Last week, I was casually tracking a few defense-related stocks, and one name suddenly caught my attention — Apollo Micro Systems. Between May 27 and May 29, 2025, its share price jumped by more than 38%! That kind of movement made me pause. I hadn’t really looked into Apollo before, but this sudden rally made me curious. What’s driving this surge? What does this company actually do? I started digging deeper — and what I found was genuinely interesting. Apollo Micro Systems isn’t just another stock. It’s a quiet performer working behind the scenes, building advanced electronic systems for India’s rockets, missiles, and defense infrastructure. Let me take you through what this company is all about.
The Humble Beginning of Apollo Micro Systems
Apollo Micro Systems started its journey back in 1985 in Hyderabad, India. At first, the company focused on electronic design services — basically, helping other companies plan and design electronic products. Over time, Apollo grew and began manufacturing its own complex electronic components, especially for India’s defense and space sectors.
What Exactly Does Apollo Micro Systems Do?
In simple terms, Apollo Micro Systems designs, develops, and manufactures specialized electronic and electro-mechanical systems. These parts are used in rockets, missiles, drones, and other defense equipment. They also provide custom-built solutions tailored to the specific needs of their clients.
Where Does Apollo Micro Systems Work?
Apollo Micro Systems works in several important sectors:
- Defense: Supplying the Indian Army, Navy, and Air Force with advanced electronics for weapons and communication systems.
- Space Research: Partnering with ISRO to provide parts used in satellites and space missions.
- Homeland Security: Creating systems that help secure borders and protect critical government locations.
- Transportation: Developing electronic solutions to make trains and other transport safer.
What Makes Apollo Micro Systems Special?
What sets Apollo apart is that they handle everything in-house — from designing to manufacturing and testing. This “end-to-end” control ensures the highest quality and reliability, which is very important when working on defense and space technology.
Innovation Is Their Heart
Apollo Micro Systems invests a lot in research and development (R&D). This means they’re always working on new and improved technologies. For example, they develop advanced homing systems for torpedoes and smart sensors for drones. This focus on innovation keeps them ahead of the competition.
Financial Growth and Future Plans
Apollo Micro Systems has shown impressive growth over the years. Looking at the numbers, their sales have grown at an average rate of about 19% per year over the last 10 years. Even more interesting is the recent acceleration — in the past 3 years, sales growth jumped to around 32%, and in the latest trailing twelve months (TTM), it surged to an amazing 51%.
Profit growth is even more remarkable. Over the last decade, profits have grown around 23% annually. But in the recent 3 years, profits soared by 57%, and in the latest TTM, they exploded by 80%. These figures highlight how the company is rapidly expanding its business and improving profitability.
During a recent earnings call, Apollo Micro Systems’ management shared optimistic plans for the future. They expect their revenue to grow at a strong compound annual growth rate (CAGR) between 45% to 50% over the next two years. Additionally, the company’s order book — basically, confirmed future work — is expected to triple by the end of this year. This suggests more big contracts are on the way, fueling growth.
Should You Consider Investing?
If you’re interested in the defense technology sector, Apollo Micro Systems could be a good company to watch. Their strong government connections and focus on advanced tech make them promising. But as with any investment, do your own research and consider the risks carefully.
Summary
Apollo Micro Systems is a key player in India’s defense and space industries, making high-tech electronic products used in rockets, missiles, drones, and more. Their strength comes from managing everything from design to testing, combined with a strong focus on innovation and steady financial growth. For anyone interested in India’s tech-driven defense future, Apollo Micro Systems is definitely worth knowing about.