$APLAPOLLO

$APLAPOLLO APL Apollo Tubes is India's largest structural steel tubes and pipes manufacturer. Its products are used in construction, infrastructure, engineering, agriculture, automobiles, warehouses and industrial applications. The company has built a large manufacturing/distribution network and focuses heavily on value-added structural tubes rather than being just a commodity steel producer. The key investment thesis is: India's infrastructure + construction growth → higher steel-tube demand → volume growth → operating leverage → higher earnings. A particularly important point is that APL Apollo has been increasing its scale significantly. FY26 sales volume was around 34.9 lakh tonnes, versus about 31.6 lakh tonnes in FY25, although Q1 FY27 volume was softer YoY at roughly 7.45 lakh tonnes. 2. Fundamental Analysis Revenue & Profitability APL Apollo's business has historically been driven more by volume growth and product mix than simply by steel prices. For Q1 FY27, consolidated sales were reported at approximately ₹5,607 crore, up 8.45% YoY. This is important because: Revenue growth is still positive, but investors need to watch whether profit growth keeps pace with revenue growth. The company has also demonstrated its ability to maintain EBITDA/tonne despite commodity-price volatility. In earlier quarters, EBITDA/tonne moved above ₹5,000, supporting the thesis that increasing value-added products can improve economics. Volume This is probably the single most important operating metric for APL Apollo. FY26: Sales volume: 34.91 lakh tonnes FY25: 31.58 lakh tonnes Growth: 10.6% But Q1 FY27: Volume: 7.45 lakh tonnes YoY decline: 6%