DESPITE THE HEADWINDS, THE COMPANY MADE MEANINGFUL PROGRESS. ADVANCED
PLATFORMS LIKE NETRA 5, SWITCH V2, AND Q6 V3 HELPED EXTEND THE COMPANY'S REACH ACROSS KEY
DEFENCE AND SECURITY SECTORS.
Dear Stakeholders,
The past year was a pivotal one for the Company. It moved up to the
third position among dual-use UAV (Unmanned Aerial Vehicle) manufacturers globally,
strengthening its position as a deep-tech leader with a sharp focus on technology
development and innovation.
Although market conditions were less than ideal, ideaForge continued
its focus on building long-term capabilities through steady product innovation, tech
advancement, operational improvements, and commitment to quality.
For a large part of the year, the drone industry in India faced
sluggish demand. Government procurement slowed due to the general elections, representing
the largest customer segment for this sector. At the same time, enterprise adoption lagged
expectations, and international opportunities did not materialize as expected.
In the final quarter, the picture began to shift.
Emergency procurement (EP5) program for counter-insurgency and
counter-terrorism operations (CI-CT ops) brought the defence procurement back on track.
Events like the Pahalgam terror attack and Operation Sindoor saw UAVs
take on critical roles in real-time response efforts, revalidating their role as an
essential asset in modern-day warfare.
Globally, the growing role of drones in defence and civilian
applications has made one thing clear: this is no longer emerging tech. It is essential.
The increased procurement and capability assessment activity by the defence forces after
the Indo-Pak conflict in May reflected broader changes in how the forces are reimagining
and approaching defence and surveillance. On the civilian side, increased interest in
enterprise safety & security, asset inspection, border monitoring, and coastal
surveillance continued to widen the scope of UAV applications.
In the past year, ideaForge responded to the challenges by doubling
down on its strengths. The Company developed new technology and products, created new
solutions and expanded use cases, and built out its distribution network.
A wider shift in mindset supported these efforts, as drones began to be
viewed not as optional tools but as core enablers of national and enterprise
infrastructure and development.
The Company also invested in promising start-ups in India and the US to
expand its technology base. Its participation in Aero India 2025 helped open new global
opportunities, and created fresh avenues for collaboration.
Despite the headwinds, the Company made meaningful progress. Advanced
platforms like NETRA 5, SWITCH V2, and Q6 V3 helped extend the Company's reach across key
defence and security sectors. Development continued on next-generation platforms,
including ZOLT as a tactical asset and YETI for logistics, both tailored to meet growing
demand in their respective areas. Several technical breakthroughs were achieved during the
year. These included ship-based landing capability, navigation capabilities in GNSS-denied
environments, support for third-party payloads, and early rollouts of FLYGHT CLOUD.
Proof-of-concept deployments for FLYGHT DOCKS (Drone-as-a-Service) also moved forward. The
Company established a new development facility in Bengaluru for YETI along with a
dedicated unit for ZOLT in Mumbai to support growing product expansion needs.
In preparing for what lies ahead, the Company also expanded its
technology & product development team and unlocked new use cases in coastal monitoring
and enterprise safety. Certifications such as AS 9100:D and the Fit for Indian Military
Use certification for the SWITCH UAV further validated the Company's commitment to quality
and readiness for scale.
Reduced funding across the sector, evolving regulations, limited access
to talent experienced in this domain, and less mature customer demand all continue to
affect the pace of adoption. Yet despite these hurdles, the opportunity ahead remains
substantial and the Company is well poised to capture it. The Company continues to lead
the charge to help shape and scale the future of the UAV industry.
The Company remains committed to its Vision 2030, driven by customer
needs and supported by innovation, strong design and manufacturing capabilities, and
consistent execution. Continued investments in talent and internal capability further
strengthen the foundation. Sustainability also remains a key focus, with a responsible
growth charter in place to support long-term value creation.
The trust and support of stakeholders remain essential to this journey.
The Company extends its appreciation to all its teams, investors, partners, and customers
for their belief in its mission. The Company is also grateful to the Board of Directors
for their continued guidance and support over the past year.
The road ahead is filled with possibilities. With a clear vision,
strong capabilities, and the right momentum, the Company is confident in its ability to
seize new opportunities and deliver sustained growth and long-term value.
| Sincerely, |
Srikanth Velamakanni |
| Chairman |