Sector: Steel & Infrastructure
5-Year Return: 1,235%
Current Market Price (CMP): ₹1,655
Quarterly Revenue (Mar 2025): ₹5,544 Cr
Quarterly Net Profit (Mar 2025): ₹293 Cr
Net Profit Growth YoY: 72%
Operating Profit Margin: 7.51%
APL Apollo Tubes Ltd., a key player in the Indian steel and infrastructure sector, continues to showcase impressive growth, with its latest quarterly results indicating strong financial performance and operational efficiency.
Quarterly Financial Performance:
- Revenue: ₹5,544 Cr (15.9% growth YoY)
- Operating Profit: ₹413.7 Cr (Operating Profit Margin: 7.51%)
- Net Profit: ₹293.1 Cr (72% YoY growth)
Key Highlights:
- Impressive Growth: APL Apollo’s revenue growth of 15.9% YoY and a substantial 72% increase in net profit for the quarter ending March 2025 showcases the company’s operational efficiency and strong demand in the infrastructure sector.
- Sustainable Margins: The company has managed to maintain a healthy operating profit margin of 7.51% despite fluctuating raw material costs and operating expenses. This demonstrates the resilience of APL Apollo’s business model.
- Healthy Bottom Line: With net profits consistently improving, the company’s ability to convert revenue into profit has strengthened. The growth in profit for Q4 FY25 is significantly higher compared to previous quarters.
- Strong Track Record: Over the last 13 quarters, APL Apollo Tubes has exhibited solid and consistent performance, with a compound growth rate in both revenue and profit, making it a strong contender in the infrastructure sector.
- Strong Earnings per Share (EPS): The adjusted EPS for Q4 FY25 stands at ₹10.6, reflecting strong profitability. The TTM (Trailing Twelve Months) EPS is ₹27.3, indicating a significant growth trend compared to previous periods.
Outlook for APL Apollo Tubes:
Given its strong financial fundamentals and growth trajectory, APL Apollo Tubes is well-positioned to continue its upward momentum. The company’s ability to maintain profitability while expanding its operations and market share makes it an attractive pick for investors looking for long-term multibagger potential in the Indian infrastructure and steel sectors.
Conclusion:
With a robust growth outlook, APL Apollo Tubes has emerged as one of the standout multibagger stocks of 2025. The combination of solid quarterly performance, increased profitability, and strategic positioning in the steel and infrastructure sector makes it a strong candidate for investors looking for solid returns over the coming years.