Paras Defence bags ₹45 crore order from BEL to supply air defence systems

Navi Mumbai-based Paras Defence and Space Technologies on Thursday (August 21) announced receiving an order from Bharat Electronics (BEL) worth approximately ₹45.32 crore for the supply of signal and data processing systems and multi-sensor fusion systems.The domestic contract is to be completed within 29 months, according to the stock exchange filing.

Earlier in the month, the company signed a teaming agreement with Germany’s High Performance Space Structure Systems GmbH for working together on projects related to defence and space in the Indian region.

Paras Defence Q1 resultsFor the first quarter ended June, the defence products manufacturer posted weak earnings on the operational front, with net profit remaining flat at ₹15 crore, compared to the same period a year ago.

Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter declined by 8.7% from the year-ago period to ₹22 crore, while margins narrowed by over 500 basis points to 23.6% from 28.8% last year.

Revenue for the quarter, however, increased by 11.5% from last year to ₹93.2 crore. The company’s Optics and Optronic Systems increased to ₹42.5 crore from ₹38.5 crore last year, while the Defence Engineering segment to ₹50.7 crore from ₹45 crore.

Shares of Paras Defence closed marginally lower at ₹675, down 0.8% on the BSE. The stock has gained as much as 34% year to date.