DCX Systems Reports Mixed Q2 FY26 Results Amid Subsidiary Investments

DCX Systems Limited, a leading Indian defense manufacturing player, has released its financial results for the second quarter and first half of fiscal year 2026, showcasing a mixed performance amid ongoing investments in its subsidiaries.

Revenue and Profit

For Q2 FY26, DCX Systems reported:

Consolidated revenue: Rs. 1,928.53 crore, a slight decrease from Rs. 1,954.67 crore in Q2 FY25
Profit after tax (PAT): Rs. (90.40) crore, down from Rs. 52.16 crore in Q2 FY25

For H1 FY26, the company reported:

Revenue: Rs. 4,150.16 crore, up from Rs. 3,337.04 crore in H1 FY25
PAT: Rs. (49.83) crore, compared to Rs. 81.59 crore in H1 FY25

Subsidiary Performance

DCX Systems' financial results include the performance of its subsidiaries:

Company	Q2 FY26 Revenue (Rs. in Millions)	Q2 FY26 PAT (Rs. in Millions)	H1 FY26 Revenue (Rs. in Millions)	H1 FY26 PAT (Rs. in Millions)
Raneal Advanced Systems Private Limited (RASPL)	1,029.15	1.39	3,244.74	40.91
Niart Systems Limited (Niart)	-	(163.45)	-	(273.67)

It's noteworthy that during Q2 FY26, Rs. 1,024.10 crore of RASPL's revenue was billed to the parent company, DCX Systems Limited.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.59%	-1.52%	-17.30%	-40.80%	-44.65%	-39.91%

DCX Systems Limited, a leading Indian defense manufacturing player, has reported its financial results for the second quarter of fiscal year 2025-26, revealing a significant decline in net profit despite a marginal decrease in revenue.

Financial Performance

For the quarter ended September 30, 2025, DCX Systems reported:

Metric	Q2 FY2025-26	Q2 FY2024-25	YoY Change
Revenue	₹1,923.48 Millions	₹1,954.67 Millions	-1.6%
Net Profit	₹72.00 Millions	₹102.00 Millions	-29.0%

The company's revenue for the quarter stood at ₹1,923.48 Millions, compared to ₹1,954.67 Millions in the same quarter last year, representing a marginal decrease of 1.6%. However, the net profit saw a more substantial decline, falling 29.0% year-over-year to ₹72.00 Millions from ₹102.00 Millions in Q2 FY2024-25.

Operational Highlights

DCX Systems, known for its electronic subsystems and cable harnesses for both international and domestic customers in the defense sector, faced challenges in maintaining its profit margins during the quarter. The company's cost of materials consumed stood at ₹1,813.82 Millions, indicating a significant portion of revenue being allocated to raw materials and production costs.

Financial Position

As of September 30, 2025, DCX Systems reported:

Total assets of ₹17,934.07 Millions
Cash and cash equivalents of ₹972.51 Millions
Bank balances (other than cash and cash equivalents) of ₹6,549.43 Millions

These figures suggest that the company maintains a strong liquidity position, which could be crucial for future investments and operational flexibility.

Subsidiary Performance

DCX Systems' wholly-owned subsidiary, Raneal Advanced Systems Private Limited (RASPL), reported revenue of ₹1,029.15 Millions with a profit after tax of ₹1.39 Millions for the quarter. Notably, a significant portion of RASPL's revenue (₹1,024.10 Millions) was billed to the parent company, DCX Systems Limited.

Another subsidiary, Niart Systems Limited, is currently in the research and development phase and has not commenced commercial production. It reported a loss of ₹163.45 Millions for the quarter, which includes a foreign currency translation loss of ₹32.36 Millions.

Market Outlook

While DCX Systems has experienced a decline in profitability, its strong balance sheet and continued revenue generation from its core business and subsidiaries may position it to navigate current market challenges. The company's focus on the defense sector may provide stability in the face of economic uncertainties.