Apollo Techno Industries Limited

Industrials — Farm & Heavy Construction Machinery · BSE

₹90.51−₹1.00 (−1.09%)

DalalBaazaar Score

74 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, falling profits.

In simple words: Strong business and financial position, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:55 pm

Understanding the Business

Company site ↗

The 60-second version of Apollo Techno Industries Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Apollo Techno Industries Limited engages in the engineering and manufacturing of trenchless technology and foundation equipment for the construction industry in India and internationally.

IndustryFarm & Heavy Construction Machinery

SectorIndustrials

Employees183

Annual revenue₹110 Cr

How does it make money?

Turns over ₹110 Cr a year. Of every ₹100 of sales, about ₹10 reaches shareholders as profit, with ₹15 left at the operating level before interest, tax and depreciation. Each of its 183 employees supports ₹60.2 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹60.2 lakh

Who are its competitors?

The closest listed comparisons in its industry are MAHINDRA & MAHINDRA LTD, ASHOK LEYLAND LTD, TATA MOTORS LIMITED, LARSEN & TOUBRO LTD.. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 18.1% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE24.4%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +54% while net margin moved +702% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+54%

Margin effect+702%

DalalBaazaar Score

74/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

81/ 100

Excellent

How good the business is, ignoring the share price entirely.

Valuation

75/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

8.9x

1.0Y Median

9.7x

12 monthly readings · mean 9.9x · range 8.1x–15.1x

Sector Median

27.6x

median of 4 sector peers

🟡Currently trading close to its 1.0y median of 9.7x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 68% below the peer median of 27.6x.

vs. its own history

Fair

9.7x median over 12 months · -8%

vs. sector peers

Cheap

27.6x median of 4 peers · -68%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

9.0x

PEG

0.07

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 5.1% to 14.7% over 3 years.
Debt is being paid down
Total debt is down 42% over 3 years.
Return on equity is rising
ROE has improved from 10.9% to 14.1%.
Return on capital is rising
ROCE has improved from 6.6% to 18.1%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Receivables growing faster than salesFinancial
Receivables up 134% against revenue up 54% — sales are being booked faster than they are collected.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹32 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 18.1% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from 5.1% to 14.7%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 42% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Cheaper than its peers
It trades 68% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 134% against revenue up 54%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 12% a year✓ 15.4% CAGR
Latest reported year was 24.2%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 13%✓ 14.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹32 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.6x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 15%✓ 18.1%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 11 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✗ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 3 neutral · 2 weak

Market Cap

₹124 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

8.9x

Cheap

Cheap against the generic band

P/B Ratio

1.58x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹10.22

Profitable

Profitable on a per-share basis

ROE

21.3%

Strong

Strong capital efficiency

ROCE

18.1%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.33x

Low

Conservative leverage

Revenue Growth (YoY)

24.2%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-30.1%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹36 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

8.8%

Good

Assets are working hard

Operating Margin

11.9%

Average

Average margins

Net Margin

10.0%

Good

Strong bottom-line conversion

Current Ratio

3.00

Comfortable

Healthy short-term liquidity

52W Range Position

17%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

90.1 / 99.2

Bearish alignment (short < long)

RSI (14)

55.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹72 Cr	₹69 Cr	₹99 Cr	₹110 Cr	+15.4%
EBITDA	₹4 Cr	₹8 Cr	₹18 Cr	₹16 Cr	+64.2%
EBITDA Margin	5.1%	11.8%	18.5%	14.7%	—
PAT (Net Profit)	₹1 Cr	₹3 Cr	₹14 Cr	₹11 Cr	+131.0%
EPS	₹0.65	₹2.36	₹10.03	—	—
ROE	10.9%	27.9%	54.4%	14.1%	—
ROCE	6.6%	20.5%	50.9%	18.1%	—
Total Debt	₹44 Cr	₹43 Cr	₹32 Cr	₹26 Cr	-16.5%
Free Cash Flow	-₹2 Cr	₹2 Cr	₹15 Cr	-₹32 Cr	—

🟢 Revenue has grown at 15.4% a year over 3 years.

🟢 EBITDA has grown at 64.2% a year over 3 years.

🟢 EBITDA Margin has risen from 5.1% to 14.7% over 3 years (+9.6 pts).

🟢 PAT (Net Profit) has grown at 131.0% a year over 3 years.

🟢 ROE has risen from 10.9% to 14.1% over 3 years (+3.2 pts).

🟢 ROCE has risen from 6.6% to 18.1% over 3 years (+11.5 pts).

🟢 Total Debt has shrunk at 16.5% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹116 Cr

Total Liabilities

₹38 Cr

Cash & Equivalents

₹4 Cr

Operating Cash Flow

-₹30 Cr

Capex

-₹2 Cr

Shareholding (proxy)

Institutional Holding

1.1%

Insider Holding

85.2%

Peer Comparison

Company	P/E	ROE
MAHINDRA & MAHINDRA LTD	17.8x	19.7%
ASHOK LEYLAND LTD	25.2x	24.4%
TATA MOTORS LIMITED	37.1x	32.8%
LARSEN & TOUBRO LTD.	30.1x	15.2%

Recent News

1 mixed5 general

ATIL Share Price rises 9.41% | Apollo Techno Industries

Univest, 24 AugPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Apollo Techno Industries Ltd Peer Comparison – Compare with Others

Value Research, 31 Aug

APOLLO TECHNO INDUSTRIES LIMIT Share Price - Live ATIL Stock Price & Chart

Upstox, 05 May

Apollo Techno Industries shares to debut today. GMP steady ahead of listing

The Economic Times, 31 Dec

Apollo Techno Industries schedules 10th AGM for September 30, 2026

scanx.trade, 08 Sept

Apollo Techno Industries IPO Details, Price, Dates & GMP

IndiaIPO, 22 Dec

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability · Valuation

WeakRisk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last. 1 high-severity red flag sits above this conclusion and should be read first.

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑