Bharat Forge Secures ₹300 Crore Defence Order for Unmanned Systems

Introduction

Bharat Forge Limited announced on Friday, January 16, that it has secured new defence contracts valued at approximately ₹300 crore. The orders were awarded under the government's Emergency Procurement–VI (EP-VI) framework and involve the supply of indigenously developed unmanned systems. These systems are intended for the Indian Army, with some also designated for end use by the Indian Navy, marking a significant step in the company's contribution to India's defence modernisation and the 'Atmanirbhar Bharat' initiative.

Details of the Unmanned Systems Contract

The contracts cover a range of homegrown unmanned platforms designed for critical military applications. These include systems for intelligence, surveillance, and reconnaissance (ISR) as well as loitering munitions. The specific platforms named in the order are Omega One, Omega Nine, Bayonet, and Cleaver. These systems have been developed to meet urgent operational needs across varied terrains and complex mission profiles, enhancing the armed forces' tactical capabilities. The company confirmed that these programmes are being executed by leveraging enhanced domestic production capacity to ensure faster delivery while maintaining high standards of quality and reliability.

Strategic Showcase and Validation

The capabilities of these new systems were recently validated before India's top defence leadership. The Omega One platform was prominently showcased during the Army Day Parade in Jaipur on January 15, mounted on an upgraded BMP-2 infantry fighting vehicle. This public display served as a key endorsement of Bharat Forge's technological prowess in the unmanned systems domain. Amit Kalyani, Vice Chairman & Joint Managing Director of Bharat Forge, stated, “This dual achievement of securing EP-VI contracts and showcasing Omega One at Army Day reaffirms BFL’s commitment to Atmanirbhar Bharat. We are proud to equip our Armed Forces with India-specific, EW-resistant, homegrown unmanned systems.”

Expanding Defence Portfolio

This latest order builds on Bharat Forge's growing presence in the Indian defence sector. The company has been strategically diversifying from its core automotive components business into a key defence and aerospace manufacturer. This strategy was highlighted by a landmark contract signed on December 31, 2025, its largest-ever small arms deal with the Ministry of Defence. That contract, valued at ₹1,661.9 crore, was for the supply of 255,128 indigenously designed and developed Close Quarter Battle (CQB) carbines to the Indian Army over five years.

Technological Advancements

Bharat Forge continues to invest heavily in advanced technologies to bolster its defence offerings. The company's unmanned systems portfolio is evolving with the increasing integration of advanced autonomy, artificial intelligence, and data-driven decision-making. These enhancements are aimed at improving mission endurance, precision targeting, and survivability of the platforms in contested and dynamic operational environments. Through sustained investments in design, manufacturing, and next-generation autonomy, the company is positioning itself as a pivotal player in India’s unmanned systems ecosystem.

Financial Health and Market Performance

Bharat Forge's strategic shift is supported by strong financial performance. For the second quarter of FY26, ending September 30, 2025, the company reported a consolidated net profit of ₹299 crore, a 23% year-on-year increase. Revenue from operations grew by 9.3% to ₹4,032 crore during the same period. The company's executable defence order book stands at a substantial ₹11,000 crore as of January 2026, providing strong revenue visibility. The growing defence segment now accounts for a significant portion of its revenue, offering a stable counter-balance to the cyclical nature of the automotive industry.

Market Impact and Stock Movement

The series of high-value defence orders has positively impacted investor sentiment. As of January 16, shares of Bharat Forge were trading around ₹1,457.80. The stock has demonstrated solid growth, gaining 18.34% over the past six months and over 20% on a year-on-year basis. The company's market capitalization stands at approximately ₹69,451.94 crore, reflecting market confidence in its long-term growth trajectory, particularly within the high-potential defence sector.

Conclusion

The ₹300 crore contract for unmanned systems further cements Bharat Forge's position as a critical partner in India's defence indigenization efforts. By successfully developing and supplying advanced, homegrown platforms, the company not only strengthens the capabilities of the Indian Armed Forces but also reinforces the nation's goal of achieving self-reliance in critical defence technologies. With a robust order book and continued investment in next-generation capabilities, Bharat Forge is well-positioned for sustained growth as a diversified engineering and technology leader.