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ideaForge Soars: Q4 Profit Surge Drives Stock to New Highs
5 May
Summary
- Company swings to Rs 60 crore profit from prior year loss.
- Revenue surged sevenfold to Rs 141 crore in the latest quarter.
- Material costs dropped significantly, improving profit margins.
ideaForge Technologies experienced a significant stock surge of 17 percent, hitting a 52-week high after announcing strong Q4 financial results. The company reported a net profit of Rs 60 crore, a dramatic improvement from a net loss of Rs 26 crore in the same period last year. This turnaround was underpinned by a substantial increase in revenue, which grew sevenfold to Rs 141 crore from Rs 20 crore year-over-year.
The operational performance was further bolstered by a significant reduction in material costs. These costs fell to 11% of revenue, a sharp decrease from 67% in the prior year and 51% in the preceding quarter. This enhanced efficiency contributed to improved profit margins. As of the March quarter's end, 86% of ideaForge's revenue was attributed to the defence sector, with the remaining 14% from civil applications. The company is also exploring expansion into combat drones.
