Apollo Micro Systems Share Price: Multibagger defence stock Apollo Micro Systems surged nearly 5% on Wednesday, December 31, after announcing fresh orders worth about Rs 420 crore, including a large contract
from a subsidiary of Maharatna PSU Coal India.
In a stock exchange filing, the company said its step-down subsidiary, IDL Explosives, has secured a running contract worth Rs 419.39 crore for the supply of bulk explosives to Coal India’s subsidiaries, along with an export order valued at Rs 1.5 crore for cartridge explosives. The company stated that the cumulative value of these orders stands at Rs 420.89 crore.
Last week, on December 26, Apollo Micro Systems had also announced a Rs 100.25-crore order from a private entity for the supply of Unmanned Aerial Systems to the Ministry of Defence, further bolstering its order inflows.
These wins have strengthened the company’s already healthy project pipeline, which stood at Rs 7,850 crore at the end of the September quarter. A strong order book improves revenue visibility and earnings stability over the coming quarters, supporting positive investor sentiment.
In the September quarter, the company reported a robust performance, with revenue rising 40% year-on-year to Rs 2,253 crore, while profit jumped 91% to Rs 300 crore.
Following the latest announcement, Apollo Micro Systems shares climbed nearly 5% to hit an intraday high of Rs 272.50 on the BSE, snapping a two-session losing streak. Prior to this, the stock had rallied for six consecutive sessions, which may have led to some profit-taking.
The stock has been a strong performer amid the broader defence-sector rally. Apollo Micro Systems has gained 124% on a year-to-date basis and is up 134% over the past one year. Over a five-year period, the multibagger stock has delivered an impressive return of around 2,079%, according to BSE data.
