ideaForge Shares Slump 7% After Q1 Results

SUMMARY

Shares of ideaForge slumped 8% to INR 500 apiece during the intraday trading session on the BSE today

The drone tech company’s consolidated operating revenue plunged 85% to INR 12.8 Cr in Q1 FY26 from INR 86.2 Cr in the year-ago quarter

Market capitalisation of ideaForge stood at INR 2,210.12 Cr ($255.9 Mn)

Shares of IdeaForge slumped over 8% to INR 500 apiece during the intraday trading session on the BSE today, a day after posting Q1 results.

As of 03:27 PM, the stock was down 7.9% at INR 501.25 per share, compared to its previous close of INR 544.45 apiece yesterday.

The drone tech company’s consolidated operating revenue plunged 85% to INR 12.8 Cr in Q1 FY26 from INR 86.2 Cr in the year-ago quarter, marking fourth straight weak quarterly performance.

Adding to the decline in its top line, the company posted a net loss of INR 23.6 Cr during the quarter under review as against a net profit of INR 1.2 Cr in Q1 FY25.

Market capitalisation of ideaForge stood at INR 2,210.12 Cr ($255.9 Mn).

Earlier this month, the company also allotted 11,011 equity shares under the ideaForge Employees Stock Option Scheme, 2018.

The stock is trading at its lowest since May 28, where the stock fell to INR 501.6 per share back then.

The company’s shares have lost 12.8% value since the start of this year, and it also fell 30.9% in the past 52 weeks, as of its last close.

Despite the heavy losses incurred, the company is banking on benefitting from the increased focus on homegrown defence capabilities, post the Operation Sindoor.

Operation Sindoor, which was carried out in May, led to a rise in attention towards the Drone Federation India (DFI), and drone tech startups like IG Drones, Paras Defence & Space Technologies, Tata Advanced Systems, and Alpha Design Technologies.

DFI president Smit Shah told Inc42 back then, procurement time of these equipment by the government is expected to get faster, the R&D funding is expected to increase, along with some other key developments in critical areas.

Shah also commented previously that the country would possibly invest heavily in local industry and could spend as high as $470 Mn on unmanned aerial vehicles (UAVs) over the next 12 to 24 months, indicating almost 3X the pre-conflict levels.

Reports also surfaced that the Centre is planning to launch an INR 2,000 Cr ($234 Mn) incentive programme to boost drone manufacturing in the country, about three weeks ago. Further, the new drone incentive scheme will aim to localise the production of at least 40% of key drone components in India by the end of fiscal year 2027-28 (FY28).

“The next phase of PLI is also expected to be rolled out for drone manufacturers, which will be a major tailwind for the industry and ideaForge,” chief executive Ankit Mehta said in a post earnings call.