Shares of Zen Technologies were locked at the 10 per cent upper circuit at Rs 675 on the BSE in Monday’s intra-day trades after the company reported a strong set of earnings for the June quarter.
The company’s net profit zoomed 474 per cent to Rs 47.13 crore for the quarter ended June 2023 when compared with Rs 8.21 crore in the corresponding quarter a year ago. Total income grew 3.8-fold to Rs 135.08 crore from Rs 35.38 crore. Earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 414 per cent YoY to Rs 68.79 crore.
The performance for Q1FY24 has set a new record in terms of revenue and
profitability. This strong performance in the quarter was driven by the successful execution of a significant part of the simulation export and domestic anti-drone orders. The inherent operating leverage of our business model came to the fore this quarter, evident in EBITDA of 51 per cent, Ashok Atluri, chairman and managing director, said.
The company’s new order amounted to Rs 200 crore in the June quarter. Additionally, the company has won orders worth Rs 500 crore in July, thus taking its total order book to Rs 1,000 crore, the company saind in an exchange filing.
We have a strong liquidity position and a healthy balance sheet with a significant improvement in our working capital cycle. This will support execution of the orders and fuel our plans for the growth opportunities that will unfold in the coming years, Ashok Atluri added.
Zen Technologies is a pioneer and leader in providing world class state-of-the- art Defence Training Solutions, Drones and Anti- Drones solutions and has a proven and impeccable track record in building training systems for imparting defense training and measuring combat readiness of security forces.
At 09:50 AM, the stock remained locked at the 10 per cent upper limit at Rs 675, on volume of around 13,000 shares on the BSE, with pending buy orders for over 88,000 shares at the counter. Meanwhile, the S&P BSE Sensex rose 0.2 per cent to 65,837.