1,600 Per Cent Multibagger Returns: Defence Company Reports Highest Ever Revenue and PAT for the Fiscal 2025
The stock gave multibagger returns of 1,070 per cent in just 3 years and a whopping 1,600 per cent in 5 years.
On Friday, shares of Apollo Micro Systems Ltd plunged 7.97 per cent to Rs 138.65 per share from its previous closing of Rs 150.65 per share. The stock’s 52-week high is Rs 157 per share and its 52-week low is Rs 88.10 per share. The shares of the company saw a spurt in volume by more than 1.63 times on the BSE.
Established in 1985, Apollo Micro Systems is at the forefront of creating, constructing, and validating crucial electronics and electromechanical solutions for sectors such as aerospace, defence, and space. The company is renowned for its commitment to research and development, resulting in notable projects such as torpedo-homing systems and underwater mines.
Apollo Micro Systems Limited has reported an exceptional financial performance for FY25, marking it as their strongest year to date. Managing Director, Mr. Baddam Karunakar Reddy, highlighted a significant 51.24 per cent year-on-year revenue growth, reaching Rs 562.07 crore. This impressive growth was mirrored in EBITDA, which surged by 54 per cent to Rs 132 crore, maintaining a healthy margin of 23.50 per cent. Net profit also saw a substantial increase of 81.18 per cent, aligning with the company's annual guidance. Mr. Reddy attributed these robust results to a strong order book, successful execution of strategic defence programs, and the smooth transition of several high-value products into full-scale production, emphasising that annual performance is the most meaningful benchmark for their progress due to the tailored nature of their solutions.
DSIJ offers a service 'PAS' which provides stock recommendations that have the potential to generate excellent returns on your portfolio. If this interests you, download the service details pdf here
Further strengthening its position in India's defence ecosystem, Apollo Micro Systems announced the strategic acquisition of IDL Explosives Ltd., a move that propels them towards becoming a fully integrated Tier-1 defence OEM. This acquisition not only expands their manufacturing capabilities but also broadens their product portfolio across critical areas of the defence supply chain. Looking ahead, the company projects a robust revenue CAGR of 45 per cent to 50 per cent over the next two years, driven by its core business and underpinned by a healthy order book. While operating margins are expected to improve in the first half of FY26, ongoing capital investments are anticipated to moderate margin expansion in the latter half of FY26 and into FY27. Mr. Reddy also noted that recent geopolitical developments have accelerated demand for indigenous defence solutions, with several of their systems successfully tested and demonstrated during this period, reinforcing their commitment to innovation and a self-reliant defence infrastructure for India.
According to Quarterly Results, net sales increased by 9 per cent to Rs 161.77 crore and profit after tax (PAT) decreased by 23 per cent to Rs 13.96 crore in Q4FY25 compared to Q4FY24. In its annual results, the net sales increased by 51 per cent to Rs 562.07 crore and profit after tax (PAT) increased by 81 per cent to Rs 56.36 crore in FY25 compared to FY24S.
The company falls under the BSE Small-Cap Index with a market cap of over Rs 4,200 crore. In March 2025, FIIs bought 6,03,751 shares and increased their stake in AMS to 0.93 per cent from 0.74 per cent in December 2024. The stock gave multibagger returns of 1,070 per cent in just 3 years and a whopping 1,600 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.