Synopsis: This defence inventory secured a Rs. 429.56 crore order from the Ministry of Defence for Chaffs and Flares provide to the Indian Air Power, to be delivered in 12 months, boosting its defence manufacturing presence.
That is engaged within the manufacturing of commercial explosives and detonators and it additionally undertakes operation and upkeep (O&M) providers of stable propellant crops is now within the focus after securing an order value Rs. 429.56 cr.
With market capitalization of Rs. 3,378 cr, the shares of Premier Explosives Restricted are closed at Rs. 629.95 per share, growing practically 7% in at the moment’s market session making a excessive of Rs. 646.65, from its earlier shut of Rs. 604.70 per share.
Concerning the order
Premier Explosives Restricted introduced that it has obtained important orders from the Ministry of Defence, Authorities of India, for the availability of Chaffs and Flares to the Indian Air Power, valued at Rs. 429.56 crore (together with GST).
The order is to be executed inside 12 months, additional strengthening the corporate’s place as a key provider of defence-grade explosive supplies and countermeasure programs.
The order is from the Indian authorities and is totally home, with no involvement of associated events or firm promoters. This deal highlights Premier Explosives rising position in supporting India’s defence sector and the nation’s objective of creating extra defence tools inside India.
Additionally learn: Vijay Kedia inventory that has delivered internet revenue development of greater than 100% in Q2
Concerning the firm
Premier Explosives Restricted is a number one Indian firm specializing within the manufacture of high-energy supplies, together with explosives, propellants, and defence programs. Established in 1980 and headquartered in Secunderabad, Telangana, the corporate serves each defence and business sectors, supplying merchandise like stable propellants, pyrotechnics, detonators, and missile programs. It’s a trusted provider to the Indian Armed Forces, ISRO, and DRDO, contributing considerably to India’s indigenous defence and aerospace capabilities.
The corporate has proven robust monetary efficiency, marked by a major discount in debt and constant revenue development, delivering a sturdy 37.6% CAGR over the previous 5 years. Operational effectivity has improved notably, with debtor days reducing from 76.0 to 33.3 days.
The corporate’s return ratios stay wholesome, with a Return on Capital Employed (ROCE) of 16.9% and a Return on Fairness (ROE) of 12.2%. Gross sales of the corporate elevated from Rs. 74 cr in Q4FY25 to Rs. 142 cr in Q1FY26. Working revenue rose to Rs. 21 cr to Rs. 10 cr. Web revenue considerably elevated from Rs. 4 cr to Rs. 15 cr over the identical interval.
Written by Manideep Appana
Disclaimer
The views and funding suggestions expressed by funding specialists/broking homes/score businesses on tradebrains.in are their very own, and never that of the web site or its administration. Investing in equities poses a danger of economic losses. Traders should subsequently train due warning whereas investing or buying and selling in shares. Commerce Brains Applied sciences Personal Restricted or the creator usually are not chargeable for any losses precipitated because of the choice primarily based on this text. Please seek the advice of your funding advisor earlier than investing.
