Apollo Micro lands IAF prototype deal for NavIC-guided smart bomb
The Make-II contract for a 500 kg bomb, called IPREK, positions the company as a Prime OEM but carries no immediate revenue or guarantee of future orders.
— 6 earlier stories on Apollo Micro Systems Ltd. →What's new
- Apollo Micro gets a Make-II prototype order from the Indian Air Force for the IPREK 500 kg smart bomb.
- The bomb uses India's indigenous NavIC satellite navigation system.
- Apollo will fully fund the prototype development; no government cost obligation.
Why this matters
This award marks Apollo's move from subsystems to complete weapon platforms, strengthening its Prime OEM credentials. But the prototype phase generates zero revenue and offers no guarantee of a production order, limiting near-term financial impact.
What we're watching
- Whether the IAF converts the prototype into a production order worth potentially ₹500+ crore.
- Progress on the earlier SAVIOR-ASW autonomous underwater vessel prototype for the Indian Navy.
- How the company manages development costs given its debt/equity of 0.55 and trailing P/E of 126.5.
The full read
Apollo Micro Systems just got a Make-II prototype contract from the Indian Air Force to develop the IPREK 500 kg smart bomb. The weapon uses India's indigenous NavIC navigation, turning dumb bombs into precision standoff munitions. Apollo will foot the entire development bill — no government funding. That's the catch. The company reported ₹9,043 Mn in revenue last year and recently bought 41% of Premier Explosives for ₹1,550 cr. But this order is a strategic bet, not a revenue event. It builds on an earlier July empanelment for precision munition kits and another Make-II award for an autonomous underwater vessel. Apollo is betting that developing these platforms now will unlock production orders later. For a stock trading at 126.5x trailing earnings, investors are already pricing in that bet. The open question is whether the IAF turns this prototype into a procurement program — and how long that takes.
Questions answered
- What is the IPREK smart bomb?
- IPREK is a 500 kg precision-guided bomb that converts India's existing unguided munitions into standoff weapons using indigenous NavIC satellite guidance. It is being developed under a Make-II prototype contract from the Indian Air Force.
- Why is NavIC important for this project?
- NavIC is India's homegrown navigation satellite system, reducing dependence on foreign systems like GPS. Using NavIC aligns with the government's Atmanirbhar Bharat push in defence.
- How does this order fit Apollo's strategy?
- Apollo is transitioning from a subsystems supplier to a Prime OEM offering complete weapon platforms. This award, along with the earlier SAVIOR-ASW prototype, positions it as a lead integrator for critical defence systems.
- What is the financial impact of this prototype order?
- The prototype phase is entirely funded by Apollo with no government cost obligation. It generates no revenue and carries no guarantee of future procurement, so the immediate financial materiality is low.
- What is the timeline for the IPREK development?
- The filing does not specify a timeline. Typically, Make-II prototypes can take 2-4 years for development, followed by user trials and potential production orders.
- How does this relate to the recent Premier Explosives acquisition?
- Premier Explosives gives Apollo capabilities in solid propellants, which are critical for missile and bomb propulsion. The IPREK bomb may leverage that expertise, though no direct link has been stated.
Apollo Micro Systems Ltd.
Latest quarter · Mar 2026
Strength & growth
Story so far
All notes on APOLLO →- 28 Jul 2026 · 1:24 PM IST Apollo Micro lands IAF prototype deal for NavIC-guided smart bomb
- today Apollo Micro empanelled by IAF for precision munition kit
- 13d ago Apollo Micro bags ₹189.57 cr in defence orders
- 19d ago Apollo Micro buys 41% of Premier Explosives for ₹1,550 cr, enters solid propellants
- 22d ago Apollo Micro approves ₹3,322 cr preferential issue