AMS earnings call transcript

Date: 10th August 2026 BSE Limited, National Stock Exchange of India Ltd., Department of Corporate Services Listing Department Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, Mumbai – 400 001 Bandra Kurla Complex, Bandra (E), Mumbai – 400 051 Scrip Code: 540879 Symbol: APOLLO ISIN: INE713T01028 Dear Sirs, Subject: Transcript of the Earnings Conference Call held on 8th August, 2026 under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 Dear Sir/Madam, Pursuant to Regulation 30, read with Part A of Schedule III, and other applicable provisions of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended and further to our intimation dated 4th August, 2026, regarding schedule of the Earnings Conference Call with investors, we wish to inform you that the conference call was held on Saturday 8th August, 2026. Transcript of the above-mentioned Earnings Conference Call is attached herewith and can also be accessed at: https://apollo-micro.com/transcripts-of-post-earnings-conference-calls.html Thanking you, Yours faithfully, For Apollo Micro Systems Limited Karunakar Reddy Baddam Managing Director DIN: 00790139 Apollo Micro Systems Limited Regd Office. Plot No.128/A, Road No.12, IDA-Mallapur, Uppal Mandal, Hyderabad-500076, Telangana, India Tel No:040-27167000-099, Fax No: 040-27150820 Mail: cs@apollo-micro.com, www.apollo-micro.com CIN:L72200TG1997PLC026556 “Apollo Micro Systems Limited Q1 FY27 Earnings Conference Call” August 08, 2026 MANAGEMENT: MR. KARUNAKAR REDDY – MANAGING DIRECTOR – APOLLO MICRO SYSTEMS LIMITED MR. A. KRISHNA SAI KUMAR – WHOLE TIME DIRECTOR - OPERATIONS – APOLLO MICRO SYSTEMS LIMITED MR. SUDARSHAN CHILUVERU – CHIEF FINANCIAL OFFICER – APOLLO MICRO SYSTEMS LIMITED MODERATOR: MR. VIKASH SINGH – ICICI SECURITIES Page 1 of 21 Apollo Micro Systems Limited August 08, 2026 Moderator: Ladies and gentlemen, good day and welcome to Apollo Micro Systems Q1 FY27 Earnings Conference Call hosted by ICICI Securities Limited. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Vikash Singh with ICICI Securities Limited. Thank you, and over to you, sir. Vikash Singh: Thank you. Good evening, everyone. A warm welcome to Q1 FY27 Apollo Micro Systems Results. Thank you for joining on this Saturday. Before we start the call, I just like to give a short disclaimer regarding the forward-looking statements, which are completely based on our belief, opinion, and expectation of the management. These statements should not guarantee as a future performance because it involves many unforeseen risks and uncertainties. From the ICICI Securities, we like to also thank management for giving us the opportunity to host them. From the management side, we have with us Karunakar Reddy, Managing Director; Mr. Krishna Sai Kumar Addepalli, Whole-Time Director - Operations; and Mr. Sudarshan Chiluveru, CFO. Without taking any more time, I'll hand over to the management for their opening remarks. Over to you, sir. A. Krishna Sai Kumar: Thank you so much, ICICI Securities, and also to all our shareholders. Good evening, everyone. Thank you for being with us today. It's always a privilege to engage with our valued investors and provide updates on our performance, strategy, and future outlook. I'm pleased to share that we have closed the best June quarter in our history, delivering highest standalone revenue of INR156 crores, EBITDA other income of around INR48 crores, PAT of INR28 crores, along with highest ever EBITDA and PAT margins of 31% and 18% respectively. These results reflect the strength of our execution, the discipline of our operations, and our continued focus on indigenization and building an Atmanirbhar Bharat. We are encouraged by this momentum and remain firmly focused on delivering sustainable growth and long-term value. I trust you have had the opportunity to review our financial results, shareholder letter, press release, tear sheet, and investor presentation. This marks our first interaction of fiscal year 2027. We begin the year with a milestone that reinforces our commitment to innovation, technology leadership, and shared growth. We have entered into a definitive agreement to acquire 41.33% promoter stake in Premier Explosives Limited for approximately INR1,550 crores through an all-cash transaction, marking a significant step in strengthening our presence across the defence manufacturing ecosystem. Page 2 of 21 Apollo Micro Systems Limited August 08, 2026 With this acquisition, we have a presence across the entire missile and guided weapon value chain. Another significant milestone was the successful handover of our indigenously designed and developed Safety and Detonation Device to the Indian Navy, marking an important step in translating our in-house technology into operational defence capability. With 100% indigenous content, the SDD strengthens our potential across MRO and future weapon and missile programs while offering significant cost savings and reducing import dependence. We are also making meaningful progress in autonomous underwater capabilities. We have received a Make-II prototype sanction order from Indian Navy for the development of SAVIOR Anti-Submarine Warfare system, our semi-submersible autonomous vessel designed for intelligence operations and reconnaissance. The program strengthens our position in autonomous maritime system and opens the door to next-generation capabilities in underwater surveillance, intelligence, and anti-submarine warfare. Finally, we are also encouraged by the Indian Air Force as a prime development agency for IPREC program under the Make-II category of DPP 2020. We see this as a strong recognition of our indigenous design and development capability and an important opportunity to contribute to the advanced precision capabilities for the Indian Air Force. This system is primarily a conversion system of a dumb bomb into a precision range extension as well as a precision, guided bomb. Taken together, these developments demonstrate the growing breadth of our capabilities across the Indian Air Force, Navy, with a strong entry into autonomous technology under Make-II category. As we expand into indigenous product development, autonomous systems, and precision defence technologies, we are building a broader technological portfolio that enables us to serve a larger role in India's journey towards a stronger and more self-reliant defence ecosystem. Before moving to our Q1 FY27 performance, I would like to highlight that in the defence industry, year-on-year performance is a more meaningful measure than quarter-on-quarter performance. Given the long procurement cycles and milestone-based execution of defence contracts, revenue recognition can be uneven across quarters. Therefore, quarterly fluctuations should be viewed in context and may not necessarily reflect the underlying business momentum. At a consolidated level, our topline for Q1 FY27 stood at INR251 crores, registering a strong year-on-year growth of 88% compared to INR134 crores in Q1 FY26. EBITDA, excluding other income, grew significantly by 31% to INR54 crores in Q1 FY27, as against INR41 crores in FY26 first quarter. A similar growth trajectory was reflected in PAT, which increased by 43% to INR25 crores in Q1 FY27 compared to INR18 crores in Q1 FY26. At the standalone level, we delivered 17% Y-o-Y growth in revenue, reaching INR156 crores in Q1 FY27, compared to INR134 crores in Q1 FY26. PAT outpaced topline, increased by 43% to INR28 crores compared with INR19 crores in the same quarter last year. [Showing first 8,000 characters — download PDF for full document]