Paras Defence Soars with ₹142 Crore DRDO Contract for Cutting-Edge Laser Technology
In a significant boost to India’s defence capabilities, Paras Defence and Space Technologies has secured a ₹142 crore contract from CHESS (Centre for High Energy Systems and Sciences), a Hyderabad-based division of the Defence Research and Development Organisation (DRDO). This exciting development has sent the company’s stock soaring by 10%, reflecting investor confidence in this high-stakes project.
What’s the Project About?
DRDO’s CHESS has awarded Paras Defence a ₹142 crore contract to develop a laser source module and integrate it with a beam control system (BCS) on a mobile platform. This high-power laser system will enhance India’s defence by targeting drone and missile threats, which are becoming increasingly common.
Why This is Important
Paras Defence is known for its innovative defence and space technologies. The company provides high-precision products and turnkey solutions across three major areas:
- Defence and space optics
- Defence electronics solutions
- Heavy engineering
This new contract reinforces Paras Defence’s role as a key player in India’s defence sector.
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Timeline and Execution
The project will be completed in 24 months. As of December 31, 2024, the Government of India holds a 57.05% stake in the company, highlighting strong public-private collaboration in strengthening India’s defence capabilities.
Financial Performance
Paras Defence is thriving financially. In Q3 FY25, the company posted a consolidated net profit of ₹15.04 crore, a massive 125.82% jump from ₹6.66 crore in Q3 FY24. Its revenue also grew by 33.63% to ₹85.77 crore, up from ₹64.18 crore in the same period last year. This growth highlights the company’s strong performance and strategic focus.
The Bigger Picture
This contract is a win for both Paras Defence and India’s defence sector. By creating advanced laser systems, the country is boosting its anti-drone and anti-missile capabilities. The project supports India’s mission for self-reliance in defence technology, a key goal of the Ministry of Defence.
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