Why Droneacharya Aerial Shares Hit a 20% Lower Circuit?

Droneacharya Aerial Innovations’ shares plunged to a 20% lower circuit on the BSE, settling at ₹45.38 apiece. The sharp decline followed an order issued by the Securities and Exchange Board of India (Sebi) concerning the company’s utilisation of its initial public offering (IPO) funds and other procedural irregularities.

As of 1:00 PM, the stock was trading 19.99% lower at ₹45.38 on the BSE. The company currently holds a market capitalisation of ₹108.86 crore. Its 52-week range spans from a high of ₹131 to a low of ₹45.38, the latter being touched during today’s steep fall.

Details of the Fraud

Sebi has imposed penalties totalling ₹75 lakh on Droneacharya, its promoters Prateek and Nikita Srivastava, and associated advisors. In addition, the regulator has barred them from participating in the securities market for up to two years. Sebi noted a deliberate and structured effort to mislead investors and has frozen the company’s assets during its ongoing probe. The firm and its key personnel are now restricted from buying or selling shares without prior approval from the regulator.

According to Sebi’s findings, nearly 35% of Droneacharya’s FY24 revenue, approximately ₹12.35 crore, was generated from fictitious transactions linked to two entities, Triconix and IRed. These reported sales involved no real goods or services. Several customer addresses were traced back to residential properties or unrelated small shops, further indicating sham operations. Without these inflated numbers, the company would have posted a loss of ₹3.91 crore instead of a profit of ₹8.44 crore, substantially distorting its true financial position and misleading investors.

Also Read: SBI Discontinues mCash From Today: How Customers Can Transfer and Receive Money?

Droneacharya Aerial 1HFY26 Earnings Highlights

In 1HFY26, the Company reported standalone revenue from operations of ₹957.93 Lakhs, with total revenue reaching ₹1,078.18 Lakhs. EBITDA for the half year ended 30th September 2025 stood at ₹462.20 Lakhs, while Net Profit After Tax (PAT) came in at ₹194.27 Lakhs. These results underscore the Company’s continued commitment to operational excellence and sustained margin enhancement.

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