Zen Technologies Limited — PPTs, 18-05-2025: Investor Presentation

1. Financial Highlights:

Zen Technologies delivered consolidated revenue of ₹973.64 Cr in FY25, up 121% YoY, with PAT rising 119% to ₹280.24 Cr. Standalone revenue hit ₹930.67 Cr, posting 103% growth in PAT. Quarterly consolidated revenue grew 130% YoY to ₹324.97 Cr, while PAT surged 189% to ₹101.05 Cr. EBITDA margins remained healthy above 40%, backed by tight cost control. The order book ended at ₹691.94 Cr, primarily driven by equipment orders. R&D spend rose to ₹33 Cr, supporting innovation. Liquidity stayed strong at ₹1,037 Cr, enabling further investments.

2. Strategic Initiatives & Growth Drivers:

Zen plans a ₹70 Cr expansion of its R&D center to speed up next-gen defence tech development, focusing on drones, anti-drone systems, and indigenous components. The firm aims to grow AMC revenues for steadier income streams. Capex includes new drone motor manufacturing and enhanced R&D facilities, aligned with national strategic priorities.

3. Business Developments:

Zen expanded its tech portfolio through acquisitions—76% of Applied Research International Pvt Ltd (marine/naval simulation), 51% of Vector Technics Pvt Ltd (drone propulsion), and 45.33% of Bhairav Robotics Pvt Ltd (defence robotics and autonomous weapons). These moves broaden capabilities across land, sea, and air defence verticals and open cross-selling avenues.

4. Market Position & Competitive Advantage:

Zen is a leader in land-based simulation and is gaining ground in naval, drone, and robotics sectors. The acquired firms bring top-tier marine simulation, indigenous drone tech, and AI combat robotics, creating strong technology moats. Growing scale, annuity revenues, and a robust R&D pipeline enhance its market edge.

5. Investor Implications:

Robust margin expansion, a solid order book, and diversified offerings signal positive growth potential. Acquisitions and R&D boosts position Zen well for defence modernization. Execution on integrating new businesses and scaling drone/robotics is key near-term; strong liquidity and order wins mitigate execution risks and support confidence in continued profitability.