Shankar Sharma-Backed Drone Stock Zooms 260% In 11 Months Since Listing; Logs 2,931% Growth In H1FY24 PAT

DroneAcharya Aerial Innovations is India's first publicly listed company on BSE's SME platform. The company which listed in mid-December last year, has skyrocketed more than 260% in merely 11 months compared to the IPO issue price. Not just on the market but DroneAcharya is also touching new milestones in its earnings. The company which is backed by ace investor Shankar Sharma, has registered a massive growth of 2,931.43% in net profit for the first half of FY24.

As per BSE data, DroneAcharya listed on December 23, 2022, and the closing price on listing day stood at Rs 107.10 apiece, recording a bumper listing at 98.33% premium against the IPO issue price of Rs 54 apiece.

The highest level of gain by DroneAcharya stock price is 351% when it hit a new all-time high of Rs 243.35 apiece which was recorded in less than a month on January 12, 2023, on BSE. Since then, the prices have corrected but Droneacharya still gives triple-digit returns to investors.

On October 27th, Droneacharya's share price ended at Rs 196.10 apiece, up by 1.53% on BSE. From the IPO issue price, this would be a rally of 263.15% so far after listing. The company's market cap is currently at Rs 470.42 crore.

On Friday, the company unveiled their H1 FY 2023-24 financial performance, which notably outperforms its entire H1 FY 2022-23 results. The data indicates a significant revenue surge, attributed to the company's endeavours in Drone and Defence Technology, and its recent foray into Space Technology. Having vast experience in UAS (Unmanned Aerial Systems), the company further plans to become a Platform Agnostic Deep Tech Data Science Company in years to come.

The company registered a 1,054% growth in revenue at Rs 21.96 Crores during H1 FY 2023-24 as compared to Rs 1.90 Crores in H1 FY 2022-23. Their profits after tax stood at Rs 3.97 Crores in H1 FY 2023-24 as compared to Rs 13.09 Lakhs in H1 FY 2022-23, which is a significant 2,931.43% growth year-on-year.

Prateek Srivastava, the Founder and Managing Director of DroneAcharya says, "DroneAcharya has had quite an adventurous and remarkable journey so far, filled with yet new milestones and achievements. We are on track to become a Global brand that is trusted by all. Our recent endeavours in Space Technology make us the first Drone company to chart this path."

"Through our Franchises and partners, we are set to expand our reach and solutions not only across India but also Globally. Our performance in terms of revenue marks a strong base for our team's capabilities and bandwidth to take on more challenging projects in the years to come. We have a vision to become India's first Platform Agnostic Deep Tech Data Science Company. To achieve this, we will not be limited to only Drones but will be able to provide Data Intelligence and Services coming from various platforms positioned aerially, in space, underground and underwater. As we announce our H1 FY 2023-24 results, we are quite positive about achieving our revenue goals in the FY 2023-24", he adds.

Further, it was noteworthy that there has been a remarkable increase in the number of investors in the company, from 1,473 investors in March 2023 to 2,687 investors in September 2023, showing that the company has garnered more trust and confidence of multiple investors in the market within this period.

DroneAcharya said, "Their commendable success in the Indian Drone Industry is a major contributing factor to the vision of our Prime Minister Shri Narendra Modi, who has stated that India is set to become a Global Drone Hub by 2030. As the company charges forward in their endeavours, one can definitely expect more surprises and good news about their developments in the months to come."

The company is all set to make a debut in Space Tech as a System Integrator in Cubesat and Nanosat Technology. These platforms enable localized capture and determining different orbital paths, making them more mobile and versatile as compared to the conventional large satellites, while at the same time being cost-effective and time efficient.

The company has successfully integrated Artificial Intelligence and Machine Learning into their solution offerings, providing value-added services like object detection, automated mapping and surveillance.

Also, it is gearing up to launch its own products as they have fully equipped in-house manufacturing units for Drones and associated parts. Their internal team of Engineers also actively work in Research and Development to create innovative Drones and improvements of existing drones.

Recently, the company also bagged a $1.26 million deal for providing Drone based services, products and software development in the Oil & Gas sector in Qatar. Furthermore, it is running international training programs in Thailand and the Philippines and has noteworthy partnerships with the Asian Institute of Technology King Mongkut's Institute of Technology Ladkrabang (KMITL) in Bangkok and Mariano Marcos State University (MMSU) in the Philippines.

Moreover, the company announced plans to open 30 new Franchises in association with Wollstone Capital SA Switzerland. These centers are set to not only carry out Drone Pilot Training but also handle Drone sales and services across the country.

Shankar Sharma who is a seasoned investor and esteemed financial analyst, picked up Droneacharya shares during the IPO days which was from December 13 to December 15 last year. The IPO had a price band of Rs 52 to Rs 54 per share, and oversubscribed by a whopping 243.70 times.

As of September 30, 2023, Shankar Sharma holds 4,57,000 equity shares or 1.91% stake in the company.