Synopsis:
Apex Frozen Foods has jumped sharply in one month, mainly because of a block deal at a premium of 19.2 percent and positive factors surrounding a soon-to-be-announced trade deal with the USA.
In this article, we will dive into the details on why Apex Frozen Foods, which derives a large chunk of its revenue from the USA, has surged sharply in the past month. So, without wasting any more time, let’s dive into it.
With a market capitalisation of Rs 1,038 crore, the shares of Apex Frozen Foods Ltd made a day high of Rs 332.20 per share (upper circuit), up by 20 percent from its previous day’s closing price of Rs 276.85 per share. Over the past five years, the stock has delivered a return of 16 percent, underperforming NIFTY 50’s return of 102 percent. In the last one month, the stock has surged by 48 percent.
About the Rally
Apex Frozen Foods hit 20 percent upper circuit following a major block deal that saw 4,56,057 shares being traded at Rs 330.2 per share, a steep premium of 19.2 percent to Thursday’s closing. Also, the trading volume jumped substantially, with 15.3 million shares changing hands.
Another reason why Apex Frozen rallied is due to its significant concentration in the US market. According to its FY25 export mix, the company generates 53 percent of the revenue in the USA, 39 percent in Europe and only 8 percent comes from other regions.
Therefore, when the news of an India–US trade deal getting closer was disclosed, investors expected easier access, a lower number of trade obstacles, and stronger orders from Apex’s largest customer base. Any small positive news on the trade front can cause a big jump in the stock price as more than half of the company’s business is dependent on the US.
Also, China previously imported 20-25 percent of Japanese seafood. Now completely banned, this creates a massive supply gap in the Chinese market. India is the world’s largest shrimp exporter, and companies like Apex immediately become the alternative supplier to China.
According to Apex Frozen Foods’ Q2 FY26 results, China accounted for 18 percent of India’s overall shrimp exports, which itself presents the company with a large pool, as it has the potential of being the immediate alternative to Japan’s export ban. These are one of the major reasons why Apex Frozen has jumped so significantly in the last one month.
Q2 Highlights
Apex Frozen Foods has reported an operating revenue of Rs 238 crore in Q2 FY26, representing a 19 percent growth compared to Rs 200 crore in Q2 FY25. However, on a quarter-on-quarter basis, it declined by 8 percent from Rs 258 crore. The company derived 50 percent of its sales from the USA, followed by 46 percent from EU and the remaining 4 percent from other countries, making it extremely vulnerable to trade policies.
Regarding its profitability, the shrimp export major reported a net profit of Rs 12 crore in Q2 FY26, a significant turnaround as compared to a loss of Rs 2 crore in Q2 FY25. However, on a quarter-on-quarter basis, it grew by 33 percent from Rs 9 crore.
Apex Frozen’s Q2FY26 performance was shaped by an early shortage of raw shrimp, which briefly pulled down volumes, but supply later stabilised and sales recovered through the quarter. Ready-to-eat products made up 14 percent of total shrimp sales in H1FY26, showing steady traction in value-added categories.
Region-wise, sales to the USA fell 10 percent YoY due to tariff-related uncertainty, while the European Union grew a healthy 18 percent YoY. Despite flat raw shrimp purchase prices at Rs 321/kg, the company’s average selling price jumped sharply by 25 percent YoY to Rs 870/kg—helping offset the temporary dip in volumes and supporting overall profitability momentum.
Apex Frozen Foods is a fully integrated seafood producer that primarily exports value-added shrimp to large buyers in the USA, UK, and Europe. It is a vertically integrated company that goes down to the hatchery, farming, processing, and packaging levels, thus giving it better quality and control. Almost all of its products are easy-to-cook shrimps carrying the customer’s brand name.
The firm is headquartered in Andhra Pradesh, India’s premier aquaculture hub. It has over 1,000 acres of farms under its belt and a shrimp processing capacity of more than 9,000 MTPA at the Kakinada plant. With international food safety certifications, as well as its own refrigerated storage and transport facilities, Apex is delivering quality exports to leading global markets.
Written by Satyajeet Mukherjee
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