Defence and Space engineering stock with clients such as HAL, BEL, DRDO and many more domestic and international clients jumped 4 percent, following the incorporation of a new subsidiary for manufacturing a material used in the Aviation, Defence & Space industries.
At 1:40 p.m. the shares of Paras Defence and Space Technologies Limited were trading at Rs. 730, up 4 per cent from its previous day’s close price of Rs. 701.65 and its market capitalization is Rs. 2,845.83 Crores.
The board of directors of Paras Defence and Space Technologies Limited has considered and approved the incorporation of a subsidiary company named Mechtech Thermal Private Limited or any other name as being approved.
The new subsidiary will engage in the Design, Development and Validation of thermal products especially for Aviation, Defence & Space, and Allied Industries. It will use Advanced Nano Technology, Power Metallurgy, and Diffusion bonding techniques to optimize the space and weight to meet the advanced thermal solutions.
Paras Defence and Space Technologies Limited is engaged in the designing, developing, manufacturing and testing of a variety of defence and space engineering products and solutions.
As of FY23, it had an order book of Rs. 393 Crores and it generated 36.98 percent (Rs. 82.25 Crores) of its operational revenue from Defence Electronics, 32.08 percent(Rs. 71.36 Crores) from Defence and Space Optics and 30.94 percent (Rs. 68.82 Crores) from Heavy Engineering and Defence.
It generated 55 percent of operational revenue from Government customers, 30 percent from Private customers and 15 percent from international customers. Some of its famous clients are DRDO, ISRO, BEL, HAL, Mazagon Dock Shipbuilders, Tata Power, Rafael Advanced Systems, Israel Aerospace Industries and many more.
In FY23 its revenue from operations grew 21.84 percent from Rs. 182.56 Crores in FY22 to Rs. 222.43 Crores in FY23, accompanied by profits of Rs. 27.04 Crores to Rs. 36.06 Crores.
Written by: Bharath K.S
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