VVDN eyes strategic shift with $100 million investment push into defence, auto and laptop manufacturing

Riding on growing momentum in telecom, automotive, and electronics, VVDN expects 40% revenue growth in FY26 after posting an 80% year-on-year surge in the previous fiscal.

Design-led manufacturing company VVDN Technologies is set to invest over $100 million (approximately Rs 855 crore) in the next two to three years to aggressively expand its R&D and manufacturing footprint across high-growth sectors, including automotive, EV chargers, laptops, telecom, and defence, the CEO told Moneycontrol.

The move marks a significant scale-up for the electronics and telecom equipment maker, which has already pumped in $250 million over the past five years.

“We definitely plan to invest over $100 million or more over the next two or three years. This will be the minimum investment to expand our business. Even though we have invested $250 million in the last five years for R&D and manufacturing scale-up, we are bullish on new categories like defence, telecom, automotive, and electronics like servers, laptops, and CCTV,” Puneet Agarwal, CEO of VVDN Technologies, told Moneycontrol.

Riding on growing momentum in telecom, automotive, and electronics, VVDN expects 40% revenue growth in FY26 after posting an 80% year-on-year surge in the previous fiscal.

“The profitability is also increasing because we are getting the large volume leverage and we are getting customer trust, which is making them both comfortable with us. Our contracts are better negotiated, so all these factors are adding to profitability,” Agarwal said.

VVDN’s international business is also gaining traction, driven by rising demand for telecom gear, including 5G radios, fixed wireless access (FWA) devices, CCTVs, and EV chargers.

“Telecom is going to be a strategic area as it drives large volume. We have started some component manufacturing as well for telecom equipment,” he added.

The company is also investing heavily in defence, with a growing focus on radio frequency (RF), vision, and AI technologies, as well as drones. Some products have already reached the commercial rollout stage.

“By next year, we’ll have at least a double-digit percentage growth in revenues coming from this vertical,” Agarwal said, adding that VVDN is collaborating with Tier-1 defence firms on tech and manufacturing.

VVDN also plans to partner with the government on select defence projects and is seeking new technology tie-ups to expand its drone capabilities. “India would like to take the leadership position in the drone space, and that can only happen with a solid design capability locally,” the CEO said.

On the consumer side, the Manesar-based company sees strong growth in laptops and CCTVs. It has developed its laptop platform over two years and now acts as an ODM for both Indian and global brands.

“Our designs are now finished and certified, and we are making laptops for Indian and global brands as an original device manufacturer. We have created a full product line—from low-cost to premium specification—where motherboards, all the cases, mechanicals, everything is manufactured in the country,” Agarwal said.

The company has also begun producing enterprise laptops for Taiwanese electronics giant Asus.

Looking ahead, VVDN plans to apply for the recently announced electronics component production scheme, with a focus on three to four component categories. It is also in discussions with global component suppliers for strategic partnerships.

“For a few categories, we will have technology partnerships with global component technology providers, while for the rest, we will apply independently, depending on complexity and faster time to market,” Agarwal added.