Data Patterns India (DATAPATTNS) Q2 25/26 earnings summary

Executive summary

• Achieved strong revenue growth in Q2 and H1 FY26, with H1 revenue more than doubling year-on-year to INR 407 crore, driven by robust execution and new orders.

• Serves major clients including MOD, DRDO, DPSUs, private sector, and international customers, with a robust order book of Rs 6,736 Mn as of September 30, 2025.

• Transitioning from subsystem supplier to full systems integrator, focusing on indigenous solutions and advanced product development.

• Demonstrated capabilities in radars, electronic warfare, communication systems, avionics, and satellite equipment, with significant export achievements.

• Unaudited financial results for the quarter and half-year ended September 30, 2025, were approved by the Board on November 12, 2025.

Financial highlights

• Q2 FY26 revenue reached INR 308 crore, up 238% year-on-year and 210% quarter-on-quarter.

• H1 FY26 revenue grew 109% year-on-year to INR 407 crore; Q2 EBITDA at INR 69 crore, up 100% year-on-year.

• Q2 net profit at INR 49 crore, up 63% year-on-year; H1 net profit at INR 75 crore, up 18% year-on-year.

• Q2 gross margin at 39%, EBITDA margin at 22%, and PAT margin at 16%; margins impacted by a one-off strategic contract.

• ROE and ROCE for H1FY26 (TTM) were 15% and 19%, respectively.

Outlook and guidance

• Confident of achieving full-year revenue and EBITDA margin guidance, with expectations of margin improvement in H2 due to a more balanced product mix.

• Targets 20-25% revenue growth over the next 2-3 years, with EBITDA margins expected to remain at 35-40% in FY26.

• Strong order book pipeline of Rs 20-30bn anticipated over the next 18-24 months.

• Guidance remains unchanged, with potential for slight upward revision due to executed contracts.

• Anticipates more high-value orders in coming quarters as products gain wider acceptance.