Apollo Micro Systems Joins MSCI India Small Cap Index on the Back of Record Growth

A Global Stamp of Approval

MSCI indexes are tracked by passive funds and used as benchmarks by active managers around the world. A place in the MSCI India Small Cap Index means Apollo Micro Systems now meets MSCI’s standards for size, free float and liquidity, and will be held by funds that track the index.

Apollo Micro Systems is one of 11 Indian companies added to the index in this review, alongside names such as PI Industries, HUDCO, Shadowfax Technologies and E2E Networks. Nuvama estimates combined passive inflows of about $95 million across the 11 additions. Based on Apollo Micro Systems’ free-float market value, its share is estimated at roughly $8–10 million, or around ₹84 crore.

Beyond the one-time buying on the effective date, the bigger benefit is lasting visibility. Index membership puts the company in front of global portfolio managers, research teams and benchmark-aware funds that may not have followed it before.

Record Quarter Across the Board

The index addition is backed by strong numbers. For the quarter ended 30 September 2026 (Q2 FY27), Apollo Micro Systems reported:

• Revenue of₹388 crore, up 72% from ₹225 crore a year earlier and its highest-ever September-quarter revenue
• EBITDA of₹111 crore, up 88% year on year
• EBITDA margin of 28.6%, up from 26.3%
• Net profit of₹46 crore, up 54% from ₹30 crore

The first half of FY27 was equally strong. Revenue rose 78% to ₹639 crore, EBITDA rose 65% to ₹165 crore and profit afler tax rose 50% to ₹71 crore.

Profit grew faster than sales, which shows the business is gaining operating leverage as production orders form a larger share of revenue.

Order Book at an All-Time High

Apollo Micro Systems ended September with a record consolidated order book of ₹1,765 crore, giving clear revenue visibility for the coming quarters.

Further orders could follow. On its earnings call, management said it expected a request for quotation for the MIGM programme in November, with a purchase order likely by February and no later than March, as trials have been completed.

Riding India’s Defence Push

Apollo Micro Systems supplies electronic and electro-mechanical systems for missiles, underwater weapons and other defence platforms, with capabilities that it describes as running “from fuzing to fire control”. The company describes itself as India’s only privately owned, publicly listed defence company with this scale of infrastructure, including in-house R&D.

As India expands domestic defence manufacturing and prioritises local suppliers, companies with proven design and production capability are well placed to win a growing share of programmes. Apollo Micro Systems’ record order book suggests it is already benefiting from this shift.

Strong Market Response

Investors have responded to the company’s progress. The shares closed at ₹454.15 on NSE on 11 November 2026, up 9.7% on the day and close to their 52-week high, with volume well above average. The stock has more than doubled from its 52-week low, and the company’s market value now stands at about ₹16,500 crore.

The Road Ahead

With record earnings, a record order book, new programme opportunities and a place in a global MSCI index, Apollo Micro Systems enters the final weeks of 2026 from a position of strength. The 30 November index inclusion adds a new group of long-term global investors to a company already delivering fast, profitable growth.

Disclaimer: This article is for informational purposes only and does not constitute financial advice.