The article outlines the order book status and its growth outlook of the company, which is a pioneer in design, development, assembly, and testing of electronic and electromechanical solutions.
With a market capitalization of Rs 14,803 crore, Apollo Micro Systems Ltd’s share is currently trading at Rs 398 per share, flat from its previous close. The stock of the company gave a return of 16.5 percent over the last year.
About the Company
Apollo Micro Systems Limited (AMS) is a Hyderabad-based defence and aerospace technology company that designs and manufactures mission-critical electronic and electromechanical systems. Established in 1985, the company develops solutions for land, air, sea and space applications, including customised electronics, embedded systems, missile and torpedo control systems, avionics, telemetry and automated test equipment.
The company also works on warhead and propulsion systems integration and supplies mission-critical subsystems to organisations such as DRDO and ISRO. Its solutions are used across military platforms, including tanks and naval systems, while its partnerships with defence public sector undertakings support India’s domestic defence manufacturing ecosystem.
How much did the company make as of Q1 FY27?
On a QoQ basis, revenue from operations declined 14.3 percent from Rs 293.26 crore in Q4 FY26. EBITDA fell 20.6 percent from Rs 67.64 crore, while net profit declined 31.5 percent from Rs 36.79 crore. Diluted EPS also declined 27.3 percent from Rs 1.10 in Q4 FY26 to Rs 0.80 in Q1 FY27.
YoY View: Revenue from operations increased to Rs 251.29 crore in Q1 FY27 from Rs 133.58 crore in Q1 FY26, registering 88.1 percent YoY growth. EBITDA rose to Rs 53.73 crore from Rs 40.94 crore, up 31.3 percent YoY, while net profit increased to Rs 25.22 crore from Rs 17.68 crore, growing 42.6 percent YoY. Diluted EPS stood at Rs 0.80 in Q1 FY27, up 33.3 percent from Rs 0.60 in Q1 FY26.
Order book Status:
Apollo Micro Systems currently has a standalone order book of Rs 1,224 crore, while its consolidated order book stands at Rs 1,704 crore. Of the consolidated order book, around Rs 480 crore comes from Ideal Explosives, reflecting the contribution from the recently integrated business.
Looking ahead, management expects the consolidated order book to reach Rs 3,500 crore to Rs 4,000 crore by the end of FY27, supported by large expected defence orders. At the upper end, this would represent a potential 135 percent increase from the current Rs 1,704 crore order book.
How is management expecting a 135% order book growth in FY27?
Large Order Could Transform Order Book: Management expects a single order of more than Rs 2,500 crore to Rs 3,000 crore by the end of FY27. Such an order could significantly increase Apollo Micro Systems’ current consolidated order book of Rs 1,704 crore and provide a major boost to the company’s order visibility.
QRSAM, Akash NG and Pinaka: Apollo Micro Systems is supplying key subsystems for major defence programmes including QRSAM, Akash NG and Pinaka. The company’s component value is more than Rs 1 crore per QRSAM and Akash NG unit, while its contribution to each Pinaka unit is around Rs 85 lakh, providing scope for meaningful orders as these programmes progress.
MIGM Offers Rs 3,500 Crore Opportunity: The MIGM programme has a total budget of Rs 3,500 crore, with management expecting Apollo Micro Systems to capture around 70 percent of the programme. The company expects the purchase order around December or January, which could provide another significant addition to its order book.
Kusha and New Defence Programmes: The company is also participating in programmes such as Kusha, smart weapons, artillery shells and autonomous defence systems. While these opportunities are at different stages of development and procurement, successful trials and subsequent orders could provide additional order book opportunities.
Multiple Growth Opportunities:Together, the large expected order, missile and rocket programmes, MIGM and newer defence opportunities provide multiple potential sources of order inflows. Management expects these opportunities to support the consolidated order book reaching Rs 3,500 crore to Rs 4,000 crore by the end of FY27.
Conclusion
Overall, Apollo Micro Systems enters FY27 with a strong growth outlook, supported by management’s 40 to 45 percent revenue growth guidance for both standalone and consolidated operations. The company’s current order book and expected large defence orders provide visibility for continued business growth.
The pipeline across QRSAM, Akash NG, Pinaka, MIGM, Kusha and autonomous defence systems could further strengthen order inflows as these programmes progress toward procurement. If the expected orders materialise, they could support both revenue growth and the expansion of the company’s consolidated order book through FY27.