Synopsis:
Apollo’s subsidiary ASTPL partners with a U.S. firm to co-develop and produce rocket motors, advancing Make in India, enhancing self-reliance, and positioning itself as a key player in global defence.
During Thursday’s trading session, shares of an electronic, electromechanical and engineering design, manufacturing and supplies company surged nearly 4.3 percent on BSE, after signing an MoU with the US-based Dynamic Engineering and Design Incorporation for the co-development and potential licensed production of rocket motors.
At 01:14 p.m., the shares of Apollo Micro Systems Limited were trading in the green at Rs. 294 on BSE, up by around 4 percent, as against its previous closing price of Rs. 282.85, with a market cap of Rs. 9,802.5 crores. The stock has delivered multibagger returns of over 188 percent in the last one year, and has gained by around 58 percent in the last one month.
What’s the News
According to the latest filings, Apollo Strategic Technologies Private Limited (ASTPL), a step-down subsidiary of Apollo Micro Systems Limited and a subsidiary of Apollo Defence Industries Private Limited (ADIPL), has entered into a Memorandum of Understanding (MoU) with US-based Dynamic Engineering and Design Incorporation, for the technology transfer, co-development, and potential licensed production of Rocket Motors for BM-21 Grad ER and Non-ER Rockets at DSEI London.
This MoU represents a significant strategic move toward indigenising propulsion technologies for multibarrel rocket systems and advancing self-reliance in critical defence systems under the Make in India initiative. Apollo Group has already achieved a milestone by developing the 122mm rocket warhead in-house and is now preparing to start immediate trials, with plans to initiate full-scale production by mid-2026.
This collaboration will enable Apollo to integrate its domestically developed warheads with locally produced rocket motors, marking a significant milestone in India’s private defence manufacturing sector.
The BM-21 Grad rockets continue to be among the most demanded unguided rockets in the global defence market. Through this initiative, Apollo Group is poised to emerge as one of the private Indian companies capable of offering a fully in-house developed rocket system of this scale, strengthening India’s position in the global defence supply chain and contributing to the Government of India’s vision of achieving defence self-reliance.
Financials & more
In Q1 FY26, Apollo Micro Systems reported a consolidated revenue from operations of Rs. 134 crores, a decline of around 17 percent QoQ but a growth of nearly 47 percent YoY. This growth has been driven primarily by the robust order book execution and successful transition of multiple high-value systems into the production phase.
Similarly, the company’s net profit for the quarter more than doubled to Rs. 18 crores, representing an impressive rise of nearly 29 percent QoQ and 125 percent YoY.
As of June 2025, the company reported an order book of around Rs. 735 crores. Additionally, its management has guided for revenue growth in the range of 45-50 percent CAGR over the next two years, driven entirely by the core business and excluding any contribution from the recent acquisition. This growth outlook is supported by a healthy order book and several products progressing into the production stage.
Apollo Micro Systems Limited is mainly engaged in the supply of electronics and electro-mechanical systems and components, including design, research & development of systems which are used in missile programmes (weapon systems electronics), underwater missile programmes (weapon systems electronics), avionics systems, ship-borne systems, submarine systems, etc.
The company plays a key role in advancing national defence capabilities across strategic areas, including missile systems, naval platforms, avionics, satellite and space systems and homeland security.
Written by Shivani Singh
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