Zen Tech Share Price Drop for Third Straight Session, Fall 10% on Weak Q3 Results

Zen Technologies share price continued their downward trend for the third consecutive session after the company posted weaker Q3 FY25 results. The stock plunged 10% in today’s session, extending its 3-day loss to 33%.

Zen Technologies share price fell 10% to ₹972.00 as of 1:37 PM IST on February 18. The stock opened at ₹1,059.90, reaching a high of ₹1,059.90 and a low of ₹972.00.

Sequential Decline Despite Yearly Growth in Q3 Performance

Zen Technologies reported a 22% year-on-year increase in net profit to ₹38.62 crore, primarily driven by higher other income. However, net profit nearly halved from ₹65.24 crore in the previous quarter, reflecting a sharp sequential decline. Revenue grew 44% year-on-year to ₹141.52 crore, up from ₹98.08 crore but saw a 41% drop from ₹241.69 crore in Q2, largely due to shipment delays and a shift in revenue booking to the next quarter. 

EBITDA margins weakened to 35.90% from 47.34% in the same period last year but improved slightly from 35.12% in the previous quarter.

Revenue Guidance and Order Pipeline for Future Growth

Despite missing revenue expectations in Q3 FY25, Zen Tech remains optimistic about its future. The company expects ₹800 crore worth of inflows in Q4 FY26, providing revenue visibility beyond FY25. It maintains its ₹900 crore revenue target for FY25 with an EBITDA margin target of 35%. Zen Tech is also expanding its simulator portfolio with the acquisition of ARIPL, a naval simulator firm, and has signed MoUs and partnerships for air-based simulation solutions.

About Zen Technologies Limited

Zen Technologies Limited, established in 1996, specialises in designing, developing, and manufacturing combat training and counter-drone solutions for defence and security forces. The company focuses on indigenising technology to support the Indian armed forces, state police, and paramilitary units. Headquartered in Hyderabad, India, Zen Technologies also has offices in the UAE and the USA.

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