Which Companies Manufacture Rockets in India?

For decades, India's defence sector was heavily dependent on imports, with advanced ammunition and rocket systems sourced from global suppliers.

But as geopolitical tensions rise and national security takes centre stage, the government is doubling down on self-reliance in defence manufacturing.

In a major boost to indigenous production and the 'Make in India' initiative, the Indian Cabinet recently cleared a Rs 100 billion (bn) contract for manufacturing advanced ammunition, including enhanced-range Pinaka rockets and area denial munitions.

These rockets, with a range of up to 150 km, will significantly enhance the Indian Army's strike capabilities. The production will be spearheaded by Munitions India and Economic Explosives, marking it one of the largest Make in India-driven defence contracts to date.

This contract is part of a broader push to expand India's domestic defence manufacturing industry, with a growing role for private players.

Keeping that in mind, we look at 5 Indian companies that stand to gain from the country's push toward self-reliance in rocket and ammunition production.

#1 Solar Industries

Solar Industries is a leading domestic producer of bulk and cartridge explosives, detonators, detonating cords, and components, which are widely used in the mining, infrastructure, and construction sectors.

The company also manufactures high-energy explosives, delivery systems, ammunition filling, and pyrotechnic fuses for the defence industry.

The company's facility in Nagpur is the world's largest explosives packaging manufacturing facility. As part of its expansion plans, it is setting up new manufacturing facilities in Australia, Thailand, and Indonesia.

In addition to healthy growth in the domestic market, it has expanded significantly in the overseas market over the past few years.

Apart from this, Solar Industries has ventured into the propulsion system business for space applications through a partnership with ISRO, boosting its ammunition sector growth, and investing in Skyroot Aerospace to manufacture space launch vehicles.

Recently, the Indian Army successfully test-fired six Pinaka rockets manufactured by Solar Industries, marking the first time a rocket from an Indian private organization has been used by the Army.

Coming to Solar Industries financials, in Q3 FY25, the company achieved its highest-ever quarterly revenue of Rs 19.7 bn, marking a 38% YoY growth. EBITDA also reached a record Rs 5.4 bn, reflecting a 46% increase.

The company's net profit stood at Rs 3.4 bn, up 52% YoY.

Notably, its defence revenue surged to an all-time high of Rs 4.1 bn, registering a massive 578% YoY growth. Meanwhile, the company's order book exceeded Rs 71 billion (bn), indicating strong future growth prospects.

The company projects defence product sales to reach Rs 15 bn going forward, contributing 20% to its total revenue in FY25.

In the past 1 year, shares of the company have gained 30%.

Solar Industries' management anticipates top-line growth of around 30% for FY25. The company aims to be debt-free by the end of this year.

For more details, check out Solar Industries financial factsheet.

#2 Premier Explosives

Second on the list is Premier Explosives.

Premier Explosives is engaged in the manufacturing of industrial explosives and detonators while also playing a crucial role in India's defence and space programs.

The company provides operation and maintenance (O&M) services for solid propellant plants at ISRO's Sriharikota Centre and the Solid Fuel Complex at Jagdalpur under DRDO.

Over the years, it has emerged as a key supplier of solid propellants, high-energy explosives, and rocket motors, serving clients like Bharat Dynamics Ltd (BDL), DRDO, and ISRO.

With the government's push for indigenous defence manufacturing, Premier Explosives is well-positioned to capitalize on rising demand for missile propulsion systems, warheads, and pyrotechnics.

Its recent order wins include long-term contracts with BDL for Akash missile propellants, ISRO for satellite launch vehicle propellants, and the Indian Army for advanced explosive payloads.

The company has also been expanding its manufacturing capabilities at its Katepally facility to scale up solid propellant production.

Financially, Premier Explosives posted a revenue of Rs 1.6 bn in Q3 FY25, a growth of 272% YoY.

The company's profit rose more than 4 times to Rs 92 m during the third quarter of FY25.

The company's current order book stands at Rs 10 bn.

With capacity expansion, a strong order pipeline, and increasing participation in India's defence programs, Premier Explosives remains a promising player in the country's evolving military-industrial ecosystem.

In the past 1 year, shares of the company have gained 32%.

For more details, check Premier Explosives financial factsheet.

#3 Bharat Electronics

Third is Bharat Electronics.

Bharat Electronics Ltd (BEL) is a state-owned defence electronics company playing a pivotal role in India's self-reliance initiatives.

As a key supplier to the Indian armed forces, BEL specializes in advanced radar systems, communication equipment, electronic warfare systems, and missile guidance technologies.

The company has been actively expanding its product portfolio in line with the government's push for indigenous defence manufacturing, securing major contracts for long-range surveillance radars, electronic fuses, and naval combat systems.

It has also made significant strides in developing cutting-edge technologies such as artificial intelligence-based surveillance systems, satellite communication equipment, and avionics for fighter jets.

In recent years, BEL has focused on diversifying its revenue streams by expanding into non-defence sectors, including smart cities, healthcare electronics, and cyber security solutions.

The company delivered robust financial results in Q3FY25. The company's consolidated profit surged 52.5% year-on-year (YoY) to Rs 13.1 bn, up from Rs 8.6 bn in Q3FY24.

BEL has delivered strong financial performance, backed by solid order inflows and operational efficiency. However, its future growth depends on maintaining the order momentum, executing projects efficiently, and expanding into new business segments.

BEL aims to achieve Rs 250 bn in order inflows by the end of FY25. So far, it has secured Rs 110 bn, with multiple large contracts in the final stages of approval.

In the past 1 year, shares of the company have gained 34%.

For more details, check out Bharat Electronics' financial factsheet.

#4 Goodluck India

Fourth is Goodluck India.

Goodluck India Ltd is a diversified engineering company specializing in the manufacturing of precision tubes, forgings, and specialized steel structures for defence, aerospace, and infrastructure applications.

Originally focused on industrial-grade steel products, the company has expanded into high-value defence and aerospace components, supplying critical materials for missile systems, armoured vehicles, and fighter jets.

With India's growing emphasis on domestic defence production, Goodluck India has positioned itself as a key supplier of specialized steel and alloy-based components required for advanced weapon systems.

The company has six manufacturing units located in Sikandrabad, Uttar Pradesh, and Kutch, Gujarat. To further strengthen its presence in defence and aerospace, it has set up a dedicated subsidiary, Goodluck Defence and Aerospace, and is investing Rs 2.2 bn in a new facility to cater to the sector's growing needs.

The company aims to become a billion-dollar enterprise by FY27-FY28 while maintaining a steady 15-20% revenue growth YoY.

In Q3 FY25, Goodluck India's sales increased to Rs 9.4 bn, reflecting a 7.3% YoY growth. Profit After Tax (PAT) came in at Rs 400.8 m, up from Rs 317.5 m in Q3 of the previous year.

As India continues to ramp up investments in indigenous defence and infrastructure projects, Goodluck India is poised for significant expansion, leveraging its expertise in precision engineering and high-strength materials.

In the past 1 year, shares of the company have fallen 29%.

For more details, check out Goodluck India's financial factsheet.

#5 NIBE

Last on the list is Nibe.

Nibe is an emerging player in India's defence and aerospace sector, specializing in precision engineering, composite materials, and advanced manufacturing solutions.

Initially focused on industrial components, the company has rapidly expanded into defence, supplying critical parts for missile systems, drones, and armoured vehicles.

In the defence segment, the company manufactures structures, sub-assemblies, and assemblies of mobile weapon launchers for programs such as BrahMos Missile, MRSAM, and Pinaka rocket launcher.

In the E-motor segment, company through its subsidiary Nibe E-Motor deals in E-bicycle, E-rickshaw, batteries and motors, hybrid PCU, solar induction cooker, water treatment unit.

The company boasts of a strong clientele which includes all three Indian defence forces, L&T defence, Goa Shipyard Ltd, Garden Reach Shipbuilders Ltd, etc.

Coming to the financials, NIBE reported a huge 326.6% growth in revenue in the first quarter Q1FY25 and EBITDA growth came in at 387.6%.

In the most recent third quarter, the company's revenue more than doubled while profit nearly halved.

At present, this under the radar defence company is ticking all the right boxes. It has a heavy order book which provides future revenue visibility.

On top of that, its massive long-term deal with Munition India makes sure that the company is progressing well on the defence front and contributing to the sector's overall growth.

In the past 1 year, shares of the company have remained rangebound.

For more details, check out Nibe's financial factsheet.

Conclusion

India's defence ambitions are soaring, and homegrown companies are taking centre stage.

With a Rs 100 bn ammunition contract recently approved, the focus on indigenous manufacturing has never been stronger.

However, investors should conduct thorough research, do corporate governance checks, consider regulatory risks, policy shifts, and execution challenges before making investment decisions.

Happy Investing.

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