Defence Stock Hits 5% Upper Circuit After Mukul Agrawal Acquires Fresh 1.21% Stake
This Aerospace & Defence Stock, engaged in precision engineering and manufacturing of high-quality components for the aerospace, defence, and healthcare industries, using advanced machining technology to meet customer requirements and industry standards, hit a 5 percent upper circuit after ace investor Mukul Mahavir Agrawal acquired a fresh 1.21 percent stake in the company.
With a market capitalization of Rs. 755.29 crores, the shares of Apsis Aerocom Limited hit a 5 percent upper circuit of Rs. 626.70 per share on Monday, up from its previous closing price of Rs. 596.90 per share.
Reason Behind the Surge
In the September quarter of 2026, Ace Investor Mukul Mahavir Agrawal bought a fresh stake in the company by acquiring approximately 1,46,400 equity shares, equivalent to a 1.21 percent stake in Apsis Aerocom Limited. The current holding value of his investment amounts to Rs. 9.17 crore. The presence of such a famous ace investor highlights strong confidence and growth potential in Apsis Aerocom Limited’s business.
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In September 2026, Apsis Aerocom Limited had a majority stake held by the promoters at 73.02 percent, foreign institutional investors at 0.39 percent, domestic institutional investors at 2.73 percent, and the public at 23.87 percent.
Revenue Guidance
The company has set a revenue target of approximately Rs. 48 crore for FY27, compared with Rs. 30.65 crore in FY26. This represents expected growth of around 56.6 percent, showing management’s confidence in the company’s future business performance. The existing Unit 1 facility is expected to contribute around Rs. 30 crore in revenue, as it is already operating at full utilisation.
The new Unit 2 facility is expected to contribute approximately Rs. 18 crore in FY27. Since the facility will operate for only part of the year and at less than 50 percent utilisation, its contribution is expected to increase in the coming years. By FY28, management expects Unit 2 to generate around Rs. 60 crore in additional revenue once it becomes fully operational.
Over the long term, the company aims to achieve annual revenue of Rs. 500 crore by around FY31. This target will depend on expanding production capacity, increasing utilisation, and successfully growing its business over the next five years.
Order Details and Pipeline
Apsis Aerocom Limited has reported an order book of more than Rs. 40 crore, along with an additional order pipeline exceeding Rs. 100 crore for FY27. Management expects to convert around 30 percent of this pipeline into confirmed orders. This provides the company with opportunities to increase its future revenue, improve business visibility, and support growth in the coming financial year, subject to successful order conversion and execution.
Capacity Expansion and Future Growth Potential
Apsis Aerocom Limited is expanding its manufacturing capacity by setting up a new precision-machining facility, Unit 2, at the Hitech Aerospace and Defence Park in Devanahalli, Bengaluru. Partial operations were expected to begin around July-August 2026, with full operations planned during FY28. The company has received eight machines and started installation, with plans to install around 25 machines during the current year. Once fully operational, the facility is expected to have approximately 35 advanced machines.
Unit 2 is nearly twice the size of Unit 1 and has the potential to generate around Rs. 60 crore in revenue at full capacity. The company is also planning a future Unit 3 on available land for mechanical assemblies and other value-added activities. This expansion could generate more than Rs. 70 crore in business, although the investment amount and timeline are yet to be finalised.
EBITDA Guidance and Margin Outlook
Apsis Aerocom Limited’s management expects to maintain an EBITDA margin of around 37-40 percent in the long term. The company believes that the additional fixed costs of the new facility will become more manageable as production increases and revenue grows.
Over the next three years, management expects to maintain its existing profit margins. However, currency fluctuations and geopolitical developments may affect the company’s performance during FY30 and FY31.
Key Developments and Future Outlook
Apsis Aerocom Limited developed more than 250 new components across aerospace, defence and healthcare during FY26. Many of these components have been validated and are ready for large-scale production, creating opportunities for revenue growth in FY27.
The company has also developed more than 15 new aerospace components, which are expected to support future growth in this segment. Additionally, a new or upgraded healthcare system is expected to enter production, potentially increasing the healthcare segment’s contribution to the company’s overall revenue.
Company Overview
Apsis Aerocom Limited is an Indian company operating in the aerospace and engineering sector. The company focuses on manufacturing and supplying precision-engineered components and related products for industrial applications. It operates manufacturing facilities in Bengaluru, Karnataka, and uses advanced CNC machining technology to produce high-precision components.
Recent Quarter Results
Looking at the company's financial highlights, Apsis Aerocom Limited's revenue has increased from Rs. 9.52 crore in H2 FY25 to Rs. 16.99 crore in H2 FY26, which has grown by 78.47 percent. The net profit has also grown by 41.81 percent from Rs. 2.99 crore in H2 FY25 to Rs. 4.24 crore in H2 FY26.
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Apsis Aerocom Limited’s revenue and net profit have grown at a CAGR of 44 percent and 94 percent, respectively, over the last three years.
In terms of return ratios, the company's ROCE and ROE stand at 32 percent and 25.5 percent, respectively. Apsis Aerocom Limited has an earnings per share (EPS) of Rs. 6.23, and its debt-to-equity ratio is 0.09x.