Company Overview
Paras Defence and Space Technologies Limited reported strong financial performance for FY 2025-26 with consolidated revenue of ₹476.57 crore, representing 31% year-over-year growth from ₹364.66 crore in FY25. Profit after tax increased significantly by 46% to ₹89.46 crore, maintaining a healthy margin of 19%. The company maintained a robust closing order book of ₹986 crore, indicating strong future revenue visibility.
Financial Highlights
Key financial metrics demonstrate solid operational performance: Revenue from Operations reached ₹47,657.54 lakhs (₹476.57 crore), while PAT stood at ₹8,809.68 lakhs (₹89.46 crore). The company maintained a zero-debt position with total assets of ₹96,471.10 lakhs and strong trade receivables of ₹36,406.69 lakhs. Cash flow from operations was positive at ₹2,460.53 lakhs, though lower than the previous year's ₹4,482.91 lakhs due to increased working capital requirements.
Corporate Actions and AGM
The Board recommended a final dividend of ₹1 per equity share (face value ₹5) subject to shareholder approval at the 17th Annual General Meeting scheduled for September 11, 2026. The record date for dividend eligibility is August 28, 2026. The AGM will also seek approval for material related party transactions aggregating ₹600 crore with Controp-Paras Technologies (₹450 crore) and Paras Anti-Drone Technologies (₹150 crore).
Business Segments and Subsidiaries
Optics and Optronic Systems contributed 42% of revenue (₹19,910.70 lakhs), while Defence Engineering accounted for 46% (₹27,746.84 lakhs). The group completed divestment of subsidiary Ayatti Innovative, recording an exceptional gain of ₹291.02 lakhs, and expanded through new associate investment in Himanshi Thermal Solutions (49% stake). The company maintains 8 subsidiaries (7 Indian, 1 foreign) and 3 associate companies.
Technological Advancements
Paras Defence advanced indigenous capabilities across multiple domains: developed high-power laser systems for air defence, maintained Asia-Pacific leadership in submarine periscope manufacturing, achieved 100% indigenous hyperspectral camera development, and expanded anti-drone technologies through its subsidiary. The company also progressed in quantum technologies and launched India's first hydrogen-powered drones with 12+ hours flight time.
ESG and Sustainability Reporting
The company published a comprehensive Business Responsibility and Sustainability Report covering all 9 NGRBC principles. Key ESG achievements include 100% employee training coverage, ISO certifications (9001, 14001, 45001), ₹1.235 crore CSR expenditure, and strong governance frameworks. The report detailed performance across environmental metrics (GHG emissions: Scope 1 - 9.35 TCO₂e, Scope 2 - 2,335.12 TCO₂e) and social parameters including 30% women workforce representation.
Manufacturing and Quality
Maintained certifications including ISO 9001:2015, ITAR Cleared, AS9100D, and DSIR Recognized R&D status. Manufacturing facilities in Nerul, Ambernath, Bengaluru, and Hyderabad enhanced process automation for improved precision and productivity across optical manufacturing operations.
Forward Outlook
The company continues to focus on indigenous technology development, expanding capabilities in emerging defence technologies, and maintaining strong order book execution. With the government's emphasis on defence indigenization and increasing defence budgets, Paras Defence is well-positioned to capitalize on growth opportunities in the defence and aerospace sectors.