Premier Explosives announced on Friday, long after market closure that it had bagged an order from the Ministry of Defence. This was for providing chaffs and flares and the order was worth Rs.33.18 crore to be executed within 12 months. Naturally, the market reacted to this on Monday with the stock price flaring up over 7% yesterday.

The company’s total Order book as on 30th September 2016 stood at Rs.273 crore of which explosives comprised of Rs.161 crore, Defence was at Rs.87 crore and Services at Rs.25 crore. In fact in its Q2FY17 performance, defence segment showed a whopping 99% (YoY) jump up.

The company did well for Q2FY17. Its revenue showed a 36% (YoY) jump at Rs.55 crore. 66% of its topline comes from explosives, 26% from Defence products and 8% from Services. Operating profit was up 83% at Rs.5 crore while margins rose from 7% to 9.5%. In Q2Fy16, the company had made a one-time profit of Rs.84 lakh on profit on sale of land which helped boost the bottomline. Despite that, it ended Q2FY17 with a net profit of Rs.2.4 crore, up 27%.

The company had ended FY16 with a net profit of Rs.6 crore and its H1FY17 net profit is already at Rs.4 crore; clearly with two more quarters to go, it will end FY17 with a big bang!