APL Apollo Tubes Ltd (Steel - Tubes/Pipes) — fundamental analysis, earnings data, and key metrics. PE: 51.2. ROE: 19.0%. This stock is not currently in the Nifty 500 momentum outperformers list.
Based on Q3 FY26 earnings • Updated Apr 18, 2026
What: Monthly Volume: 375,000 tons
Impact: INR 300-400 reduction in fixed cost
“Because our fixed cost whether we were making 2.6 lakh tons per month or 3.7 lakh tons per month, our cost is the same.”
What: EBITDA per ton: INR 6,000 (Raipur/Dubai)
Impact: INR 200 per ton GP expansion
“Raipur plant and Dubai plant they both performed pretty well... and these two plants carry EBITDA per ton of INR6,000.”
What: New Plants: 4 Greenfield projects
Impact: 2 million ton capacity
“So Gorakhpur and Siliguri will cater to all the new virgin market for APL Apollo. Then Bhuj, Bhuj is for export market.”
What: Surplus Cash: INR 5.6 Billion
Impact: Interest rate to almost zero
“From quarter 1 FY '27 onwards, this interest rate will drastically reduce to almost zero levels.”
What: Market Share %: Above 60%
“So, Kumar, 65% market share we've been maintaining for almost 4 years now after COVID.”
What: EBITDA per ton above INR 5,000
“And the 9-month EBITDA per ton is above INR5,000, surpassing our own guidance given on the quarter 1 earnings call.”
What: INR 4,800 to INR 5,000 → INR 5,500
“It's a big jump in our guidance, which we gave from INR4,800 to INR5,000 to INR5,500 per ton.”
Earnings deceleration risks from management commentary
Trigger: Steel prices came down in Q2 versus Q1, leading to some inventory loss.
Management view: 100% pass-through model where NSR is linked to steel prices; inventory management to reduce days to 20.
Monitor: commodity
Trigger: Government proposed a 12% safeguard duty which increases raw material costs.
Impact: PAT impact: Zero
Management view: Raw material price increases are fully passed on to customers.
Monitor: regulatory
Trigger: Changes in U.S. trade policy regarding tariffs.
Impact: PAT impact: Zero
Management view: International sales to the U.S. take place from the Dubai plant, not India.
Monitor: geopolitical
Key quotes from recent conference calls
“Now first half into financial year of '26, we are fairly confident that we will be able to meet our guidance... which was 10% to 15% volume growth. [Previous Volume Growth guidance]”
“EBITDA spread of INR4,600 to INR5,000 per ton. Second half normally is always better compared to H1. [Previous EBITDA Spread guidance]”
“SG brand is at the lower selling price point... that way, we have captured the market heavily. [Initiative: SG Brand Launch]”
“And very interestingly, we identified a 1 million ton expansion through debottlenecking, wherein we identified existing mills that could be replaced with much faster, modernized mills. [Initiative: Debottlenecking Expansion]”
Headline numbers from the latest earnings call
EBITDA
INR 450 Cr
Why: Driven by brand premiumization, operating leverage from 850,000 ton quarterly volume, and improved value-added mix from Raipur and Dubai.
Management is targeting a run-rate of INR 450 Cr per quarter for the second half of the fiscal year.
Other Highlights
• Quarterly sales volume surpassed 850,000 tons.
• EBITDA spread exceeded INR 5,000 per ton in Q2.
• Working capital days reached 0 as of September 2025.
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Overall Capacity Utilization
90%
Why: Achieved record monthly sales of 375,000 tons in December 2025.
EBITDA Spread per Ton
INR 5,200
Why: Brand premiumization and operating leverage from higher volumes.
Dubai Plant Utilization
80%
Why: Ramping up operations and strong demand in international markets.
Raipur Plant Utilization
70%
Why: Stabilization of the plant and increased sales of value-added products.
Working Capital Cycle
0 days
Why: Efficient inventory and accounts receivable management.
Return on Capital Employed
33%
Why: Boosted by zero working capital days and better EBITDA spreads.
Target Inventory Days
20 days
Why: Management initiative to rationalize inventory and improve cash flow.
APL Apollo Brand Premium
INR 3,000 - 4,000
Why: Market acceptance of brand equity and stabilization of pricing.
2030 Capacity Vision
10 million tons
Why: Strategic roadmap to reach 8 million tons by FY28 and 10 million by 2030.
Surplus Cash on Balance Sheet
INR 560 Cr
Why: Strong operational cash flow conversion from EBITDA.
Forward-looking targets from management for FY27
OPM Guidance
5500–5500%
Capex Plan
₹1500 Cr
RAISED
INR 1,500 Cr
Expansion from 5 million to 8 million tons via 4 greenfield projects and debottlenecking.
RAISED
Guidance Changes
EBITDA per ton: INR 4,800 to INR 5,000 → INR 5,500
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 18, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
APL Apollo Tubes Ltd's latest quarterly results (Dec 2025) show
APL Apollo Tubes Ltd's current PE ratio is 51.2x.
APL Apollo Tubes Ltd's price-to-book ratio is 12.7x.
APL Apollo Tubes Ltd's fundamental strength based on key financial ratios
APL Apollo Tubes Ltd has a debt-to-equity ratio of N/A.
APL Apollo Tubes Ltd's return ratios over recent years
APL Apollo Tubes Ltd's operating cash flow is positive (FY2025).
APL Apollo Tubes Ltd's current dividend yield is 0.27%.
APL Apollo Tubes Ltd's shareholding pattern (Mar 2026)
APL Apollo Tubes Ltd's promoter holding has decreased recently.
APL Apollo Tubes Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.
APL Apollo Tubes Ltd has 7 key growth catalysts identified from recent earnings analysis
APL Apollo Tubes Ltd has 3 key risks worth monitoring
In Q3 FY26, APL Apollo Tubes Ltd's management highlighted
APL Apollo Tubes Ltd's management has provided the following forward guidance for FY27
APL Apollo Tubes Ltd's most important sub-sector-specific KPIs from the latest concall
Based on quantitative research signals, here is why APL Apollo Tubes Ltd may be worth studying
APL Apollo Tubes Ltd investment thesis summary:
APL Apollo Tubes Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
