limited specialised in specializing in the design, manufacturing, and supply of advanced electronic systems and solutions.
DCX Systems Limited has received an export purchase order in the normal course of business from ELTA Systems Ltd, Israel, for the manufacture and supply of Close-In Weapon System (CIWS) Module Assemblies. The value of the order is approximately USD 56.5 million, which is around INR 483 Crores.
About the company
DCX Systems Ltd. is a prominent Indian company specializing in the design, manufacture, and integration of advanced electronic systems for the aerospace, defense, and telecommunications sectors. The company is recognized for its expertise in producing high-precision products such as wire harnesses, electro-mechanical assemblies, and integrated systems critical to defense platforms, radar systems, and missile technology.
It plays a vital role in supporting India’s defence capabilities and contributes to the “Make in India” initiative by reducing reliance on defense imports. Through its commitment to technological advancement and manufacturing excellence, the company serves both domestic and international markets.
Recent Order
DCX Systems Limited has received an export order worth approximately Rs. 460.30 Crores (US$ 54.8 million) from Lockheed Martin Global Inc, USA, for electronic assemblies. The order is to be completed within 12 months and reflects the company’s growing presence in the global aerospace and defense sector
Shareholding Pattern
DCX Systems Ltd. has a diverse ownership structure, with promoters holding 57.1 percent, Foreign Institutional Investors (FIIs) at 0.77 percent, Domestic Institutional Investors (DIIs) at 7.89 percent, and the public owning 34.22 percent.
Financials
The company’s revenue declined by 32 percent from Rs 321.44 crore to Rs 215.62 crore in Q2FY24-25. Meanwhile, Net profit fell drastically from Rs 19.85 crores to Rs 5.22 crore during the same period.
Key Financial ratios
DCX Systems Limited has an Return on Equity (RoE) of 4.07 percent and a Return on Capital Employed (RoCE) of 7.03 percent. Furthermore, the company’s debt-to-equity ratio is 0.05.
Written by Sridhar J
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