By Prashant Marathe | 23 May 2025 | EduInvesting
📌 At a Glance
Zen Technologies just delivered a blockbuster FY25:
- 💥 Revenue: ₹900 Cr
- 📚 Order Book (Standalone): ₹692 Cr
- 💰 Cash on hand: ₹1,037 Cr
- 📡 Anti-Drone Systems used in Operation Sindoor (yes, that one)
- 📦 FY26 to be “muted”, but 3-year CAGR guidance of 50% still intact
- 🛠️ Subsidiaries like ARI, UTS, Bhairav, and Vector now part of a tactical tech army
CMP: ₹1,037 — and the stock may just be entering its defence supercycle.
🔫 Zen’s Anti-Drone System: From R&D to Real War
Ashok Atluri dropped this nuclear nugget:
“We’re the only Indian private player that passed IDDM anti-drone trials. Others were screaming ‘drones’, we built systems to kill them.”
✅ Started R&D in 2018
✅ Designed, developed, and made in India — no jugaad
✅ Jammer, radar, EO sensors, command-control, hard kill integration — all in-house
✅ Used successfully during Operation Sindoor, saving lives and securing airspace
💡 While competitors only jam WiFi drones (2.4/5.8GHz), Zen’s systems are band-agnostic. They can neutralize any rogue flying toaster, including autonomous attack bots.
📊 Q4 & FY25 Financial Highlights
| Metric | FY25 |
|---|---|
| Revenue | ₹900 Cr |
| EBITDA Margin | 35% |
| PAT Margin | 25% |
| Cash Balance | ₹1,037 Cr |
| R&D Spend (est.) | ₹35–60 Cr |
| Order Book (Standalone) | ₹692 Cr |
| Order Book (Total) | ~₹800–850 Cr |
| Export Revenue | ₹300 Cr |
🎯 FY26 revenue may be “muted” — because orders might spill into FY27
📈 FY27–28 forecast: rapid scale to ₹2,000 Cr and ₹3,000 Cr
🚀 Operation Sindoor: From Lab to Battlefield
Zen’s anti-drone system was:
- Used on-ground
- Acknowledged by forces
- Praised internally for life-saving interception
Ashok Atluri (Zen CMD):
“We’ve already got feedback. Our systems worked where others failed. This isn’t a tender win, it’s a battlefield validation.”
🧠 Subsidiary Special Forces
Zen has formed a private-sector defence Avengers team:
| Subsidiary | Role | FY25 Rev |
|---|---|---|
| UTS | Anti-drone hardware core (radar, jammer) | ₹125 Cr |
| ARI | Naval & commercial simulators | ₹137 Cr |
| AI Turing | Remote weapon stations | N/A |
| Bhairav Robotics | Robotics, patents applied | Minor |
| Vector Technics | Drone ecosystem components | Starting |
🚀 Together, they’ll drive next-gen battlefield automation, training, and AI-led defence.
🛒 Export Plans & Global Defence Boom
- 🛫 ₹300 Cr of exports in FY25
- 🌎 Target markets: Africa, Middle East, CIS
- 🇺🇸 US office set up, NATO consultant engaged
- 🎯 Aim: bag simulation contracts in FY27–28
Ashok Atluri:
“We’re getting serious inquiries from EU, US — they’ve seen our tech, and they want it.”
📦 What’s in the War Chest?
| Capital Use | Amount |
|---|---|
| Total Cash | ₹1,037 Cr |
| QIP Proceeds | ₹410 Cr |
| Internal Cash | ₹625 Cr |
| Capex planned | ₹70 Cr (R&D infra) |
| Inorganic plans | 👀 Ongoing discussions |
Zen isn’t sitting on cash. They’re gunning for acquisitions, new labs, and export push.
🧮 FY26–FY28 Revenue Roadmap
- FY26: ~₹1,350 Cr (muted, might miss)
- FY27: ₹2,000 Cr
- FY28: ₹3,000 Cr
🧠 Total cumulative = ₹6,000 Cr+ in 3 years
Ashok Atluri:
“This year may be delayed. But we’re on track for 50% CAGR over 3 years.”
🛡️ EduInvesting Take
This isn’t a hype stock anymore. This is now India’s only battlefield-tested anti-drone defence company with:
✅ Proprietary IP
✅ R&D-first culture
✅ Strong earnings
✅ Export potential
✅ Low debt
✅ ₹1,000+ Cr war chest
FY26 might be slower — but if procurement cycles align post-elections, Zen could very well lead India’s next-gen defence economy.
🏷️ Tags
Zen Technologies FY25 Results, Operation Sindoor Anti-Drone, Indian Defence Tech Stock, Ashok Atluri Zen CMD, EduInvesting, Zen Order Book FY26, Bhairav Robotics, ARI Simulation Naval, Vector Technics Drone Parts, Zen Export Orders, India US Defence Tech
