Premier Explosives Share Price Jumps 12% on Strong Q1 Performance

Market Performance

On Wednesday, August 13, Premier Explosives share price surged over 12% to ₹478 apiece in early trade, following the company’s robust first-quarter results. At 9:20 AM, shares were trading significantly higher, even though they have declined 10.2% in the past month.

Main News

Premier Explosives Ltd. posted a robust Q1 FY26 performance, recording sharp gains in revenue and order book value, alongside unveiling a major fund-raising initiative to fuel future growth.

Company Financial Highlights

Revenue

• Q1 revenue rose 72% to ₹142 crore compared to ₹83 crore in the same quarter last year.
• Revenue composition: Defence & Space – 86%, Bulk Explosives – 14%.

EBITDA

• EBITDA grew 35% to ₹20.9 crore from ₹15 crore a year ago.

EBITDA Margins

• Margins fell by 400 basis points to 14.68% from 18.48% last year.
• Decline attributed to higher material costs, which increased to 66% of sales from 41% last year.

Net Profit

• Net profit more than doubled, up 110% to ₹15 crore from ₹7 crore last year.

Order Book Growth

• Order book reached ₹988.5 crore, up 32% from ₹750 crore at the end of FY25.
• Composition: Defence – 87%, Explosives – 7%, Services – 6%.

Capital Plans

• The board approved a ₹300 crore fund raise to support future projects and growth.

Summary

The Premier Explosives share price rally was driven by stellar Q1 results, with sharp increases in revenue, net profit, and order book value. While EBITDA margins narrowed due to higher material costs, the company’s strong defence sector order book and capital-raising plans indicate a focus on long-term growth.