&w=3840&q=100)
Why did this defence stock soar 32% in 2 days? Zoomed 57% so far in May
In the past two trading days, the stock price of this smallcap aerospace & defence company has zoomed 32 per cent. Thus far in the month of May 2025, it has rallied 57 per cent.
At 12:25 PM, Apollo Micro Systems was quoting 17 per cent higher at ₹180.70, as compared to 0.22 per cent decline in the BSE Sensex. The average trading volumes on the counter jumped over two-fold. As many as a combined 59.75 million equity shares representing 19.5 per cent of total equity of Apollo Micro Systems have changed hands on the NSE and BSE.
What is behind the rally in Apollo Micro Systems?
Apollo Micro Systems informed stock exchanges that in the ordinary course of its business, the company has received an export order valued at $13,366,500 (equivalent to approximately ₹113.81 crore) for the development of an Avionic System.
This project pertains to the development of an advanced avionics system intended for use in civil and military aircraft applications. However, due to the sensitive nature of the engagement, specific technical and programme details are bound by a Non-Disclosure Agreement (NDA) with the customer, the company said.
Meanwhile, on May 5, 2025, Apollo Defence Industries Pvt Ltd (ADIPL), a subsidiary of Apollo Micro Systems, entered into a Share Purchase Agreement (SPA) to acquire 100 per cent equity stake in IDL Explosives for a total consideration of ₹107 crore, in an all-cash transaction. ALSO READ |
IDL Explosives is engaged in the manufacture of full range packaged and bulk explosive specifically engineered for mining and infrastructure projects. Moreover it also offers an extensive range of cartridge explosives. It has served the Indian mining and Infrastructure Industry.
The explosive market size is expected to see strong growth in the next few years. The surge in government spending on the defense sectors in various countries including the US, China, India, Russia, the UK and France is projected to be a major driver for the growth of the explosive market during the period.
The growth in the forecast period can be attributed to an increase in territorial and political conflict, global population growth and urbanisation, increasing infrastructure development expenditure by governments and increasing construction activities.
Strong outlook
Looking ahead, the management of Apollo Micro Systems expects revenue to grow at a compounded annual growth rate (CAGR) of 45 per cent to 50 per cent over the next two years — driven solely by the core business, excluding any contribution from the recent acquisition.
This growth is underpinned by a healthy order book and multiple products entering the production phase. Operating margins are projected to improve in the first half of FY26 due to favorable operating leverage and product mix. However, ongoing and planned capital investments are expected to moderate margin expansion in the latter half of FY26 and into FY27. ALSO READ |
Recent geopolitical developments — particularly the India–Pakistan conflict — have further accelerated demand for indigenous defence solutions. Several of our systems were successfully tested and demonstrated during this period, generating major interest and engagement across the defence value chain.
About Apollo Micro Systems
Apollo Micro Systems is a Hyderabad-based company engaged in the business of electronic, electro-mechanical, engineering designs, manufacturing and supply. The company specialises in the design, development and sale of high-performance, mission and time critical solutions to defence, space and home land security for the Ministry of Defence, government controlled public sector undertakings and private sector companies. Apollo Micro Systems also offers custom built COTS (Commercially off-the shelf) solutions based on specific requirements for defence and space customers. Its addressable industries include railways, automotive and home land security.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
an hour ago
- Mint
Portfolio management services ride on pension savings, not just the wealth of the rich
Pension savings of millions of Indians have turbocharged the assets of portfolio management services (PMS), often seen as the preserve of India's well-heeled. The reasons: A rule that binds the retirement fund manager to invest via PMS, and higher tax and compliance burdens that dampen high-net-worth individuals' enthusiasm. These schemes, where you must put up a minimum of ₹50 lakh, managed assets worth ₹35 trillion as of May 2025, data from the Securities and Exchange Board of India (Sebi) showed. Of this, 79%, or ₹28 trillion, came from the EPFO. Five years earlier, the number stood at 75%. Meanwhile, the share of PMS assets from other sources -- read HNIs -- shrank from 24% to 21%. The EPFO, which manages retirement funds of nearly 70 million Indians, invests a slice of its investable corpus in debt instruments. This is mandated to be done via a PMS, funneling a deluge of funds to the PMS industry. While the PMS clientele is often seen as wealthy, EPFO's money comes from regular employees, who set aside a share of their monthly earnings to fund retirement. 'The EPFO utilizes a sophisticated outsourced model where the day-to-day management of its extensive corpus including debt instruments is delegated to a select group of appointed external fund managers," said Kalyani Sharma, partner, Singhania & Co. Between 45% and 65% of the EPFO portfolio should be in government securities, and 35-45% in various debt instruments, Sharma said. EPFO's debt corpus is managed by SBI Funds and UTI Asset Management. Emails sent to both remained unanswered. An email sent to EPFO also remained unanswered. 'EPFO is also allowed to invest in equity markets through exchange-traded funds like BSE Sensex, NSE Nifty and ETFs constructed specifically for CPSE disinvestments to the tune of 5-15%. But the majority of the EPFO investments remain in debt-related investments," said Shikhar Kacker, partner at Khaitan & Co. PMS assets from non-EPFO sources, primarily HNIs, have grown 70% over the last five years (till May end), while those from EPFO doubled in the same period, Sebi data showed. A tax on churning stocks, increased compliance, and higher ticket size has slowed the growth of the non-EPFO part, primarily comprising HNIs, experts said. Meanwhile, other avenues where HNIs invest have seen better growth. Total commitments raised by Category-III alternate investment funds, another type of investment vehicle, is up 4.7 times since FY20, while mutual funds' assets rose 2.95 times to ₹65.7 trillion in the same period. Mutual fund vs PMS Many investors could prefer mutual funds over PMS given their tax efficiency, said Pramod Gubbi, co-founder at Marcellus Investment Managers. In PMS, every time the manager sells a stock and books a gain, the investor is liable to pay capital gains tax even if they haven't redeemed their investment. In contrast, mutual funds are tax-exempt at the fund level; so any short-term churn within the fund does not trigger a tax for the investor, who only pays capital gains tax upon redemption, which makes them more tax efficient, said Gubbi. The PMS industry, once known for its light-touch regulation, is now facing significantly higher compliance demands, experts say. Over the past year and a half, PMS providers have been required to submit as many as 12 reports a month to Sebi, covering quantitative information like client information, transaction details, expense and employee roles, besides routine monthly reports to Sebi and the Association of Portfolio Managers of India, said Bhavin Shah, CIO at Sameeksha Capital and board member of APMI. Shah said this burden could be eased if Sebi sourced the data directly from custodians or fund accountants, who already serve as the central repository for information related to PMS accounts. The added compliance requirements have raised costs, pushing the break-even AUM for PMS providers from about ₹50 crore earlier to ₹200 crore now. Considering a startup puts capital of ₹10 crore while starting a PMS, it could take up to five years for a new player to break even, Shah added. In 2019, the minimum ticket size for a PMS was increased from ₹25 lakhs to ₹50 lakhs, which could be another reason for the slower growth, experts say. 'Increased minimum ticket size could deter investors from putting money into a new PMS," said Sushant Bhansali, CEO of Ambit Asset Management. 'Adding incremental funds to an existing PMS is manageable, but committing another ₹50 lakh to start afresh with a new PMS becomes a challenge for many investors." Moreover, unlike AIFs, PMSes aren't allowed to invest in unlisted equities, which could be another the industry'Es slower growth, Bhansali added.
Time of India
5 hours ago
- Time of India
Lokesh vows to transform AP with ‘double engine' governance
1 2 3 4 Guntur: Urging the youth to follow Mahatma Gandhi's advice — "Be the change you wish to see in the world" — IT and HRD minister Nara Lokesh said the state govt, under the leadership and vision of chief minister Nara Chandrababu Naidu, is working with the same spirit and commitment to transform Andhra Pradesh into a developed state. Lokesh hoisted the Tricolour at the police parade grounds to mark the 79th Independence Day celebrations on Friday, and took the guard of honour. Addressing the gathering, he said Andhra Pradesh witnessed "dark days" from 2019 to 2024. "The previous govt accumulated ₹10 lakh crore in debt, pushing the state back by 30 years. Development lost its track during their regime. People created history with a 94% strike rate in 2024, giving 164 seats to the NDA, breaking all records and establishing a people's govt," he said. With chief minister Naidu's vision being a constant guiding force in taking up revolutionary decisions, the double-engine govt has guided the state from darkness to light, Lokesh said. "The Centre has provided funds for the construction of Amaravati as the capital and for Polavaram project. With Prime Minister Narendra Modi's support, the govt was also able to save Vizag Steel Plant and establish the railway zone in Visakhapatnam. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Find your car's value online in minutes. Spinny Click Here Undo Support has also been extended for Rayalaseema industrial corridor. Our slogan is one-state, one-capital, with decentralised development," he added. He said the 'Super Six' promises made by the chief minister have become a "super hit," as they were implemented within a year of coming to power. "The govt increased pensions to Rs 4,000, Rs 6,000 for the differently-abled, and Rs 15,000 for bedridden beneficiaries. Rs 7,000 was disbursed to farmers in the first phase under Annadata Sukheebhava scheme. Additionally, the govt has provided two crore free gas cylinders to women under the Deepam scheme and launched free travel for women on APSRTC buses under Stree Shakti scheme," Lokesh said. He highlighted the launch of 'Thalli ki Vandanam' scheme, which provides Rs 15,000 to mothers of each schoolgoing child. A total of Rs 10,091 crore has been disbursed to 67.27 lakh children under the scheme, he said. He pointed out that while the previous govt failed to fill even a single teacher post, the NDA govt has filled 16,347 posts through a mega DSC. "We aim to create 20 lakh jobs and have already secured agreements for Rs 9.35 lakh crore in investments, creating 8.5 lakh jobs through companies like ArcelorMittal, NTPC, BPCL, TCS, Cognizant, Sattva, ANSR, LG Electronics, and Renew," Lokesh said. He added that the govt has revamped the curriculum from KG to PG and introduced semester-wise books to reduce the burden on students. Stay updated with the latest local news from your city on Times of India (TOI). Check upcoming bank holidays , public holidays , and current gold rates and silver prices in your area. Get the latest lifestyle updates on Times of India, along with Happy Krishna Janmashtami Wishes ,, messages , and quotes !
The Hindu
9 hours ago
- The Hindu
Women are key drivers of India's growth, says PM Modi
Prime Minister Narendra Modi on Friday (August 15, 2025) said that women in India were not only beneficiaries of a rising economy but also its key drivers. 'From start-ups to the space sector, from the playing fields to the armed forces, our daughters are making their mark. Today, with pride, women stand shoulder to shoulder in the country's journey of development,' Mr. Modi said in his address to the nation on Independence Day. 'Every sector now proudly acknowledges the strength of our nari shakti (women's power),' he said, mentioning the first batch of women cadets who graduated from the National Defence Academy (NDA). 'The whole country was filled with pride at that historic moment'. Mr. Modi also praised the transformative role of women's self-help groups (SHGs), saying that programmes like the 'NaMo Drone Didi' have given rural women a new identity. 'I am happy to inform the nation that, with the support of our nari shakti, two crore women have already become Lakhpati Didis,' he said. The Lakhpati Didi scheme, also known as the Lakhpati Didi Yojana, is an initiative by the Ministry of Rural Development that aims to empower women in SHGs to earn a sustainable annual household income of ₹1 lakh or more. Several of these 'Lakhpati Didis' were present at the Red Fort on Friday as special guests. Mr. Modi also paid homage to the visionaries who drafted India's Constitution, especially highlighting the role of women leaders in shaping the document. 'Our nari shakti also played an important role. Leaders like Hansa Mehta and Dakshayani Velayudhan made significant contributions in strengthening the Constitution of India,' he said.
