Paras Defence Q4 Result: Net profit jumps 98% YoY to ₹19.72 crore; stock split announced in 1:2 ratio

Revenue from operations came in at ₹108.23 crore, up 35.8% from ₹79.69 crore registered in the corresponding period of the previous fiscal year.

Total income for the quarter under review stood at ₹112.28 against ₹85.17 seen in the year-ago period. This shows a rise of 31.8% YoY.

The numbers were announced post-market hours on Wednesday. Shares of the company ended at ₹1,365.25 apiece on the BSE, up 2.11% ahead of the results announcement.

Other key updates

The company said that its board has recommended the subdivision/split of its shares in the ratio of 1:2. It said that the existing one equity share of a face value of ₹10 each, fully paid-up, will be split into two equity shares of a face value of ₹5 each, fully paid-up, subject to shareholders’ approval.

The record date for the sub-division/ split of equity shares shall be decided after obtaining approval from the shareholders.

The company said that the board has recommended the payment of a final dividend of ₹0.50 per equity share of ₹5 each for the financial year ended March 31, 2025 (post the completion of the sub-division/split of equity shares).

The date of the annual general meeting (AGM) for FY 2024-25, the record date for the final dividend and the date from which the dividend, if approved by the shareholders, will be paid shall be communicated in due course, the company said.

Other details

• During the year, Paras Defence made qualified institutional placement (QIP), whereby 12,93,604 equity shares of the face value of ₹10 each were allotted to the qualified institutional buyers (QIBs) at a premium of ₹1,035 per share aggregating to ₹135.18 crore for QIP related expenses, funding working capital requirements and general corporate purposes.

"Out of the above QIP proceeds, ₹129.73 crore have been utilised for the above purpose, and the unutilised amount has been temporarily invested in term deposits or is lying with a monitoring agency account," the company said in its earnings filing.

• During the year, the company's board approved the divestment of its investment in: a) wholly-owned subsidiary, Paras Green and on March 27, 2025, the company entered into a sale agreement and received the sales consideration, accordingly as on March 31, 2025, Paras Green ceased to be a subsidiary of the Company;

• b) Ayatti Innovative Private Limited (‘Ayatti'), wherein the company holds a 58.02% equity stake, and on March 31, 2025, Paras Defence entered into a proposed sale agreement, and sale consideration is receivable in mutually agreed instalments; accordingly, the company has disclosed the investment in Ayatti as Held for Sale.