Share Market News / A share of 22 rupees did wonders, this is how it turned 1 lakh into 42.40 lakh

Share Market News: Airpace Industries shares saw a tremendous surge on 20 August 2025. The company's stock, which is priced at less than Rs 25, caught the attention of investors. On Wednesday, the stock opened at Rs 20.71 and jumped 5% to Rs 21.70. The reason for this rise was the Letter of Intent (LOI) received from a leading defense company in the United Arab Emirates (UAE), which showed interest in Airpace's advanced defense drone portfolio.

4240% return in last 5 years

Airpace Industries has given great returns to its investors in the last five years. If an investor had invested Rs 1 lakh in this stock 5 years ago, today his capital would have increased to around Rs 42.40 lakh. The company has given a return of 4240% in this period, making it attractive for small investors.

Importance of LOI from UAE Defense Company

According to the news on 20 August 2025, a leading UAE defense company has shown keen interest in Airpace Industries' defense drones. After this LOI, the company's shares reached the upper limit of 5%. Airpace said that UAE officials will soon visit India and see the live demonstration of the company's drones. If the performance is satisfactory and the technical capabilities are approved, the UAE company plans to buy Airpace's drones for its defense needs. However, the name of the UAE company has not been revealed yet due to confidentiality.

Diversified approach of the company

Airpace Industries clarified that they are working in areas such as solar energy, urban air mobility, and advanced infrastructure along with defense drones. The company said that these technologies are complex and take time to develop. Nevertheless, Airpace is making rapid efforts to bring its projects to the commercial level.

Financial Performance: Challenges and Improvements

On the financial front, the company's loss widened to ₹1.76 crore in the first quarter (April-June) of this fiscal year from ₹0.94 crore in the same period last year. However, this loss is less than the loss of ₹3.3 crore in the March quarter. The company's total income stood at ₹13.91 lakh in this quarter, slightly higher than ₹10.93 lakh last year. This shows that the company is gradually improving its financial position.

Message for Investors

The recent surge in Airpace Industries shares and the LOI received from UAE point to bright prospects in the future of the company. However, the company's financial loss and work on complex technologies also indicate risks for investors. Investors are advised to keep an eye on the company's performance and global partnerships, especially the results of the UAE deal.