Digilogic Systems is an Indian deep-tech company that builds the test and simulation equipment used to prove that missiles, radars and satellites will work before they ever leave the ground. Founded in 2007 by an Indian Air Force veteran who spent three decades maintaining ground radar, the company has grown by embedding itself inside India’s most sensitive defence programmes - designing custom test systems for DRDO labs, then becoming the nominated supplier when those systems move into production. That recurring pattern - win a design contract, get validated by the government’s quality agency, and become locked in as the sole source for production orders - explains everything about how the business works and why competitors find it hard to dislodge. # Business segments A single engine built on a two-stage model - prototyping opens the door, then production orders flow on a nomination basis - with a new RF subsidiary just seeded to capture the radar and communications portion of the same defence programmes. ## 1. Test, Measurement and Simulation systems: the equipment that proves defence hardware works **Once Digilogic’s test system is designed into a missile or radar programme and validated by the government, the customer must buy that specific part number from Digilogic - turning each design win into a multi-year production annuity.** - **Design-in creates a captive production stream** - the company competes for prototyping contracts against firms like Data Patterns and Zen Technologies, but once its hardware and software are proven and certified by MSQA (the government’s quality assurance agency), it becomes the nominated partner in a Design-cum-Production Program, and the customer’s production manual specifies Digilogic’s part number as the only acceptable source. That is how roughly 70% of revenue comes from production orders and 30% from prototyping. - **Four product lines, one integration skill** - the company builds Automated Test Equipment (ATE) that checks electronic subsystems, RF simulators that mimic radar and electronic-warfare signals, checkout systems that verify a complete missile or aircraft before deployment, and ruggedised systems that can be deployed in the field. Together, ATE, checkout systems and measurement equipment delivered 88% of FY26 revenue. - **Embedded in India’s missile export pipeline** - when Bharat Dynamics Limited exports a missile system to countries like the Philippines, Malaysia or Cambodia, Digilogic’s test and checkout equipment ships as part of the package, so the company earns export revenue without having to find its own overseas customers. - **A four-times-larger factory arriving in 2027** - the current facility can build six systems in six months; the new 65,000 sq ft plant under construction in Hyderabad’s hardware park will lift that to 20-25 systems in the same period, with electronic manufacturing, functional testing and environmental stress screening all under one roof. - **Eighteen years of incumbency as the moat** - the company has delivered over 800 test systems, holds AS9100D aerospace certification, and counts nine DRDO labs plus ISRO, HAL and Bharat Electronics among its customers, making it a “serious partner” in multiple ongoing government programmes that a newcomer would take years to penetrate. # Group structure and partners **A founder-led company with a newly created RF subsidiary, backed by alliances with the world’s largest test-and-measurement brands.** - The founder, J. Madhusudhan Varma, serves as Chairman and Managing Director, while his son J. Shashank Varma - 13 years with the company - is CEO and Whole-time Director; the family holds 64.26% of the shares. - Abhedhya Systems Private Limited was incorporated in May 2026 as an 80%-owned subsidiary to focus exclusively on RF and microwave engineering - designing flightworthy radar and communication sub-systems for missiles, aircraft and unmanned vehicles - with a separate talent pool and compensation structure from the parent’s TMS business. - The company is a regional alliance partner to National Instruments (named Partner of the Year for EMEA in 2018), Tektronix (High Growth Partner and 100% Club award in 2025), and holds relationships with Emerson, Fluke, SPHEREA, Anritsu and others - giving it access to the commercial-off-the-shelf hardware it integrates with its own proprietary software.