Data Patterns shares surge 9% as strong order book offset margin pressure
Published on 13/11/2025 10:27 AM
Data Patterns shares surge 9% as strong order book offset margin pressureData Patterns expects revenue growth of 20-25% and EBITDA margins of 35-40% for FY26. Over the next two to three years, it aims to maintain a 20-25% annual revenue growth rate, led by a strong order pipeline of ₹20,000-30,000 crore expected over the next 18-24 months.By Meghna Sen November 13, 2025, 10:27:23 AM IST (Published)2 Min ReadShares of Data Patterns Ltd. surged as much as 9% on Thursday, November 14, after the defence electronics company reported strong September quarter results.
The company's revenue jumped 3.4 times year-on-year to ₹307 crore from ₹91 crore, outpacing estimates of 37% growth.
EBITDA doubled to ₹68 crore, while net profit rose 62% year-on-year, also beating expectations of 22% growth.
However, margins took a sharp hit, falling more than 1,500 basis points year-on-year to 22%, impacted by a steep rise in material costs. Material expenses surged to 61% of revenue, compared with 24% a year ago.
Gross margin fell to 38% from 76% due to the delivery of a low-margin project worth ₹180 crore during the quarter. The company, however, expressed confidence in returning to its historical margin levels for the rest of the year.
Data Patterns' current order book stands at ₹737.25 crore, while another ₹552.08 crore worth of orders are under negotiation. Including these, the total order book amounts to ₹1,286.98 crore, compared with ₹730 crore at the start of FY26.
Order inflow for the quarter stood at ₹167 crore, up 268% year-on-year.
The company said its order inflow for the first half of FY26 was in line with expectations and includes two major orders for electronic warfare products developed using Qualified Institutional Placement (QIP) funds.
Data Patterns expects revenue growth of 20-25% and EBITDA margins of 35-40% for FY26. Over the next two to three years, it aims to maintain a 20-25% annual revenue growth rate, led by a strong order pipeline of ₹20,000-30,000 crore expected over the next 18-24 months.Continue ReadingCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsData PatternsData Patterns share priceshare market today