Mumbai, June 17 -- The agency has reaffirmed the company's long-term and short-term rating at '[ICRA] A-' and '[ICRA] A2+', respectively.

ICRA stated that the revision in outlook to 'positive' on the long-term rating of Paras Defence & Space Technologies (PDSTL) takes into account the expectation that the company will be able to sustain the increase in its operating margins to 26.7% in FY2025 from 21.2% in FY2024, driven by the rising share of the margin-accretive 'optics and optronics' segment, and an improvement in working capital intensity on the back of reduction in inventory days due to quicker delivery of periscopes and faster realisation of payments.

This, coupled with the robust topline growth of 44% to Rs. 364.7 crore and a hea...