Garuda Aerospace, an Indian drone startup, is planning to go public with an Initial Public Offering (IPO) in the next 6-8 months, potentially marking the largest drone IPO in India. The company’s founder and CEO, Agnishwar Jayaprakash, announced this at TechSparks 2023 in Delhi. This follows the trend of other drone companies that have recently had successful IPOs. Garuda Aerospace is supported by high-profile backers, including former Indian cricket captain Mahendra Singh Dhoni. As of October, the company had raised Rs 25 crore in a bridge round of funding and $22 million in a Series A funding round led by SphitiCap in February, bringing its total funding to $27.3 million.
Financially, Garuda Aerospace has shown significant growth. In FY22, it achieved a 7.2X surge in operating revenue, reaching Rs 15.31 crore. Continuing this trajectory, it reported revenue growth of over 200% in FY23, amounting to Rs 46.8 crore. The company also recorded profits of Rs 3.9 crore in FY23, a 7.4% increase from Rs 3.63 crore in FY22. Looking forward, Garuda plans to further escalate its revenue to Rs 400 crore in FY24.
Garuda Aerospace’s business model revolves around a drone-as-a-service (DaaS) framework. They design, manufacture, and customize drones for various applications such as deliveries, disaster management, and agriculture. The company has developed 30 types of drones and offers 50 different services. With a strong client base of over 750, including prominent corporations like TATA, Godrej, and Reliance, Garuda is also expanding its global presence. The company aims to sell 25,000 drones in the next 18 months and export 10,000 drones to about 100 countries within the next 15 months.
The drone industry’s growth has been fueled by increased corporate interest in using drones for efficiency and cost reduction, as well as rising demand in the defense sector. Governments are also recognizing the potential of drones in various sectors, providing additional impetus for companies like Garuda Aerospace. With a fleet of 400 drones and a presence in 84 cities, Garuda Aerospace provides a wide range of drone-based solutions, including sanitization, agricultural spraying, and surveillance.