Apollo Micro Systems hits 5% upper circuit after it secures order from Indian Army

The stock of this defence component maker has declined over 3 percent so far this year, as compared to 13 percent surge in the benchmark Nifty 50 index

Shares of Apollo Micro Systems were locked at 5 percent upper circuit at Rs 109.76 per share on July 15 after it secured an order by the Indian Army for procurement of vehicle mounted counter swarm drone system (VMCSDS) under Make-II category of DAP-2020.

Despite the rise, the stock of this defence component maker has declined over 3 percent so far this year, as compared to 13 percent surge in the benchmark Nifty 50 index. Earlier, Apollo Micro shares had hit 52-week high of Rs 161 per apiece on November 20, 2023.

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In an exchange filing, Apollo Micro said that it was shortlisted keeping in view of its capability and awarded Make-II project by the Indian Army. “This project is a very prestigious and first Make II project for the company,” they noted. As a Make II project, there will be no cost obligation involved, it added.

The company will be required to deliver the order in 85 weeks for single stage composite trials and staff evaluation.

Recently, credit ratings agency Acuite Rate and Research had reaffirmed its bank loan ratings as 'stable.'

ALSO READ: Apollo Micro Sy Standalone March 2024 Net Sales at Rs 135.44 crore, up 26.76% Y-o-Y

Earlier, Apollo Micro's revenues had increased by 26.7 percent on-year in the March-ended quarter, while profit jumped by 79.3 percent YoY. The company's operating income also rose by 38 percent YoY in Q4FY24.

The company specialises in design, development, and manufacturing of mission-critical electronic systems and subsystems for aerospace, defence, space, and homeland security applications. It offers a wide range of products including high-performance embedded computing systems, ruggedised computers, electronic systems for missile applications, avionics systems, and more.

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