Apollo Micro Systems Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Apollo Micro Systems Ltd filed with BSE on 21 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Apollo Micro Systems reported its highest ever quarterly and annual revenue for Q4 and FY26, with consolidated FY26 revenue of INR904 crores, up 61% year-on-year, and PAT of INR107 crores, up 91%. Management described margin expansion, a growing order book of INR1,432 crores, and progress on the IDL Explosives acquisition, greenfield expansion in Telangana, and new defense licenses. Executives also discussed ongoing product development in missiles, mines, RF seekers, and inertial navigation systems, and addressed questions on order inflows, promoter pledge, and organic growth versus prior guidance.
Numbers mentioned
Revenue: INR904 crores (FY26)
p. 4
“At consolidated level, our top-line of FY26 stood at INR904 crores, registering a strong year-on-year growth of 61%, compared to INR562 crores in FY25.”
A. Krishna Sai Kumar, page 4 of the filed PDF · View the filing
EBITDA: INR218 crores (FY26)
p. 5
“EBITDA excluding other income grew significantly by 69% to INR218 crores in FY26 as against INR129 crores in FY25.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
PAT: INR107 crores (FY26)
p. 5
“A similar growth trajectory was witnessed in PAT, which outpaced revenue growth and increased by 91% to INR107 crores in FY26, compared to INR56 crores in FY25.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
ROCE: 18.23% (FY26)
p. 5
“During the year, ROCE and ROE stood at 18.23% and 11.21%, respectively.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
EBITDA margin: 24% (FY26)
p. 5
“EBITDA margin expanded by 114 basis points to 24% in FY26, while PAT margin expanded by 185 basis points to 12% in FY26.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
R&D expenditure: INR72 crores, 8% of revenue (FY26)
p. 5
“We made the highest investment in R&D within the industry during FY26 with R&D expenditure amounting to 8% of revenue, which is around INR72 crores in absolute terms.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
Q4 Revenue: INR293 crores (Q4 FY26)
p. 5
“Revenue surged by 81% year-on-year basis to INR293 crores, compared to INR162 crores in Q4 FY25, driven by robust execution of our order book and the successful transition of multiple products in production phase.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
Q4 EBITDA: INR68 crores (Q4 FY26)
p. 5
“EBITDA also witnessed strong growth increasing by 88% to INR68 crores in FY26 Q4 and the PAT recorded an exceptional growth of 164% year-on-year, rising to INR37 crores as against INR14 crores in the corresponding quarter of the previous year.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
Order book: INR1,432 crores (as of 31 March 2026)
p. 5
“Our order book as of 31st March stood at INR1,432 crores on a consolidated basis providing strong visibility for future growth.”
A. Krishna Sai Kumar, page 5 of the filed PDF · View the filing
Standalone PAT margin: 16% (FY26)
p. 4
“We close the year with the full year PAT margin of 16%.”
A. Krishna Sai Kumar, page 4 of the filed PDF · View the filing
IDL Explosives revenue: little less than INR380 crores (FY26)
p. 9
“IDL last year performance stood at around INR380 crores, little less than INR380 crores.”
A. Krishna Sai Kumar, page 9 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Order book growth — this financial year
stated firmly by A. Krishna Sai Kumar
p. 7
“The order book size will increase significantly as we have been telling, and that something, which is going to happen in this financial year.”
A. Krishna Sai Kumar, page 7 of the filed PDF · View the filing
Revenue growth rate — FY27 and subsequent year
stated firmly by A. Krishna Sai Kumar
p. 7
“We will continue to grow at a similar rate, in this particular financial year and the subsequent financial year backed by the size of the order book that we are going to have.”
A. Krishna Sai Kumar, page 7 of the filed PDF · View the filing
IDL Explosives revenue guidance — Q3 onwards
stated firmly by A. Krishna Sai Kumar
p. 9
“I think we will be quite vocal about IDL’s revenue guidance and other things from Q3 onwards.”
A. Krishna Sai Kumar, page 9 of the filed PDF · View the filing
Promoter pledge — zero · this financial year
stated firmly by A. Krishna Sai Kumar
p. 11
“in the upcoming financial year, we are going to come out of this and we stand by that actually, which is this financial year.”
A. Krishna Sai Kumar, page 11 of the filed PDF · View the filing
Acquisition completion — before end of this financial year
stated firmly by A. Krishna Sai Kumar
p. 3
“an additional acquisition by our subsidiary Apollo Defence Industries Private Limited is expected to be completed before end of this financial year, which will significantly complement our organic growth and overall strengthen our business.”
A. Krishna Sai Kumar, page 3 of the filed PDF · View the filing
Mine variants market size — INR4,000 crores to INR4,500 odd crores · immediate market
stated as an aspiration by A. Krishna Sai Kumar
p. 12
“All these -- only these variants of mine alone would be a cumulative, you know, a market, you know, in very immediate market size of something like INR4,000 crores to INR4,500 odd crores, you know, that that we are expecting”
A. Krishna Sai Kumar, page 12 of the filed PDF · View the filing
Growth pace — years coming ahead including this financial year
stated firmly by A. Krishna Sai Kumar
p. 13
“That's something which I have already told in my speech itself that, you know, we will continue to grow at the same pace or an accelerated pace in the years coming ahead and including this financial year.”
A. Krishna Sai Kumar, page 13 of the filed PDF · View the filing
DAC approval for Navy order — any moment
stated conditionally by A. Krishna Sai Kumar
p. 16
“So, we are expecting the DAC approval any moment. As and when we receive, we'll definitely keep you posted, but this is something which is going to happen very shortly.”
A. Krishna Sai Kumar, page 16 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said large ticket projects are expected to materialize this financial year, increasing the order book size, and growth would continue at a similar rate.
Answered by A. Krishna Sai Kumar
Asked by Amit Dixit: What order inflows are expected in FY27 and FY28 given the current order book?
p. 7
“So primarily, we are expecting a large ticket projects, which we have been quite vocal about for last one year.”
A. Krishna Sai Kumar, page 7 of the filed PDF · View the filing
Phase one civil work is complete, phase two is ongoing, and machinery installation is in progress.
Answered by A. Krishna Sai Kumar
Asked by Gaurav Shah: What is the status of Unit 3 construction?
p. 8
“So, Unit 3 civil work is already complete for phase one. So, phase two civil work is still taking place.”
A. Krishna Sai Kumar, page 8 of the filed PDF · View the filing
IDL was loss-making previously but is undergoing transformation with reduced operational losses; specific guidance will come from Q3.
Answered by A. Krishna Sai Kumar
Asked by Darshil Jhaveri: What is the revenue expectation and profitability status for IDL Explosives?
p. 10
“For last few years, IDL was loss making, but there's the huge transformation as I already told you that we have started by taking up the initiatives, and the operational loss, we have reduced significantly at both EBITDA levels and at different levels of the balance sheet.”
A. Krishna Sai Kumar, page 10 of the filed PDF · View the filing
Management confirmed they are pursuing ammunition and artillery orders, supported by their explosives subsidiary.
Answered by A. Krishna Sai Kumar
Asked by Ronak Singhvi: Is Apollo pursuing ammunition and artillery export opportunities given rising European demand?
p. 10
“Yes, yes. We will be going heavily on ammo’s and artillery side. We have already started getting orders to that extent.”
A. Krishna Sai Kumar, page 10 of the filed PDF · View the filing
Management could not give an immediate roadmap but reiterated commitment to resolve pledge this financial year.
Answered by A. Krishna Sai Kumar
Asked by Prateek Bagadia: What is the status of promoter pledge reduction previously targeted for FY2026?
p. 11
“Immediately roadmap I cannot tell but in the last, you know, call, you know, we said that, you know, in the upcoming financial year, we are going to come out of this and we stand by that actually, which is this financial year.”
A. Krishna Sai Kumar, page 11 of the filed PDF · View the filing
Management said current licenses cover industrial explosive requirements and larger defense-related expansion DPRs are being prepared.
Answered by A. Krishna Sai Kumar
Asked by Ayush Agarwal: Why is the TNT/HMX expansion smaller in scale and what capex is planned?
p. 11
“So Ayush, primarily the TNT and HMX licenses which we have obtained are the -- our industrial explosive requirements actually, okay. The capacities are not limited to that.”
A. Krishna Sai Kumar, page 11 of the filed PDF · View the filing
Management said there is nothing significant currently affecting operations, though timing of revenue recognition could shift by a quarter during global events.
Answered by A. Krishna Sai Kumar
Asked by Kavish Parekh: Is there any supply chain disruption affecting critical components or production timelines?
p. 14
“But broadly per se if you have to ask me is as of now there's nothing very significant, you know, that I could see. Everything is normal.”
A. Krishna Sai Kumar, page 14 of the filed PDF · View the filing
Management attributed the shortfall to pending customer approvals delaying execution of certain projects, and reaffirmed intent to maintain momentum.
Answered by A. Krishna Sai Kumar
Asked by Ankush Agarwal: Why did standalone organic revenue growth of 36% fall short of the earlier 45-50% guidance?
p. 17
“Certain projects which we expected to be, you know, executed in the last quarter of, you know, previous financial year, that couldn't happen because of the certain approvals, you know, which got pending actually from our customer, okay, which was still lying.”
A. Krishna Sai Kumar, page 17 of the filed PDF · View the filing
Management said margins will dilute consolidated numbers near-term due to IDL's negative EBITDA but expects improvement, and said penetration into defense explosives should not be challenging given existing ecosystem presence.
Answered by A. Krishna Sai Kumar
Asked by Rahil Dasani: What margins are possible in TNT and HMX, and how easy is penetration into defense explosive customers?
p. 18
“I will tell you see the on an averaging when it goes for a console then definitely there will be a dent owing to the, you know, presently negative EBITDA of IDL.”
A. Krishna Sai Kumar, page 18 of the filed PDF · View the filing
Risks flagged
Pending customer approvals delayed execution of certain projects, causing standalone growth to miss prior guidance
p. 17
“Certain projects which we expected to be, you know, executed in the last quarter of, you know, previous financial year, that couldn't happen because of the certain approvals, you know, which got pending actually from our customer, okay, which was still lying.”
A. Krishna Sai Kumar, page 17 of the filed PDF · View the filing
IDL Explosives has been loss-making and consolidated margins are diluted by its negative EBITDA
p. 10
“For last few years, IDL was loss making, but there's the huge transformation as I already told you that we have started by taking up the initiatives, and the operational loss, we have reduced significantly at both EBITDA levels and at different levels of the balance sheet.”
A. Krishna Sai Kumar, page 10 of the filed PDF · View the filing
Global geopolitical conflicts could cause timing shifts in revenue recognition
p. 14
“But there could be always a timing issue because of the various, you know, operational conditions which are running across the globe.”
A. Krishna Sai Kumar, page 14 of the filed PDF · View the filing
Acquisition timeline delayed due to global conflicts and internal processes
p. 17
“So that had got little delayed, you know, owing to the global conflicts and, you know, the various processes internally that, you know, we were contemplating couldn't happen.”
A. Krishna Sai Kumar, page 17 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.