Apollo Micro Systems shares jump 10 percent on strong quarterly results

Apollo Micro Systems shares jumped as much as 10.5 percent in intraday trade on Wednesday, November 11, beating the wider defence index which rose less than 1 percent. The stock climbed to ₹457.65 apiece on the BSE after opening at ₹418.50.

Financial Growth

The company posted record numbers for the second quarter of fiscal year 2027. Consolidated net profit grew 54 percent year on year to ₹46 crore, up from ₹30 crore in the same period last year. Revenue from operations went up by 72 percent to ₹388 crore. Earnings before interest, taxes, depreciation and amortisation rose 88 percent to ₹111 crore, while the EBITDA margin improved to 28.6 percent. The company also touched an all-time high consolidated order book of ₹1,765 crore as of September 30. For the first half of the fiscal year, net profit rose 49.6 percent to ₹71.4 crore and revenue increased 78.2 percent to ₹639.4 crore.

Leadership and Brokerage Views

Managing Director Baddam Karunakar Reddy stated that the strong performance reflects solid execution and focus. He added that the firm aims to build on this momentum, expand capabilities, and support national defence needs. Brokerages remain upbeat about the stock. ICICI Direct set a target price of ₹485, while Angel One recommended adding the stock with a target price of ₹475, noting that first-half revenue growth has already beaten the full-year guidance of 40 to 45 percent.

Context

Defence stocks in India have drawn heavy market interest amid rising domestic manufacturing push and higher government spending on military equipment. Companies supplying electronic systems and components often see rapid order book growth during such defence sector upswings.