RRP Defense Limited reported a standalone net loss of ₹159.61 lakhs for the quarter ended June 30, 2026, a significant widening from the ₹19.61 lakh loss recorded in the same period of the previous year. The deterioration was driven by zero revenue from operations and a one-time accounting adjustment of ₹245.03 lakhs related to a prior period error. In other corporate developments, the Board of Directors withdrew its proposal to acquire shares in Paras Green UAV Private Limited and approved shifting the company’s corporate office from Gurugram to Navi Mumbai.

The financial results were reviewed by Kale Malde & Co., the statutory auditors, who issued a limited review report under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The auditors highlighted an emphasis of matter regarding the retrospective correction of a prior period error involving expenditure aggregating to ₹245.03 lakhs. This amount had been previously recognized as "Deferred Revenue Expenditure" in the financial statements for the year ended March 31, 2026. In compliance with Ind AS 8 – Accounting Policies, Changes in Accounting Estimates and Errors, the company derecognized this deferred expenditure and adjusted the opening balance of retained earnings as of April 1, 2026. The correction had no impact on current tax liability, deferred tax, or cash flows.

Financial Performance

The company generated no revenue from operations during the quarter, continuing a trend seen in the corresponding quarter of FY26. Total income stood at ₹0.01 lakhs, primarily comprising other income. Expenses totaled ₹159.62 lakhs, driven largely by other expenses of ₹150.38 lakhs and employee benefit expenses of ₹9.24 lakhs. Consequently, basic and diluted earnings per share (EPS) were negative ₹1.16, compared to negative ₹0.14 in the same quarter last year.

On a consolidated basis, which includes the subsidiary Vimananu Limited, the net loss was ₹160.50 lakhs, compared to ₹19.61 lakhs in the previous year’s quarter. Consolidated total expenses rose to ₹160.51 lakhs from ₹19.61 lakhs, with other expenses increasing to ₹151.27 lakhs from ₹18.65 lakhs. Consolidated EPS stood at negative ₹1.17.

Corporate Developments

Beyond the financial results, the Board meeting held on August 10, 2026, addressed strategic and administrative matters. The Board resolved to withdraw the proposal for the acquisition of shares in Paras Green UAV Private Limited, which had been previously approved and disclosed to stock exchanges on July 3, 2025. The decision reflects a shift in strategic priorities, though no specific reason for the withdrawal was detailed in the filing.

Additionally, the Board approved the relocation of the Corporate Office from its previous address in South City I, Gurugram, Haryana, to A396/397 T.T.C. Industrial Area, Mahape, Navi Mumbai, Maharashtra. This move aligns with the company’s operational restructuring efforts. The unaudited standalone and consolidated financial results were prepared in accordance with Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Companies Act, 2013.

RRP Defense Limited has secured a purchase order worth ₹64,31,00,000.05 from Bharat Electronics Limited for the supply of 16,035 units of the Vardhana X6 Day Scope. The order, awarded by the Machilipatnam Unit of the Government of India Enterprise, marks the first instance under the 100% Indigenous Mandate where the company has secured complete Transfer of Technology from Meprolight, Israel. This licensing agreement grants RRP Defense Limited exclusivity for manufacturing and assembly in the Indian region.

Order Details

The disclosure was made to BSE Limited pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The order is domestic in nature and does not involve any related party transactions, with no interest declared by the promoter or group companies in the entity awarding the contract. The key parameters of the order are outlined below:

Delivery Schedule

The company is required to execute the order in three distinct lots. The first lot comprises 9,275 units, to be supplied within seven months from the date of the purchase order release. The second lot of 4,500 units is scheduled for delivery by June 27, 2027, followed by the final lot of 2,260 units by December 27, 2027. Deliveries are permitted on a staggered basis, subject to a minimum lot size of 1,000 units per shipment.