Zen Technologies Limited held its Q2 and H1 FY2027 Earnings Conference Call on November 02, 2026. The call was moderated and included a comprehensive review of financial performance followed by a question-and-answer session.

Management Participants:

  • Mr. Ashok Atluri - Chairman & Managing Director
  • Mr. Hari Haran Chalat - Chief Financial Officer
  • Ms. Abhilasha Atluri - Head of Investor Relations
  • Mr. Ravi Udeshi - Senior Manager Investor Relations

Financial Performance Highlights:

  • Q2 FY2027 Consolidated Revenue: Rs.345.1 crores (highest ever quarterly revenue), representing 98.8% growth over Q2 FY2026 (Rs.173.6 crores) and more than double Q1 FY2027 (Rs.141.6 crores)
  • Q2 Operational EBITDA: Rs.132 crores at 38.2% margin, compared to 37.3% in Q2 FY2026 and 27.3% in Q1 FY2027
  • Q2 Profit After Tax: Rs.89.5 crores, a growth of 50.7% over Rs.59.4 crores in Q2 FY2026
  • H1 FY2027 Consolidated Revenue: Rs.486.8 crores, growth of 46.7% over H1 FY2026 (Rs.331.8 crores)
  • H1 Operational EBITDA: Rs.170.7 crores at 35.1% margin
  • H1 Profit After Tax: Rs.124 crores compared to Rs.107.2 crores in H1 FY2026

Order Book Position (as of September 30, 2026):

  • Total Consolidated Order Book: Rs.1375.7 crores
  • Equipment Order Book: Rs.995 crores
  • AMC Order Book: Rs.380.7 crores
  • Q2 Order Inflows: Rs.481.8 crores
  • Q2 Order Execution: Rs.345.1 crores

Working Capital and Balance Sheet:

  • Working capital cycle: 379 days as of September 30, 2026 (increased from 255 days in Q1)
  • Debt-free with approximately Rs.968 crores of cash and bank balances
  • Negative operating cash flows for H1 due to working capital build for order execution

Key Business Updates:

  • The company maintained full-year operational EBITDA margin guidance in the mid-30s
  • Increased expenses attributed to performance incentives, R&D team ramp-up (particularly in AI and emerging product areas), and warranty provisioning
  • R&D expenses were approximately 12% of revenue in FY2026 and expected to be in similar range for FY2027
  • Discussion of Counter-UAS (C-UAS) market opportunities, with expectations of Fast Track Procurement (FTP) orders potentially coming in Q4 FY2027
  • Updates on recent acquisitions (Cogknit for AI/command-control systems, ARI and Anawave for naval simulators)
  • Hyper Strike interceptor capacity building of 180,000 units per annum at estimated $10,000 per unit, with revenue expected from FY2028
  • Export market discussions covering Middle East, CIS countries, Southeast Asia, Europe, and US markets
  • Applied for more than 235 patents with ongoing monthly grants

Guidance and Outlook:

  • Comfortable with FY2027 revenue guidance of Rs.1200-1300 crores
  • Capex budget: Rs.150 crores for FY2027 and similar amount for FY2028
  • Execution capability significantly improved with ability to handle increased order volumes

Additional Notes Section

The document is a regulatory filing containing the transcript of the earnings conference call held on November 02, 2026. No unpublished price sensitive information (UPSI) was indicated to be shared during the call. The filing was submitted to both NSE and BSE as required under Regulation 30 of SEBI (LODR) Regulations, 2015.