Ideaforge Technology Ltd

Financial Performance

• Revenue from operations: INR 68.6 crores in Q1 FY27.
• Gross profit: INR 33.6 crores; gross margin 49%.
• EBITDA: INR 4.3 crores; PAT: negative INR 2.6 crores.
• Opening order book: more than INR 300 crores.
• Order book (as of 30 Jun 2026): INR 256.8 crores; delivery by Q3.
• Deployed fleet crossed 1 million customer missions.
• Patents filed: 112.

Order Book & Execution

• FY27 opening order book > INR 300 crores; convert to revenue.
• Plan to deliver remaining INR 256.8 crores by Q3 per customer timelines.
• Run-rate/dependent revenue expected in non-order-book periods.
• RFPs and FTP opportunities at various approval stages within armed forces.

Market & International Growth

• US: JV operationalizing; Blue SUAS certification work in progress.
• Exports: partnerships in Europe and Middle East; live opportunities in South America and Africa.
• US market: programs run into tens of thousands of crores; one live program around USD 30 million.

Technology & Production Progress

• DGCA Type Certification: six UAV platforms certified; Q6 V2 GEO approved.
• YETI: first technical demonstrator tethered hover test completed; second in design.
• FLYGHT CLOUD: automated video summaries, AI event annotation, workflow automation.
• EW resilience: GNSS-denied navigation improvements.

Guidance & Outlook

• Blended gross margin to hover between 50% and 55% for the year.
• Deliver remaining order book of INR 256.8 crores by Q3.
• Capex: none beyond regular product development; current capacity is single shift; potential to 3 shifts.
• Non-order-book run-rate revenues expected in Q3/Q4; defence procurement momentum noted.

Q&A Highlights

• US market Q&A: JV progress; Blue SUAS approvals underway.
• RFI for 2,715 logistics drones under evaluation; YETI altitude and payload discussed.
• Inorganic growth: open to right-fit partnerships; no specific target.
• Moat: focus on non-commoditized hardware and autonomy; in-house capability build.
• Indigenization: 20-22% imported; 60-65% international content.

Risks & Watchpoints

• Supply chain pressure on thermal cameras and electronics; potential timeline shifts.
• Geopolitical tensions may affect procurement cycles and timelines.
• FTP opportunities depend on approvals; RFP cycles in H2 could impact timing.

Meeting Details

• Date and time: August 11, 2026, 11:00 IST.
• Event: earnings conference call (group) hosted by ideaForge Technology Limited.

Participants

• Key participant: Company Secretary & Compliance Officer.

Purpose

• Discuss unaudited financial results for quarter ended June 30, 2026.

Additional Notes

• Audio recording of the call is available on the company website.

Financial performance

• Revenue ₹68.6 crore for Q1 FY27.
• Gross profit ₹33.6 crore; gross margin 49%.
• EBITDA ₹4.3 crore; EBITDA margin 6.2%.
• PAT after tax ₹-2.6 crore; PAT margin -3.8%.
• Over 20% of FY27 opening order book executed.
• FY27 opening order book about ₹300+ crore; delivery by Q3 targeted.

Strategic and regulatory developments

• Completed ₹500 crore QIP with strong investor participation.
• DGCA Type Certification secured for Q6 V2 GEO UAV.
• LoI from Government of India under RDI for up to ₹151 crore.
• RDI funding to develop YETI middle-mile logistics platform.
• Indigenous UAV fleet crossed one million customer flights.
• Higher defence procurement limits under DFPDS 2026 may accelerate Q3/Q4 activity.

Business Overview

• Indigenous UAV developer delivering end-to-end drone platforms for defense and civilian use.
• Key platforms include ZOLT, YETI, Q6 V2 GEO, with EW resilience and FLYGHT CLOUD.
• DGCA Type Certification for Q6 V2 GEO expands GIS applications.
• QIP raised Rs 5,000 Mn; Rs 1,510 Mn GoI RDI funding secured.
• One million cumulative UAV missions across customers demonstrates trust.
• Strategic focus on MoD opportunities via indigenous tech and full-stack solutions.

Key Operational Highlights

• 20%+ of FY27 opening order book completed.
• Revenue INR 686 Mn; EBITDA INR 43 Mn (approx).
• ZOLT moved to series production for open MoD orders.
• DGCA certification enables broader GIS uses for Q6 V2 GEO.
• Combat capabilities progress: long-range attack and loitering munitions.
• YETI funding INR 1,510 Mn under GoI RDI Scheme.
• QIP raised INR 5,000 Mn.
• MoD procurement tailwinds with Fast Track Plan and DAC approvals.
• One million UAV missions completed.

Financial Performance

• Revenue from operations: INR 685.9 Mn; YoY growth 436.7%.
• Gross profit: INR 336.2 Mn; gross margin 49.0%.
• EBITDA: INR 42.8 Mn; EBITDA margin 6.2%.
• PBT: INR -119.6 Mn; PAT: INR -25.9 Mn.
• QoQ revenue fell 51.4% to INR 1,410.4 Mn in Q4 FY26.
• Gross margin declined YoY from 61.7% to 49.0%.

Capital Structure & Liquidity

• QIP raised Rs 5,000 Mn.
• GoI RDI funding secured for Rs 1,510 Mn.

Strategic Priorities & Outlook

• Own critical technology and deliver end-to-end drone solutions.
• Capitalize on Indian MoD opportunities; leverage Fast Track Procurement and DAC approvals.
• Invest in R&D and manufacturing with QIP and RDI funding.
• DGCA Q6 V2 GEO certification expands addressable markets.

Risks & Mitigation

• Geopolitical supply-chain disruptions; mitigated by diversified suppliers and in-house manufacturing.
• Defence procurement cycles remain volatile; mitigated by MoD pipeline and indigenization.

Governance & Leadership

• CEO: Ankit Mehta; CFO: Vipul Joshi.
• Board includes independent directors; company secretary: Nilesh Jaywant.

Financials & Board action

• Board approved unaudited standalone and consolidated results for quarter ended 30 June 2026.
• Limited Review Report by B S R & Co. LLP attached.
• Revenue from operations for quarter ended 30 June 2026: 684.11 INR million.

Share allotment & structure

• 1,20,361 equity shares allotted on exercise of stock options.
• Single operating segment under Ind AS 108.
• Use of funds: gap investment in product development and general corporate purposes.

TDB LOI for YETI project

• LOI dated July 27, 2026 from TDB conveys in-principle approval to consider financial assistance.
• Project name: 'YETI - Heavy lift long range autonomous aerial logistics vehicle'.
• Total project cost estimated at INR 302 crore.
• Proposed financial assistance up to INR 151 crore (in-principle).
• Interest rate: 4% simple; tenure three years from first disbursement.
• Disbursement to occur in multiple tranches subject to milestone achievement and non-government funding.
• Definitive agreements and due diligence required; LOI is not binding.
• Domestic project; no promoters' interest in the issuing entity.
• Annexure confirms no related party transaction; regulatory disclosures provided.
• Management has accepted the LOI terms within stipulated period.

Meeting Details

• Board meeting scheduled for Monday, August 10, 2026.
• Time and venue for the meeting are not disclosed.

Key Agenda Items

• Agenda includes approval of unaudited standalone and consolidated results for quarter ended June 30, 2026.

Other Notes

• Trading window will remain closed for 48 hours after unaudited results declaration.