Synopsis:
Colab Platforms, engaging in computer hardware, software job-work, and securities trading, has delivered an 842% return in the last year. With expansions in esports, sports-tech, and AI drones, it’s a small-cap stock worth watching under Rs.150.
Engaged in computer hardware, software processing job-work, and trading of securities, this fast-rising small-cap has delivered a remarkable 824% return in the past year. With its stock still priced under Rs.150, the latest update sheds light on why investors may want to keep it on their radar.
Colab Platforms Limited’s stock, with a market capitalisation of Rs. 2,502.88 crores, rose to Rs. 125.14, hitting the intraday upper circuit, up 2 percent from its previous closing price of Rs. 122.69. Furthermore, the stock over the past year has given a return of 842 percent.
Recent Developments
On September 17, 2025, Colab signed a non-binding Memorandum of Understanding (MoU) with RRP Drones Innovation Private Limited (a RRP Group company) to form a Special Purpose Vehicle (SPV) for developing AI-powered surveillance drones.
COLAB Platforms has also significantly broadened its presence in the Indian sports and fitness sector through strategic moves such as acquiring the Northern Challengers cricket team and launching a dedicated Sports and Fitness Marketplace. With cricket’s enduring popularity in India, the acquisition allows COLAB to drive revenue via marquee league engagement, enhanced sponsorships, and a robust brand presence, while the marketplace leverages the country’s vast internet population and growing interest in health and fitness to offer manufacturers and dealers a powerful digital platform.
Strengthening its impact, COLAB Platforms recently introduced a Rs. 250 million Sports-Tech Growth Accelerator Program to nurture startups and breakthrough ventures, and launched a skill-based e-sports platform targeting India’s massive base of 594 million online gamers. These initiatives position COLAB as a frontrunner in supporting both amateur and professional talent, spanning traditional and digital sports, and foster innovation across the sports-tech ecosystem, deepening its role in shaping the future of sports and fitness in India.
Industry Outlook
India’s sports market is growing fast and is worth about USD 52 billion as on 2023. With main contributors such as sporting goods, apparel, broadcasting, sports technology, and esports. By 2030, this market is expected to reach USD 130 billion, rising at a 14% yearly growth rate. This rapid growth is mainly due to more support from the government, the popularity of digital technologies, and a larger supply of sports content for audiences.
Right now, sports make up about 0.9% of India’s GDP, a share similar to many other countries with strong sports industries. Sports in India are now bigger than sectors like telecom and are considered an important part of the economy. With fast annual growth, the sports industry may soon become even larger than major fields like automotive and tourism.
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What are the opportunities & challenges?
Colab has strong opportunities to grow with sports outside of cricket, which are contributing Rs. 2,559 crore and expanding quickly at 24% each year. The rise of online gamers in India and growing interest in professional E-sports show that there is a large, untapped market.
More people now want regional and creator-driven sports content, which Colab’s platform can provide and monetize. In addition, government support and demand from young people in smaller towns create new chances for affordable and digital-first sports products.
However, Colab also faces several threats. Competing with established e-commerce and gaming platforms can slow down growth. It is challenging to keep users engaged while earning money in the early stages of building the platform. Colab depends heavily on brand partnerships and sponsors, which can become risky during economic downturns or slowdowns. Balancing all these factors is important for Colab’s continued success.
Financial Highlights
The company reported revenue of Rs. 21.79 crore in Q1FY26, a growth of 94.8% YoY compared to Rs. 11.19 crore in Q1FY25 and an increase of 6.6% QoQ from Rs. 20.43 crore in Q4FY25. This strong top-line expansion reflects consistent demand momentum with both annual and sequential growth.
Net profit stood at Rs. 1.20 crore in Q1FY26, rising 166.7% YoY from Rs. 0.45 crore in Q1FY25 and improving 26.3% QoQ over Rs. 0.95 crore in Q4FY25. The sharp profitability growth outpaced revenue gains, indicating better margin efficiency and improved operational performance.
Written By Fazal Ul Vahab C H
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