Now Reading: Apollo Micro Systems Q1 net profit jumps 43%, revenue up 88%
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Apollo Micro Systems Q1 net profit jumps 43%, revenue up 88%
Apollo Micro Systems reported a 43% year-on-year rise in net profit to Rs 25.2 crore for the June quarter of FY27, while revenue from operations surged 88% to Rs 251.3 crore. This…
The Story in Brief
Apollo Micro Systems reported a 43% year-on-year rise in net profit to Rs 25.2 crore for the June quarter of FY27, while revenue from operations surged 88% to Rs 251.3 crore. This was the company's strongest-ever first quarter, driven by robust execution and sustained defence demand. EBITDA rose 18% to Rs 48 crore, but the margin slipped to 21.4% from 30.6% a year earlier. The stock closed at Rs 403 on Friday. Managing Director Baddam Karunakar Reddy said the firm would build on the momentum and sharpen execution.
The Indian Opinion
The defence stock euphoria tends to paper over margin stories. Apollo Micro Systems posted a stellar top line but its EBITDA margin shrank from 30.6% to 21.4% in a year. That is a steep drop for a company claiming its best-ever June quarter. The order book narrative is strong, but profitability is the real test. Watch the next two quarters: if margins stay below 25%, the market's current valuation may be pricing in too much.
Source: livemint.com
This story was synthesised by AI from the source linked above.
