Shares of Apollo Micro Systems rise after bagging ₹25.1 crore orders from DRDO, defence PSUs

Shares of Telangana-based Apollo Micro Systems on Thursday (August 21) rose after the company announced that it has been declared the lowest bidder for orders worth ₹25.1 crore from the Defence Research and Development Organisation (DRDO) and defence public sector undertakings.Particulars on the nature of the contract and timeline for completion were not shared in the stock exchange filing.

Shares of Apollo Micro Systems are trading with a gain of 1.8% at ₹206.45 apiece on BSE. The stock has grown by 71% in the year so far.

Also read: Apollo Micro Systems shares surge 11% after bagging ₹113 crore export orderQ1 performanceIn the June quarter, the company reported a 46% increase in revenue to ₹133.5 crore compared to ₹91.2 crore in the same period last year. Meanwhile, the company’s profit after tax more than doubled to ₹17.6 crore from ₹8.4 crore in Q1 FY25.

This was the firm’s strongest first-quarter performance, driven primarily by the robust execution of our order book and the seamless transition of several high-value systems into production, the company said.

For the outlook, the company expects revenue to grow at a CAGR of 45% to 50% over the next two years—driven solely by the core business, excluding any contribution from the recent acquisition of IDL Explosives, the management said.

In May, the company announced the acquisition of a 100% stake in IDL Explosives Ltd. for ₹107 crore in an all-cash deal. IDL Explosives, a subsidiary of GOCL Corp Ltd, is engaged in the manufacturing and supply of packaged and bulk explosives used in mining and infrastructure projects. It reported a revenue of ₹623 crore during the financial year 2024.

Also read: Apollo Micro Systems signs MoU with Troop Comforts to develop air-defence systems