Apollo Micro Systems Share Price Dips 3.21%; Reports 110% PAT Growth in Q1 FY26 Results

Apollo Micro Systems Limited (NSE: APOLLO) has announced its standalone and consolidated results for the first quarter ended June 30, 2025 (Q1 FY26), reporting significant growth across revenue, profitability, and margins.

Revenue and Operating Growth in Q1 FY26

The company recorded revenue of ₹1,335.8 million, marking a 46% year-on-year increase from ₹912 million in Q1 FY25. This growth reflects robust demand for its solutions and services across its core markets.

EBITDA, excluding other income, surged 83% year-on-year to ₹409.4 million, compared to ₹223.7 million in the prior-year quarter. EBITDA margin expanded by 600 basis points to 31%, up from 25% in Q1 FY25.

Profitability Surges with Margin Expansion

The company’s profitability witnessed a sharp rise in Q1 FY26, with Profit After Tax (PAT) more than doubling to ₹176.8 million, a 110% year-on-year growth from ₹84.3 million in Q1 FY25. PAT margin expanded by 400 basis points to 13%, compared to 9% a year ago, reflecting improved cost control and higher operating efficiency.

Strategic Acquisition to Strengthen Defence Capabilities

Mr. Baddam Karunakar Reddy, Managing Director of Apollo Micro Systems Limited, announced a key milestone with the acquisition of IDL Explosives Ltd. This move marks a significant step toward Apollo becoming a fully integrated Tier-1 defence Original Equipment Manufacturer (OEM). 

The acquisition is expected to enhance the company’s manufacturing capabilities and broaden its solutions portfolio across critical segments of India’s defence supply chain. Reddy described this achievement as a proud moment that positions Apollo Micro Systems for greater impact, scale, and growth in the defence sector.

Management Commentary

The Managing Director stated, “Looking ahead, we expect revenue to grow at a CAGR of 45% to 50% over the next two years, driven solely by the core business, excluding any contribution from the recent acquisition. This growth is underpinned by a healthy order book and multiple products entering the production phase. Operating margins are projected to improve in the first half of FY26 due to favorable operating leverage and product mix.”

“At Apollo Micro Systems, we are not only setting new performance benchmarks — we are actively shaping the future of a self-reliant, secure, and technologically advanced defence infrastructure for our nation,” stated the Managing Director.

Apollo Micro Systems Share Price Performance

On July 29, 2025, Apollo Micro Systems share price opened at ₹181.45, almost the same as its previous close of ₹181.43. At 9:47 AM, the share price of Apollo Micro Systems was trading at ₹175.61, down by 3.21% on the NSE.

Also Read: Apollo Micro Systems Acquires IDL Explosives to Boost Defence Manufacturing!

Conclusion

Apollo Micro Systems delivered an outstanding performance in Q1 FY26, with revenue growth, significant margin gains, and over 100% profit growth year-on-year. The expansion in both EBITDA and PAT margins signals the company’s effective operational strategies and ability to capture demand in its sectors. With this momentum, Apollo Micro Systems remains well-positioned to sustain growth in the coming quarters.

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