Garuda Aerospace plans to enter Gulf, Africa, South America; projects ₹1,000-plus cr revenue in FY23

Garuda Aerospace, a drone manufacturer focusing on growing its market in developing countries through local partnerships, plans to enter three new international markets by FY23.

Agnishwar Jayaprakash, CEO and founder, Garuda Aerospace, said, “The company has three major expansions planned for this financial year. We will have a footprint in the Gulf Cooperation Council (GCC), Africa, and South America.”

A few months ago, Garuda announced a partnership with Malaysia-based HiiLSE Global Sdn Bhd (HiiLSE Drones) to set up a 2.42-hectare drone factory in Malaysia with an investment of ₹115 crore. “We have already gained traction for 12,000 drones in the Malaysian market,” Jayaprakash said.

Revenue Outlook For FY23

The company expects revenues from the Agri sector alone to surge to ₹1,000 crore in FY23.

It has orders for 25,000 drones, priced ₹4 lakh each. “If the government and industrial orders are clubbed together, the total revenues are expected to be ₹1,200-1,400 crore,” Jayaprakash said. The company clocked ₹16 crore revenue in FY22 and says it has equalled this in Q1 of this financial year.

The revenue figures are based on the funds the company receives; however, it aims to grow its revenues 10x. “Now, without funds, revenues will probably be . ₹150-200 crore. But if we are sufficiently funded, we will reach ₹1,000 crore.”

Last month, Garuda Aerospace initiated funding for its $30-million Series A round at a $250 million valuation, which it expects to close by the last week of July.

Garuda says it can manufacture in India 90 per cent of the components used in its drones by March 2023. “The upcoming strategic partnerships will enhance our capabilities,” Jayaprakash said. Currently, the company imports 60 per cent of its components.

It employs 200 staff and 400 contract pilots and plans to add 300 employees across India and over 1,000 contract pilots in the next few months.