Apollo Micro Systems shares surged another 5% to hit a fresh 52-week high of ₹433.80 on NSE during morning trading hours on Wednesday, according to reports from The Economic Times. The defence player has delivered stellar returns with nearly 40% gains in just seven trading sessions following the release of its Q4 FY2026 results. The multibagger stock has demonstrated exceptional performance across multiple timeframes, surging over 44% in one month and 178% in one year, while gaining over 57% so far in 2026. This latest surge brings the stock to its highest-ever trading level, reflecting strong investor confidence in the company's growth trajectory. The stock has been part of a broader rally in defence stocks, with MTAR Tech shares delivering a whopping 225% return so far in 2026 and 372% in one year.
For the financial year ended March 31, 2026, Apollo Micro Systems reported a remarkable 90% year-on-year surge in net profit to ₹107.4 crore, as reported by The Economic Times. The company's revenue from operations jumped 61% to ₹940.3 crore during the same period. Managing Director Baddam Karunakar Reddy described FY26 as a 'breakthrough year' for the company, driven by record revenue and profitability. The company achieved its highest-ever quarterly and annual EBITDA during the year, while delivering record profit after tax on both quarterly and yearly basis, and achieving an all-time high order book. The company also surpassed its annual PAT margin guidance during the year, demonstrating strong operational efficiency.
According to reports from The Economic Times, the company's breakthrough year was supported by several strategic developments. These included the successful acquisition of IDL Explosives through ADIPL, the receipt of a DPIIT licence for UAV manufacturing, and the company securing its first export order. Reddy indicated that another acquisition through ADIPL is likely to be completed before the end of the next financial year, which could further enhance the company's capabilities and future growth prospects. The company also surpassed its annual PAT margin guidance during the year, demonstrating strong operational efficiency. Additionally, the company has secured a licence to manufacture arms of calibre above 12.7 mm, significantly expanding its future order opportunity pipeline and strengthening long-term revenue visibility.
Looking ahead, Apollo Micro Systems has two major orders, MIGM worth around ₹2,000 crore and QRSAM, remain key monitorables going forward, as highlighted by The Economic Times. HDFC Securities has factored in these growth drivers and now expects a 62% PAT CAGR over FY26-FY28, sharply higher than its earlier estimate of 48% for the same period. After the sharp rally, Apollo Micro Systems shares are trading with a P/E ratio of more than 137x, while the company currently has a market capitalisation of nearly ₹15,500 crore. The strong performance reflects the company's successful execution of its strategic initiatives and positions it well for continued growth in the defence sector.
