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Zen Tech drops after Q1 PAT tumbles 28% YoY to Rs 34 cr

27-Jul-2026 | 09:51
Zen Technologies declined 5.20% to Rs 1678.80 after the company reported a 27.83% year-on-year (YoY) tumble in consolidated net profit to Rs 34.46 crore for the quarter ended 30 June 2026 (Q1 FY27), compared with Rs 47.75 crore in Q1 FY26.
Revenue from operations fell 10.48% YoY to Rs 141.63 crore in the quarter ended 30th June 2026.

Profit before exceptional items and tax dropped 36.2% to Rs 48.62 crore in Q1 FY27, from Rs 76.21 crore in Q1 FY26. The company repored exceptional loss of Rs 3.37 crore after certain inventory of its subsuidiary, Uni string Tech Solutions, was damaged in a fire incident that occurred on 25 April 2026.

EBITDA stood at Rs 57.88 crore in Q1 FY27, registering de-growth of 33.08% compared with Rs 86.49 crore in Q1 FY26. EBITDA margin contracted sharply to 40.9% in Q1 FY27 as against 54.7% in Q1 FY26.

Zen Technologies noted that its order book improved significantly following order inflows from October 2025, with the typical execution cycle extending over approximately 12 months. Orders received through Q2 FY27 are also expected to contribute partially to revenue in Q4 FY27.

The company closed the quarter with a consolidated order book of Rs 1,239.02 crore as of 30 June 2026. Subsequently, it secured an additional simulator order worth Rs 177.50 crore in July 2026 for the upgradation and integration of Tank and Crew Gunnery Simulators.

The company said negotiations with original equipments manufacturers (OEMs) are at an advanced stage, and expressed confidence in formalising partnerships during the current financial year, marking its entry into the air simulator segment.

Zen Technologies provides defence training and anti-drone solutions. It builds training systems for imparting defence training and measuring the combat readiness of security forces. With a dedicated R&D (recognised by the Ministry of Science and Technology, Government of India) and production facility in Hyderabad, the company has applied for over 230 patents and shipped more than 1,000 training systems around the world.

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