Maharashtra-based ideaForge Technology, an unmanned aerial vehicle (UAV) manufacturer developing drone solutions for a variety of applications, may significantly increase the civil side of its business going forward.
In an interview with CNBC-TV18, Vipul Joshi, CFO of ideaForge Technology, said that there is a constant effort to multiply the size in the civil side of things and that is the reason why the company has always stayed in the dual use categories as a drone developer and never focused on only defence products.
Talking further about the civil side of the business, he said; “Defence is the prime buyer; they have the requirements laid out. We continue to serve the customer, which is today buying, while our intent is to increase the pie on the civil side.”
The company is pursuing several initiatives, including a "drone as a service" program, and expanding into various regions to focus on civil applications. These efforts are expected to bolster ideaForge's presence in the civil sector, although the financial impact won't be evident in the immediate or near-term future.
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The company in the December quarter reported a net profit of ₹14.8 crore, compared to a net loss of ₹7.8 crore in the same period last year. Revenue for the quarter increased to ₹90.9 crore from ₹7.8 crore last year.
Its performance is not comparable to the base quarter as the performance was impacted due to a fire incident at the factory. Again, the performance of the September quarter was impacted due to reduced deliveries owing to the contract schedule.
ideaForge was one of the most successful listings of 2023 in July with shares having doubled from the IPO price. The stock had ended its trading debut with gains of 92%.
However, the stock soon witnessed a sharp correction and nearly fell back to its IPO price of ₹672, making a low of ₹696 as recently as January.
ideaForge Technology is valued at about ₹3,455.70 crore. Its shares have dropped by nearly 18% in the last six months.
For the entire interview, watch the accompanying video
(Edited by : C H Unnikrishnan)
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