Avantel Secures Rs 4-Crore Defence Contract

Avantel Ltd recently said it landed a deal worth Rs 4.16 crore with the Ministry of Defence, specifically Headquarters Naval Aviation. This shows Avantel's sustained work in India's defense electronics field. The work should be done by January 1, 2028.

The deal includes a 5% performance bank guarantee, as specified in the agreement. The company stated that the order came from an Indian source and isn't a related-party deal. No promoters were involved in deciding this.

Avantel focuses on creating and maintaining wireless and satellite communication systems, defense electronics, radar tech, and network management for mostly aerospace and defense clients. This recent contract shows the company's focus on high-tech defense projects and its skill at winning government contracts.

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Even with this new order, Avantel's Q2 FY26 financial results weren't good. Consolidated net profit dropped 81.39% to Rs 4.26 crore, compared to Rs 22.89 crore in Q2 FY25. Revenue also went down 28.42% year-over-year to Rs 55.41 crore, which reflects a tough business climate and some project delays.

According to industry experts, there are money issues right now; new defense contracts like this one could mean steady income for Avantel. It may also strengthen Avantel's spot in Indian defense electronics, helping the company grow in the future.