Apollo Micro Systems reported receiving a new order worth ₹213 crore from the Defence Research and Development Organisation (DRDO), defence public sector undertakings (PSUs), and private industries, the company announced on Wednesday. Following the news, the company's share price rebounded 0.82% to ₹401.45 in Wednesday's trading session, up from the previous close of ₹398, according to livemint.com.
The fresh order comes as part of Apollo Micro Systems' ongoing contracts with government and private defence entities. The company informed the stock exchanges about the receipt of the order, which contributed to a positive market reaction. Apollo Micro Systems has been a multibagger stock in the defence sector, with consistent business from DRDO and other defence PSUs supporting its growth, per livemint.com.
This development underscores the importance of government and PSU contracts in sustaining and growing defence manufacturing firms in India. Apollo Micro Systems' ability to secure large orders from DRDO and PSUs places it among key players in the domestic defence electronics segment. The ₹213 crore order adds to the company's order book, which has been a factor in its stock performance and investor confidence, as reported by livemint.com.
Apollo Micro Systems' next financial results will provide further clarity on the impact of this order on its revenue and profitability. The company’s share price movement on Wednesday reflected investor optimism following the announcement, with the stock opening at ₹400.95 and closing at ₹401.45, according to livemint.com.