Paras Defence and Space Technologies reported strong year-on-year growth in the September quarter, with net profit rising 63.2% as revenue and operating earnings grew at a healthy pace. Operating margins also improved, led by robust performance in the Optics & Optronics segment, although Defence Engineering remained a weak spot on profitability.
Net profit rose to ₹31 crore in Q2 from ₹19 crore in the corresponding quarter last year. Revenue increased 42.5% to ₹151 crore, compared with ₹106 crore a year earlier.
At the operating level, earnings before interest, tax, depreciation and amortisation (EBITDA) grew 48.3% to ₹44.5 crore from ₹30 crore in the year-ago quarter. EBITDA margin expanded to 29.4% from 28%, an improvement of 140 basis points.
Optics & Optronics leads growth; Defence Engineering remains a weak spot
The Optics & Optronics segment led the strong performance, with revenue surging 96% year-on-year and rising 9% sequentially. The improvement in this segment also supported the expansion in overall operating margins.
Defence Engineering revenue grew 14% year-on-year and 30% quarter-on-quarter. However, segment profitability declined despite the sequential growth in revenue, making it a key area of weakness in the quarter.
Consolidated inventory increased to ₹194 crore from ₹160 crore at the end of March.
Paras Defence H1 FY27 performance
Paras Defence also reported strong growth for the first half of FY27, with consolidated revenue rising 40% year-on-year to ₹279 crore from ₹199 crore in H1 FY26.
EBITDA grew 49% to ₹76 crore from ₹51 crore, while EBITDA margin expanded by 160 basis points to 27.2% from 25.6%. Net profit increased 50% to ₹51 crore from ₹34 crore in the year-ago period.
| Consolidated | H1 FY26 | H1 FY27 | YoY growth |
|---|---|---|---|
| Revenue (₹ crore) | 199 | 279 | 40% |
| EBITDA (₹ crore) | 51 | 76 | 49% |
| EBITDA margin | 25.6% | 27.2% | +160 bps |
| Net profit (₹ crore) | 34 | 51 | 50% |
| Company’s earnings report | |||
Paras Defence Q1 FY27 performance
The latest results extend the company’s growth momentum from the June quarter, when Paras Defence reported a 42.7% increase in net profit to ₹21.22 crore and a 37.3% rise in revenue to ₹127.91 crore. Q1 EBITDA grew 45.4% year-on-year to ₹31.91 crore, while EBITDA margin improved to 24.9% from 23.6%.
Following the earnings announcement, shares of Paras Defence and Space Technologies were trading at ₹1,337.30 on the BSE at 2:23 pm, up ₹35.10, or 2.70%.
Based in Navi Mumbai, Paras Defence operates in the defence and space engineering sector. Its business includes the design, development, manufacturing and testing of defence and space products and solutions, spanning defence electronics, electro-optics, electromagnetic pulse protection, and optics and opto-mechanical systems for space and defence applications.