Defence stock to watch after it announces 137.7% YoY increase in net profitsDefence stock to watch after it announces 137.7% YoY increase in net profits

Introduction:

Defence stock reported a 34.5% increase in total income for the quarter ending December 31, 2024, driven by higher revenue. Despite a 22.1% rise in expenses, the company achieved a 137.7% increase in Profit After Tax (PAT), showcasing strong operational growth.

Share Price movement of Paras Defence & Space Technologies:

On February 10, 2025, Paras Defence and Space Technologies Ltd opened at ₹1,061.00, dropping from its previous close of ₹1,039.70. The stock hit a high of ₹1,070.00 and a low of ₹1,014.00. It closed at ₹1,022.00, down 1.70%, with a market cap of ₹4,118.01 crore.

Paras Defence & Space Technologies Q3 Results:

For the quarter ending 31st December 2024, Paras Defence & Space Technologies reported a total income of ₹8,739 crore, reflecting a 34.5% increase compared to ₹6,493 crore in the same period last year. This growth was driven by higher revenue from operations and other income.

The company’s total expenses for the quarter amounted to ₹6,814 crore, marking a 22.1% increase from ₹5,659 crore in the previous year. The increase in expenses was driven by a higher cost of materials consumed (up 37.5%) and employee benefit expenses (up 30.1%), indicating increased operational activity.

Profit After Tax (PAT) for the quarter was ₹1,385 crore, a remarkable 137.7% increase from ₹586 crore in the same quarter last year. This sharp increase in PAT, alongside a 129.4% increase in Profit Before Tax (PBT), highlights strong operational performance despite the higher expenses.

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Recent news About Paras Defence & Space Technologies :

Paras Defence and Space Technologies has secured a license from the Department for Promotion of Industry & Internal Trade (DPIIT) to manufacture Light Machine Guns (LMGs), specifically the MK-46 and MK-48 models. This license, granted under the Arms Act, 1959, holds lifetime validity and permits an annual production capacity of 6,000 units for each model. 

Stock performance of Paras Defence & Space Technologies for Period of 1 week, 6 months and 1 year:

Paras Defence & Space Technologies showed a 3.65% increase over the past week. However, its performance over the last 6 months declined by 9.66%. Despite the recent pullback, the stock has demonstrated strong growth with a 34.6% return over the past year.

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Shareholding pattern of Paras Defence & Space Technologies:

All values in %	Dec-24	Sep-24	Jun-24
Promoters	57.05	58.94	58.94
FII	4.84	3.46	2.97
DII	1.48	0.63	0.07
Retail & others	36.61	36.96	38

About Paras Defence & Space Technologies:

Paras Defence & Space Technologies Ltd (NSE: PARAS) is a leading Defence and aerospace company, specializing in designing, manufacturing, and integrating Defence solutions for space, airborne, and land-based systems. The company focuses on providing innovative, high-tech products for national security and Defence needs.

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.