Garuda Aerospace Achieves Significant Revenue Growth in FY24

Garuda Aerospace, a pioneering startup focused on drone technology, reported impressive results in the last fiscal year, showcasing a remarkable operating scale more than doubling alongside a profit increase that has nearly tripled. This performance came despite the company experiencing a significant rise in expenses.

According to financial statements registered with the Registrar of Companies (RoC), Garuda Aerospace’s operational revenue surged by 2.3 times, reaching Rs 110 crore in FY24, up from Rs 47 crore in FY23.

Revenue Sources of Garuda Aerospace

Garuda Aerospace excels in designing, manufacturing, and customising Unmanned Aerial Vehicles (UAVs), commonly known as drones, tailored for various applications such as deliveries, disaster management, and agriculture among others. The company generates revenue through surveillance charges and related services, which recorded a substantial increase of 143%, amounting to Rs 68 crore in FY24. Additionally, drone sales and accessories contributed Rs 42 crore to the overall revenue.

Expense Analysis for FY24

On the expenditure front, the predominant component was material costs, which escalated dramatically to Rs 49 crore in FY24 from Rs 9 crore in FY23, marking a massive 5.4 times increase. Employee benefit expenses also experienced a rise of 22%, totalling Rs 11 crore. Legal charges accounted for Rs 8 crore, while travel expenses reached Rs 7 crore. Overall, Garuda Aerospace’s total expenses surged by 128%, climbing to Rs 89 crore in FY24 from Rs 39 crore in FY23. For more in-depth expense details, various sources should be consulted.

Profit Growth and Financial Health

Even with rising expenses, Garuda Aerospace’s remarkable revenue growth enabled it to enhance its net earnings. The company’s profit margin saw a significant uplift, with net profit soaring to Rs 16 crore in FY24, a notable 2.7 times increase from Rs 6 crore in the previous year. In terms of unit economics, Garuda Aerospace utilised Rs 0.81 to generate one rupee in FY24, with a Return on Capital Employed (ROCE) of 20.72% and an EBITDA margin of 22.52%.

Current Assets and Funding

As of the end of FY24, Garuda Aerospace had current assets valued at Rs 130 crore, which included a cash and bank balance of Rs 16 crore. The company has successfully raised a total of $31 million in funding to date, backed by prominent investors Ocgrow Ventures and Silver Swan Investments. Agnishwar Jayaprakash, the founder and Chief Executive Officer (CEO), holds a significant 77% stake in the company.