Defence stock jumps 5% after Govt announces DRDO’s Akash-NG missile clears user trials

Synopsis: Bharat Dynamics Ltd (BDL) shares jumped sharply after DRDO announced that new Akash-NG air defence missile, manufactured by BDL, passed its user trials, paving the way to join the Indian armed forces. 

The shares of this leading defence PSU are in focus after DRDO announced a key successful trial that can strengthen India’s air defence capabilities. In this article, we will dive more into the details of it. 

With a market capitalisation of Rs 54,636 crore, the shares of Bharat Dynamics Ltd. made a day high of Rs 1,498.75 per share, up 5 percent from its previous day’s closing price of Rs 1,430.65 per share. Over the past five years, the stock has delivered a robust return of 806 percent, outperforming NIFTY 50’s return of 91 percent.

About the news

Bharat Dynamics Limited (BDL) grabbed everyone’s attention after the government announced that the next-generation Akash-NG air defence missile had cleared its user evaluation trials. The Defence Research and Development Organisation (DRDO) ran these tests, and the missile hit every mark set out in the Preliminary Staff Qualitative Requirements.

DRDO mentioned that, in the trials, Akash-NG (missile) tracked and took down aerial targets at all sorts of distances and heights. It handled everything from fast, low-flying threats to high-altitude, long-range targets. The technology behind it is homegrown, and it’s pretty advanced.

Now, with these successful trials, the Ministry of Defence says Akash-NG is ready to roll out to the Indian Armed Forces. That means India just took a big step forward in boosting its air defence. The missile comes loaded with an indigenous radio-frequency seeker, a dual-pulse solid rocket motor, and locally developed radar and command-and-control systems. All these points lead to real progress in making India’s defence tech self-reliant.

About Akash System

The Akash system, manufactured by Bharat Dynamics and developed by DRDO, is a homegrown short-range surface-to-air missile. The missile’s main job is to protect key areas from air attacks. It’s got an operational range of 25 to 30 kilometres, can hit several targets at once, and is mobile enough for both the Army and the Air Force to use wherever they need it.

Financial and other highlights

Bharat Dynamics has reported an operating revenue of Rs 1,147 crore in Q2 FY26, representing a staggering 110 percent growth compared to Rs 545 crore in Q2 FY25. Additionally, on a quarter-on-quarter basis, it grew sharply by 362 percent from Rs 248 crore.

Regarding its profitability, it reported a net profit of Rs 216 crore in Q2 FY26, a sharp growth of 76 percent as compared to Rs 123 crore in Q2 FY25. Additionally, on a quarter-on-quarter basis, it grew by a staggering 1,100 percent from just Rs 18 crore. 

Bharat Dynamics Limited, or BDL, stands out as one of India’s top defence companies. Since 1970, from its base in Hyderabad, the company’s been building guided missiles, underwater weapons, and other high-stakes defence systems. If you look at India’s armed forces, you’ll find BDL’s fingerprints all over, Akash and Astra missile systems, torpedoes, anti-tank and air defence missiles, anti-submarine gear, you name it. BDL isn’t just a supplier; it’s a big reason India’s defence technology keeps getting stronger and more homegrown every year.

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