Indian drone manufacturer ideaForge reported a financial turnaround in the second quarter of fiscal year 2027, with revenue rising 124% year-on-year to Rs 91.3 crore. The company returned to profitability, posting a profit after tax of Rs 6.5 crore compared to a loss of Rs 19.6 crore in the same period last year.
Revenue Drivers and Financial Performance
The company’s earnings were led by its defense sector, which accounted for Rs 65.7 crore, or 72% of total operating revenue. The remaining 28% came from civil and enterprise segments, supported by mapping projects, crowd safety monitoring, and cloud-based drone software subscriptions. For the first half of the fiscal year, revenue reached Rs 159.9 crore, representing a 199% increase compared to the same period in the previous year.
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) stood at Rs 23.2 crore, reflecting a margin of 25.4%. This contrasts with a loss of Rs 8 crore reported in the second quarter of fiscal year 2026. Total expenses for the quarter rose 41.8% to Rs 90.1 crore, with material costs accounting for the largest share at Rs 48.1 crore.
Operational Challenges and Future Outlook
Despite financial gains, ideaForge faces ongoing operational constraints. Chief Executive Officer Ankit Mehta cited persistent global supply chain issues and delays in customer approval processes for product deliveries. The company’s order book has also decreased, standing at Rs 202.2 crore at the end of the second quarter, down from Rs 350.8 crore in the third quarter of fiscal year 2026.
The company is focusing on technological development to sustain growth. It recently secured Rs 151 crore in research debt funding to develop the YETI logistics drone, capable of carrying 200 kg payloads. Additionally, the company has completed field testing for the ZOLT hybrid tactical drone, which is designed to withstand electronic warfare jamming.