Defence and aerospace electronics solutions provider Data Patterns (India) Limited has closed FY26 with its strongest annual order intake on record, guiding for 20-25% revenue growth and EBITDA margins of 35-40% in FY27 — even as a soft fourth quarter on revenue underscored the execution lumpiness that characterises India’s defence electronics procurement cycle.
For Q4FY26, the Chennai-based company reported revenue from operations of ₹396 crore, down 13% from the year-ago quarter, with the sequential decline reflecting the timing of government defence project deliveries. Net profit for the quarter, however, rose 21% year on year to ₹138 crore from ₹114 crore in Q4FY25, with PAT margin for the quarter coming in at a robust 28.8% — a figure that points to the high-value, IP-led nature of Data Patterns’ products across radars, electronic warfare systems, and advanced avionics.
For the full year FY26, revenue from operations grew 31% to ₹925 crore from ₹708 crore in FY25, while net profit rose 22% to ₹271 crore from ₹222 crore — both in line with the company’s stated medium-term growth framework. The total order book as of March 31, 2026 stood at ₹926 crore, with the company having secured ₹1,121 crore worth of fresh orders across FY26 — the highest annual order inflow in its history.
Chairman and Managing Director S. Rangarajan described FY26 as a landmark year, citing strong execution, robust order inflows, and continued capability expansion across strategic defence programmes. With a healthy executable pipeline across radars, electronic warfare, and advanced defence electronics, the company expressed confidence in sustaining its growth momentum into FY27.
The FY27 guidance of 20-25% revenue growth and 35-40% EBITDA margins, if achieved, would place Data Patterns firmly on a path toward crossing the ₹1,100-1,150 crore revenue mark in the current fiscal — a threshold that would make it one of India’s most profitable listed defence electronics pure-plays on a margin basis. The board has also recommended a final dividend of ₹10 per share for FY26.
The results arrive at a moment of heightened strategic urgency for India’s domestic defence electronics ecosystem. With the Strait of Hormuz effectively closed since late February 2026 and India’s defence establishment accelerating indigenisation timelines across multiple programmes, companies with proven radar, EW, and avionics capabilities face a structurally supportive procurement environment. Data Patterns’ product portfolio — spanning airborne, naval, and ground-based electronic systems — positions it directly in the path of accelerated government orders as India moves to reduce import dependence in high-value defence sub-systems.
The Q4 revenue dip, while optically sharp at -13% year on year, is consistent with a recurring pattern in defence EPC and systems companies where fourth-quarter deliveries are subject to user acceptance testing timelines and government project milestone structures. The full-year 31% revenue growth and 22% PAT growth confirm that the underlying order execution trajectory remains intact.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a SEBI-registered financial advisor before making investment decisions.