Apollo Micro Systems Targets 50% Revenue Increase by 2027

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Apollo Micro Systems Ltd has set an ambitious target of achieving a 50% increase in revenue over the next 2–3 financial years, according to Addepalli Krishna Sai Kumar, the company’s whole-time director. Sai Kumar expressed confidence in the company’s upcoming growth, citing increased involvement in large-scale production orders.

“We are actively engaged as a development-cum-production partner in numerous programs. These production efforts will be carried out either through a Public Sector Undertaking (PSU) or in collaboration with a significant private system integrator. Our role in these production orders is poised to expand significantly,” he noted.

At present, Apollo Micro Systems boasts an order book valued at approximately Rs 430 crore. However, Sai Kumar is optimistic that this figure will multiply several times in the coming years. “We anticipate a 30–35% scale-up compared to the previous financial year. Within the next couple of years, our order book is expected to exceed Rs 2,000–2,500 crore,” he stated.

In light of the anticipated influx of large orders, Apollo Micro Systems plans to substantially increase its capital expenditure. This strategic investment is aimed at driving the company toward achieving a top line of Rs 1,000 crore within the next 2–3 years, according to Sai Kumar.

In addition to revenue growth, Apollo Micro Systems is also focusing on enhancing its Ebitda margins, which are currently at 24%. Sai Kumar elaborated, “As the volume of orders increases, our Ebitda margins are expected to rise proportionately, contributing to improved profitability.”

In a recent development, Apollo Micro Systems secured a significant order worth Rs 10.9 crore from Bharat Dynamics Ltd. The order is for the production of a software-defined universal homing system designed for heavyweight torpedoes, a technology that was developed in partnership with the Defence Research and Development Organisation (DRDO).

Sai Kumar highlighted the importance of this order, describing it as a pivotal opportunity for the company. “This project marks the first time DRDO has commissioned the production of this particular class of heavyweight torpedoes. Our involvement in this program is a strategic advantage, and we anticipate that it could generate revenue of Rs 2,500–3,000 crore in the coming years,” he explained.

Overall, Apollo Micro Systems is positioning itself for robust growth, both in terms of revenue and profitability, as it takes on larger, more complex production orders and scales up its operations to meet rising demand. Apollo Micro Systems Ltd. is a leading player in the Indian defense, aerospace, and space sectors, specializing in the design, development, and production of mission-critical systems.

The company is known for its expertise in electronics, system integration, and engineering solutions, providing innovative and customized products for defense and aerospace applications. Apollo Micro Systems is committed to driving growth through strategic partnerships and advanced technology.