Zen Technologies Limited — Results, 17-05-2025: Integrated Filing- Financial

Zen Technologies has announced a board meeting on August 23, 2025, to consider the financial results for the quarter and half-year.

Revenue Performance: Consolidated revenue for FY25 surged to Rs. 973.64 Cr, more than doubling YoY from Rs. 439.85 Cr. Growth was driven by strong traction in defence and homeland security segments alongside recent strategic acquisitions. Total income, including other income, rose sharply to Rs. 1,032.03 Cr from Rs. 454.77 Cr.

Profitability and EPS: Net profit jumped to Rs. 299.33 Cr from Rs. 129.50 Cr, supported by operating leverage and margin expansion. Basic and diluted EPS more than doubled to Rs. 32.07 from Rs. 15.45. Profit before tax nearly doubled to Rs. 406.07 Cr, highlighting improved profitability.

Operational Costs: Material consumption nearly doubled to Rs. 345.19 Cr, reflecting higher volumes. Employee costs increased to Rs. 88.76 Cr due to business expansion. Despite higher finance costs, efficient expense management and inventory control helped maintain strong EBITDA margins amid scaling.

Key Metrics: Operating margins expanded notably with EBITDA rising in line with profit. Group experienced minor share loss from associates, while other comprehensive income was impacted negatively by tax and forex factors but did not affect core profits.

Balance Sheet / Cash Flow Health: Total assets expanded significantly to Rs. 20,490 Cr from Rs. 7,505 Cr, fueled by acquisitions and US expansion, including a US$10M infusion. Equity rose to Rs. 1,700.69 Cr with manageable borrowings. Operating cash flow remained healthy at Rs. 390 Cr, though investing cash flows reflected capex and acquisition spends.

Management Commentary / Strategic Outlook: The company continues to strengthen its technology portfolio and North American presence through acquisitions like Applied Research International and Bhairav Robotics. A strong order book of Rs. 691.94 Cr provides good visibility on near-term growth.

Final Takeaway: Zen Technologies is on a robust growth trajectory backed by strategic buyouts and expanding global footprint. With strong margins, healthy cash flows, and a solid order book, it remains a compelling play in the defence tech space for retail investors.