Apollo Micro Systems Share Price Surges 14% After Q2 Earnings; EBITDA Jumps 88%, Order Book at Record High

Shares of Apollo Micro Systems Ltd jumped 14% on Monday, October 26, as investors reacted to the defence and aerospace technology company's strong September-quarter earnings, marked by robust revenue growth, higher operating profits and a record order book.

Apollo Micro Systems Share Price Today After Q2 Results Announcement

The defence stock touched an intraday high of Rs 432 on the NSE before trading at Rs 421.10 at 1:08 pm, compared with its opening price of Rs 390.

The Hyderabad-based company reported a 72.2% year-on-year increase in revenue from operations for the July-September quarter, while net profit climbed 55.6%. Operating performance was even stronger, with EBITDA growing faster than revenue and margins improving.

Apollo Micro Systems also reported an all-time high order book of Rs 1,765 crore, providing visibility into its potential future business. However, the pace of order execution and the sustainability of margins will remain important factors for investors.

Apollo Micro Systems Q2 Results: Revenue Jumps 72%, Net Profit Rises 56%

Apollo Micro Systems reported revenue from operations of around Rs 388 crore in the September quarter, compared with Rs 225.3 crore in the corresponding period last year. The increase of approximately 72.2% year-on-year made it the company's strongest September-quarter revenue performance, according to its announcement.

Net profit rose 55.6% to Rs 48.4 crore from Rs 31 crore a year earlier. The increase points to a substantial improvement in earnings alongside the expansion in sales.

Operating profitability also strengthened. Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 87.6% year-on-year to Rs 111 crore, compared with Rs 59.2 crore in the year-ago quarter. Since EBITDA growth outpaced revenue growth, the results indicate improved operating leverage during the period.

EBITDA margin expanded to 28.6% from 26.3% a year earlier. This means the company generated a larger share of operating earnings from each rupee of revenue. Maintaining that improvement will depend on project execution, business mix and cost management in subsequent quarters.

The company also reported other income of Rs 3.5 crore and separately highlighted profit after tax of approximately Rs 46 crore as its highest-ever second-quarter figure. As the reported profit figures differ across the available disclosures, investors should refer to the detailed financial statements for the final comparable numbers.

Apollo Micro Systems reported revenue of Rs 639.44 crore for the first half of FY27. EBITDA stood at Rs 164.91 crore, while profit after tax came in at Rs 71.37 crore.

The company said first-half revenue increased 78.2% year-on-year, EBITDA grew 64.7% and profit after tax rose 49.6%. The figures point to continued business expansion during the six months ended September.

However, revenue growth and profit growth need to be viewed together. While a larger revenue base can support future earnings, profitability also depends on operating expenses, project-level margins and the timing of deliveries. The company's ability to translate sales growth into consistent earnings will therefore remain a key consideration.

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