Premier Explosives secures order from Defence Ministry; details here

Premier Explosives Ltd on Wednesday informed bourses that it bagged an order from the Ministry of Defence. "This is to inform you that our company, Premier Explosives Ltd has received an order for an amount of Rs 7.83 crore from the Ministry of Defence, Government of the Republic of India for procurement of Counter Measures, to be delivered within a period of 12 months," the company stated in a BSE filing.

The announcement came post-market hours today. Earlier in the day, shares of Premier Explosives slipped 1.05 per cent to close at Rs 529.90. Around 26,000 shares changed hands today, lower than the two-week average volume of 84,000 shares. Turnover on the counter came at Rs 1.40 crore, commanding a market capitalisation (m-cap) of Rs 2,848.81 crore.

From a technical standpoint, the scrip traded lower than the 5-day simple moving average (SMA) but higher than the 10-day, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). Its 14-day relative strength index (RSI) came at 54.74. A level below 30 is defined as oversold while a value above 70 is considered overbought.

As per BSE, the stock has a price-to-earnings (P/E) ratio of 77.81 against a price-to-book (P/B) value of 12.10. Earnings per share (EPS) stood at 6.81 with a return on equity (RoE) of 15.54. According to Trendlyne data, Premier Explosives has a one-year beta of 1, indicating average volatility.

On the earnings front, the Secunderabad-based defence manufacturer reported a strong set of numbers for Q1 FY26, with revenue rising 71.6 per cent year-on-year (YoY) to Rs 142 crore. Net profit surged 110 per cent YoY to Rs 15 crore during the April-June period.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) grew 35 per cent to Rs 20.9 crore. The company’s order book at the end of the quarter stood at Rs 988.5 crore, up 32 per cent from Rs 750 crore at the end of FY25.

Premier Explosives manufactures high-energy materials and allied products for the defence, space, mining and infrastructure industries. It develops and manufactures solid propellants for rockets and strap-on motors for satellite launch vehicles.

As of June 2025, promoters held a 41.33 per cent stake in the company.