Apollo Micro Sys Q2 FY27 Results (NSE: APOLLO)
Signal: Margin expansion
The read
Q2FY27 marks a margin inflection after the 21.4% consolidated EBITDA margin in Q1FY27: revenue accelerated 72.3% YoY to ₹388.1 crore, EBITDA grew 87.8% to ₹111.2 crore and margin expanded 230bps YoY to 28.6%. EBITDA growth exceeded revenue growth by 15.5 percentage points, while finance cost grew only 15.9% and depreciation 61.7%, both slower than revenue; however, tax of ₹46.3 crore and EPS growth lagging PAT remain quality checks.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹388.1 Cr | 72.3% | 54.5% |
| Net profit | ₹46.2 Cr | 53.7% | |
| EPS | ₹1.3 | N/A | |
| EBIT margin | 28.6% |
P&L walk
Consolidated revenue increased 72.3% YoY to ₹388.1 crore and EBITDA grew faster at 87.8% to ₹111.2 crore, lifting EBITDA margin to 28.6%; finance cost rose 15.9% and depreciation 61.7%, while tax of ₹46.3 crore limited PAT growth to 53.7% at ₹46.2 crore.
Segments
No segment table is disclosed; standalone PAT of ₹47.7 crore exceeded consolidated PAT of ₹46.2 crore, indicating that group-level items outside the parent reduced reported consolidated profit by ₹1.5 crore.
Key positives
- Consolidated revenue rose 72.3% YoY to ₹388.1 crore and 54.5% QoQ, the highest-ever Q2 revenue according to the filing.
- EBITDA grew 87.8% YoY to ₹111.2 crore versus revenue growth of 72.3%, a 15.5 percentage-point growth gap, while EBITDA margin expanded 230bps YoY to 28.6%.
- Finance cost grew 15.9% YoY to ₹14.6 crore and depreciation grew 61.7% to ₹7.6 crore, both slower than revenue growth, supporting fixed-cost absorption in the quarter.
- Consolidated order book reached an all-time high of ₹1,765 crore as of 30 September 2026.
- Standalone EBITDA reached ₹107.6 crore, up from ₹59.2 crore YoY, with a reported record 35% EBITDA margin.
Key concerns
- Tax rose to ₹46.3 crore from ₹13.1 crore YoY, causing PAT growth of 53.7% to trail PBT growth of 114.3%.
- Consolidated EBITDA margin remains below the 31% reported in Q1FY27 despite recovering to 28.6% from 21.4% QoQ.
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