Data Patterns shares decline 11% but recover from lows; Q4 revenue misses estimates

Data Patterns shares decline 11% but recover from lows; Q4 revenue misses estimates


Shares of Data Patterns (India) Ltd. declined as much as 11% on Friday, May 15, reacting to their fourth quarter earnings. This is the biggest single intraday drop since June 2024.

The company reported a strong performance overall during the March quarter, but its revenue missed estimates.

Q4 Highlights

The company’s net profit increased by 21% to ₹138 crore from ₹114 crore. A CNBC-TV18 poll had estimated a 22% increase.

Its revenue declined 13% to ₹345 crore from ₹396 crore last year. The street was expecting a 4% revenue growth.

Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 29% to ₹193 crore from ₹150 crore in the previous year. The street had estimated a 20% EBITDA increase.

EBITDA Margin expanded by over 1,800 basis points to 55.92% from 37.76% in the year-ago period. It also beat Street expectations of 44% margins.

Data Patterns’ material cost as a percentage of sales declined significantly to 27% from 51% last year. The number was higher than the 24% figure in the previous quater.

Guidance

The company has guided to grow its revenue between 20% to 25% over the next two to three years. EBITDA margins are likely to be between 35% to 40% in the new financial year.
The company said it has a strong order book in pipeline between ₹2,000 crore to ₹4,000 crore over the next 24 months. It maintains its net debt free status.

FY26 highlights

Overall, the company reported a good performance in the financial year 2026.

Its net profit increased 22% in FY26 to ₹271 crore from ₹222 crore last year. The Street had estimated a 24% increase.

Its revenue increased 31% compared to estimates of 38% but was above guidance of 20-25%. Its revenue came in at ₹925 crore compared to ₹708 crore last year.

Its EBITDA margins expanded to 40.44% from 38.82% in the year-ago period and higher than estimates of 37%.

The company’s material cost as a percentage of sales were down to 37% compared to 39%.

Orders

Data Patterns reported an order inflow of ₹1,121 crore in FY26. Its order book for the fiscal was at ₹926.48 crore compared to ₹730 crore last year.

As much as 32.9% of its order book comprised of AMC, 29.8% for radar, 19% of avionics, 7.5% for EW, 4.7% for navel systems and the ‘others’ segment comprised 6.1%.

Stock reaction

Shares of Data Patterns declined 11.09% to hit an intraday low of ₹3,565.6 apiece on Friday. The stock later recovered from its lows and was trading 5% lower at ₹3,810 apiece. It has gained 10.6% in the past month and 46.5% this year, so far.

Also Read: Apollo Tyres reverses gains, stock falls 6% from day’s high after Q4 results



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