• Simulator orders: Zen expects the remaining roughly 400 crore of simulator orders to come in during this fiscal year, bringing simulator orders to about 800 crore. The 1,300 crore equipment order would bring the whole setup to 1,500 crore; the last stated order-book figure was 1,600 crore.
• Export outlook: Atluri said exports could optimistically reach between 30 to 40% of the business in the next 3, 4 years. He cited a large Indian simulator market of a couple of billion dollars, about 15,000, 16,000 crores, alongside rising demand to prepare for future wars.
• Order-book uncertainty: Whether the order book could reach 2,500 crores depends on the success and timing of fast track procurement, including whether orders close before March 31st or are extended. Atluri declined to predict whether the company would reach 4,000 crores, saying order-book execution takes 12 to 18 months.
• Margins and growth: Atluri expects some margin pressure if Zen enters highly competitive commodity products such as weapon systems, but said this is 2 to 3 years away. Margins should remain around prior levels, with possible downward pressure, while absolute profits grow year on year.
• Funding and acquisitions: Zen still has funds from its QIP to spend and is open to raising funds if acquisition opportunities arise, but no fund raise was on the table. Its acquisition strategy is to support younger companies committed to R&D and developing globally number 1 products, funding their 3, 5-year plans.