Data Patterns (India) Limited's Board of Directors adopted the audited financial results for the quarter and year ended March 31, 2026. The company reported a 22% increase in Profit After Tax (PAT) for FY26, reaching ₹271.37 crore compared to ₹221.81 crore in the previous year. Revenue from operations grew by 31% to ₹924.77 crore from ₹708.35 crore in FY25. The board recommended a final dividend of ₹10.00 per equity share, subject to shareholder approval. The transcript of the Earnings Conference Call held on May 15, 2026, has been made available on the company's website pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Analyst Ratings

Leading global brokerages have maintained a positive outlook on Data Patterns following its latest results. Goldman Sachs has maintained a Buy rating with a target price of ₹4,165, noting a mixed Q4 where revenue missed estimates but EBITDA came in line with expectations. The brokerage highlighted a robust order pipeline, strong export potential from the company's vertically integrated model, and improving working capital trends, with working capital days reducing from 428 in FY25 to 365 in FY26.

Jefferies also maintained a Buy rating with a higher target price of ₹4,500, citing a strong March quarter EBITDA beat driven by a 528 bps margin surprise to 55.90%. Jefferies pointed to an expanded medium-term order pipeline of ₹20–40 billion and the company's maintained FY27 guidance of 20–25% revenue growth with 35–40% margins. The brokerage further noted that Data Patterns' in-house defence technology capabilities could drive profits to rise 2.4x over FY26–30E.

Financial Performance

The company demonstrated robust operational efficiency during the year. Operational EBITDA for FY26 stood at ₹371.00 crore, a 35% increase from ₹275.00 crore in FY25. Gross profit for the year increased by 35% year-on-year to ₹585 crore, with gross margins improving to 63% compared to 61% in FY25. For the fourth quarter, PAT grew by 21% year-on-year to ₹138.38 crore, while Q4 EBITDA margin expanded significantly to 55.94% compared to 37.37% in the same quarter of the previous year. The table below summarises the key financial metrics:

The financial results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on May 14, 2026. The paid-up equity share capital stood at ₹11.20 crore (face value of ₹2 each), and total comprehensive income for FY26 was ₹271.90 crore. Q4 revenue was lower by 13% year-on-year due to timing of execution of certain programs, though it nearly doubled sequentially with a growth of 99% quarter-on-quarter, reflecting strong execution momentum during the quarter. The share of fourth quarter revenue was 37% in FY26 as against 55% in FY25.

Order Book and Pipeline

Data Patterns secured orders worth ₹1,121 crore during FY 2025-26, representing an increase of 216% year-on-year, reflecting healthy demand across multiple defence and aerospace programs. The order book as of March 31, 2026, stood at ₹926.48 crore. Including negotiated orders yet to be received, the total order book position is approximately ₹2,061.79 crore. The company has also received orders worth ₹46.78 crore in Q1 FY 2026-27 so far.

Beyond the confirmed order book, management highlighted an additional pipeline of approximately ₹1,900 crore comprising single-vendor contracts based on already-supplied and customer-accepted products, which are expected to fructify into contracts during the current financial year. Of the approximately ₹1,090 crore in negotiated orders, management indicated that approximately ₹100 crore pertains to services, with the remainder relating to product delivery. The export order book as of the date of the call stood at approximately ₹53 crore.

Management Commentary and Strategic Outlook

Addressing investors during the earnings conference call, Chairman and Managing Director S. Rangarajan outlined the company's strategic priorities across product development, export expansion, and capability building. He noted that FY26 was marked by strong execution across radars, electronic warfare systems, avionics, communication systems and strategic defence electronics, supported by in-house design and engineering capabilities built over nearly three decades. On the margin profile, management clarified that quarterly variations arise from a conscious strategy of accepting select contracts at lower margins to build complete system capabilities and program management expertise, which are expected to yield higher-margin repeat contracts over time.

On the export front, Rangarajan stated that inquiries have begun coming in from European countries for products similar to those already developed, with contracts from global OEMs expected in the near term. The company also highlighted the successful development and export of Transportable Precision Approach Radars to a European country, including successful site acceptance testing, and noted additional inquiries from various countries for these products. Management indicated plans to build a dedicated export marketing team to address opportunities in Europe, the U.S., Japan, Korea, and other markets.

Regarding the BrahMos seeker program, management confirmed that the first variant of the development seeker order is under execution, with production orders expected within four to five months, targeting delivery before the middle of the following year. On the AMCA program, management noted that the Request for Proposal is expected imminently, and that Data Patterns has developed the glass cockpit and mission systems for the LCA-Mk2, which are expected to carry over to the AMCA platform.

CFO Venkata Subramanian provided additional color on working capital, noting that the cash conversion cycle improved to 365 days in FY26 from 428 days in FY25, and is expected to settle at 320 to 340 days going forward. The company also highlighted its ongoing capacity expansion, including approximately nine floors of additional factory space under construction to support scaling into a multi-thousand crore revenue company.

FY27 Growth Targets

Building on its strong FY26 performance, Data Patterns has outlined guidance for the year ahead. The company targets revenue growth of 20–25% and EBITDA margins in the range of 38–40% for FY27, while maintaining its net cash and debt-free status.

Expense Breakdown

The company's cost structure for the full year reflected increased employee costs. An exceptional item of ₹3.01 crore was recognised during the year, representing the statutory impact of new Labour Codes notified by the Government of India.

Balance Sheet Highlights

The company maintained a strong balance sheet with total assets of ₹1,929.22 crore as of March 31, 2026. Trade receivables increased to ₹727.77 crore from ₹596.40 crore in the prior year. Cash and cash equivalents stood at ₹56.85 crore, and the company carried no borrowings as of the reporting date. Reserves (excluding revaluation reserves) as shown in the audited balance sheet of the previous year stood at ₹1,497.02 crore.

Data patterns (India) Limited has filed its quarterly compliance certificate with stock exchanges, confirming that all company securities remain in fully dematerialized form for the quarter ended March 31, 2026. The filing demonstrates the company's continued adherence to regulatory requirements under SEBI guidelines.

Regulatory Compliance Certificate

The company submitted its certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018, to both the National Stock Exchange of India Limited and BSE Limited on April 09, 2026. This quarterly filing is a mandatory requirement for listed companies to report their dematerialization status.

Registrar Confirmation

MUFG Intime India Private Limited, formerly known as Link Intime India Private Limited, serves as the company's registrar and share transfer agent. The registrar provided official confirmation that no requests for dematerialization of securities were received during the quarter ended March 31, 2026.

The registrar's certificate, dated April 04, 2026, specifically states that depository participants received no dematerialization requests during the reporting period. This confirmation supports the company's compliance status under current SEBI regulations.

Securities Status

The filing confirms that Data Patterns (India) Limited maintains full dematerialization of its securities. According to the registrar's certificate, all company securities remain in demat form, and the company has not issued, mutilated, or cancelled any physical share certificates during the quarter.

Corporate Governance

The certificate was signed by Prakash R, Company Secretary and Compliance Officer (Membership No. F13620), demonstrating proper corporate governance protocols. The filing was addressed to both major stock exchanges where the company's shares are listed, ensuring comprehensive regulatory compliance.

This quarterly filing represents standard regulatory practice for listed companies, maintaining transparency in securities handling and ensuring investor protection through proper dematerialization procedures.