Defence stock engaged in designing, developing, manufacturing, and testing a variety of defence and space engineering products in focus upon receiving work orders worth ~Rs. 62 Crores from the Ministry of Defence.
Price Action
With a market capitalization of Rs. 4,303 Crores, the shares of Paras Defence and Space Technologies Limited were trading at Rs. 1,068.05 per equity share, down 0.5 percent from the previous day’s close price of Rs. 1,073.20.
What Happened
Paras Defence and Space Technologies Limited has received a new work order from Instruments Research and Development Establishment (IRDE), Ministry of Defence, Government of India, Dehradun, for a consideration of Rs. 61.43 crores
The said work order is for providing upgrade of Optronic Periscope Sight with Accessories, including ESM Warner, for the Indian Naval Submarine Application and it is to be executed within 12 months.
About the Company
Paras Defence and Space Technologies Limited is primarily engaged in designing, developing, manufacturing, and testing a variety of defence and space engineering products and solutions.
It operates in application areas of Rockets & Missiles, Electronic Warfare & Surveillance, Battle Tanks & Armoured Vehicles, Naval Systems, Electro Magnetic Shielding, Space Imaging Systems, Space Research, Drone Technologies and many more.
It has a strong customer base which includes well-known entities like DRDO, Mazagon Dock Shipbuilders, ISRO, BEL, HAL, Tata Power, Rafael Advanced Systems, Department of Atomic Energy, Israel Aerospace Industries, and many more.
Financials and Ratios
Its Revenue from operations grew by 42 percent from Rs. 61 Crores in Q2FY24 to Rs. 87 Crores in Q2FY25, accompanied by profits of Rs. 9 Crores to Rs. 13 Crores.
In terms of Return ratios, it has reported a return on equity (ROE) of 7 percent, and a return on capital employed (ROCE) of 10.3 percent. It has reported a debt-to-equity ratio of 0.15.
Written by: Bharath K.S
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