Premier Explosives Limited (PEL) has received an international export order worth ₹20.36 crore for the design and development of rocket motors. The contract, awarded by an international client, is set to be executed over the next 2 years.
This development underscores Premier Explosives’ growing presence in the global defence sector, particularly in high-tech propulsion systems.
The share price of Premier Explosives had declined by over 15% in the last four trading sessions. However, this development has provided much-needed relief to the stock, resulting in a gain of over 6.5%. On a year-to-date (YTD) basis, the stock has declined 24% in 2025 so far. However, this follows significant gains of 278.73% in 2023 and 64.40% in 2024.
In Q3FY25, the company reported a 272% jump in consolidated sales to ₹165.92 crore, compared to ₹44.56 crore in Q3FY24. Operating profit also increased from ₹4.88 crore in Q3FY24 to ₹15.45 crore in Q3FY25. Net profit for Q3FY25 stood at ₹9.23 crore.
Premier Explosives Limited’s latest contract win signals continued international demand for its expertise in defence and aerospace. While the stock reacted positively to the news, the long-term impact will depend on the successful execution of the project and future order flows.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Feb 13, 2025, 4:05 PM IST
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