Avantel bags INR 10.39Cr order for SATCOM equipment from Indian Navy

Avantel, a prominent communication services company, has secured a significant supply order valued at INR 10.39 crore from Material Organisation, Mumbai, an arm of the Indian Navy. The contract entails the provision of SATCOM Equipment, with delivery scheduled within the next 12 months. Last month, Avantel had announced that its board would convene on October 9 to deliberate on the proposal for issuing bonus shares in conjunction with the quarterly financial results.

Specializing in the design, development, and maintenance of wireless and satellite communication products, defence electronics, radar systems, and network management software applications, Avantel primarily serves clients in the aerospace and defence sectors.

Earlier today, the small-cap stock concluded at INR 271.85, marking a 4 percent decline. Despite this, the stock has been among the top performers in the current calendar year, generating a remarkable return of 254.53 percent year-to-date. Over the past decade, it has witnessed an astounding surge of 10,043.66 percent.

As per a recent ICRA report, private sector entities are anticipated to secure defence contracts amounting to INR 60,000 crore in the fiscal year 2024-2025, constituting roughly 22 percent of the industry's overall magnitude. The report also forecasts a compound annual growth rate of approximately 20 percent in defence production over the next three years, projecting it to reach INR 34,000 crore by FY2026.