Zen Technologies (533339) Q4 24/25 earnings summary

Executive summary

• Achieved record annual and quarterly performance in FY25, with consolidated revenue up 121% year-over-year to ₹973.64 crore and net profit attributable to shareholders rising to ₹28,024.41 lakhs.

• Surpassed guidance with EBITDA and PAT margins above 35% and 25% respectively, and delivered India's first band-independent counter-drone systems proven in recent operations.

• Completed strategic acquisitions, including ARIPL (naval simulation), Vector Technics (drone components), and Bhairav Robotics (defence robotics), expanding product lines and technological capabilities.

• Liquidity remains robust at ₹1,037 crore, supporting growth, R&D investments, and future acquisitions.

• The Board recommended a final dividend of ₹2 per share, subject to shareholder approval.

Financial highlights

• FY25 consolidated revenue grew 121% year-over-year to ₹973.64 crore; standalone revenue up 116% to ₹930.67 crore.

• Consolidated operational EBITDA rose 107% to ₹383.03 crore; PAT increased 119% to ₹280.24 crore.

• Q4FY25 consolidated revenue up 130% year-over-year to ₹324.97 crore; PAT up 189% to ₹101.05 crore.

• Export revenue reached nearly INR 300 crores, with key markets in Africa, CIS, and the Middle East.

• Cash and cash equivalents at year-end stood at ₹7,415.40 lakhs, up from ₹3,670.85 lakhs.

Outlook and guidance

• FY2026 expected to be muted due to timing of order execution, with significant order inflow anticipated by end of H1 but revenue recognition likely spilling into FY2027.

• Medium-term guidance remains aggressive: cumulative turnover of over INR 6,000 crores projected for FY2026–FY2028, with 50% CAGR targeted.

• Expansion into North America and new acquisitions are expected to drive further growth.

• AMC business targeted to cover fixed operating expenses, reducing earnings volatility.

• Margins expected to remain stable; company confident in maintaining 25% PAT and 35% EBITDA margins.