DRC Systems India Limited Announces Unaudited Financial Results for the Third Quarter (Q3) of the Fiscal Year 2022‐23
Consolidated Income from Operations up 51% Q-o-Q to INR 864 Lacs
Consolidated Profit After Tax up 348% Q-o-Q to INR 393 Lacs
Consolidated EBITDA up 175 %, Q‐o‐Q to INR 478 Lacs
Gandhinagar, India, 12th January, 2023: Information Technology and Software Consultancy Services provider, DRC Systems India Limited “DRC Systems” “the company” today announced its standalone and consolidated unaudited financial results for the third quarter and nine‐month period ended December 31, 2022, for the fiscal year 2022–23.
Issuance of Shares on a Preferential basis: During the quarter under review, the Group had allotted 50,00,000 Equity Shares of Face Value of Re. 1/ each fully paid up, on a preferential basis to Somani Multibiz Limited (other than the Promoters and Promoter Group), at an issue price of Rs. 40/‐per Equity Share (including a premium of Rs. 39/‐per Equity Share), aggregating to Rs. 2,000 Lakhs (Rupees Two Thousand Lakhs Only) for cash consideration.
Acquisition of stake in Nextenders (India) Private Limited: During the quarter, the Company had acquired 23.34% stake in Nextenders (India) Private Limited. Post‐acquisition, Nextenders will be an Associate Company of DRC Systems India Ltd. The Target Company is engaged in the business of Electronic Procurement Software Systems, Solutions & Related Services.
Consolidated Performance Review for Q3 FY22‐23:
- Operating revenue stood at ₹864 Lacs, up 101% Y-o-Y and 51% Q-o-Q.
- EBITDA for the quarter was ₹478 Lacs, up 719% Y-o-Y, up 175 % Q‐o‐Q
- EBITDA Margins stood at 55 % for the quarter vs 14 % in Q3 FY 2021 22.
- Profit After Tax (PAT) is at Rs. 393 Lacs up 5212 % Y‐o‐Y, up 348 % Q‐o‐Q.
Consolidated Financial Highlights – Quarter Ended December 31, 2022
| Particulars | Q3 FY23 | Q3 FY22 | % change YoY | Q2 FY23 | % change QoQ | 9M FY 2022‐23 | 9M FY 2021‐22 | % change YoY |
|---|---|---|---|---|---|---|---|---|
| Revenue | 864 | 429 | 101% | 574 | 51% | 1,885 | 1,486 | 27% |
| EBITDA | 478 | 58 | 718% | 174 | 175% | 806 | 181 | 346% |
| EBITDA Margin | 55% | 14% | 306% | 30% | 83% | 43% | 12% | 251% |
| Profit Before Tax | 442 | 32 | 1282% | 123 | 260% | 667 | 72 | 827% |
| Profit After Tax | 393 | 7 | 5212% | 88 | 348% | 551 | 35 | 1482% |
Figures in INR Lacs
Managing Director, Mr. Hiten Barchha: “The company has seen continued growth in the past two quarters, and the growth stride continued even in the Q3, as international businesses witnessed seamless buoyancy after opening up the economic activities post‐Covid‐19 lockdown, resulting in strong balance sheets. While the global IT services market has improved, we are witnessing very strong levels of business activities for our IT & consultancy services, and the growing appetite from customers across the globe remains unstoppable. This strong demand has made us take a call to go forward with the acquisition of Nextenders (India) Pvt. Ltd and further fuel our expansion through fundraising. I am overwhelmed to see the support and the trust put in me by our company’s board of directors and investors while clinching these fundraising & acquisition deals. I look forward and I hope that the company would be able to deliver exponential growth in coming years, as there is incredible potential upside in the IT sector.”
About DRC Systems India Limited
DRC Systems is an IT services and consulting company based in India, dedicated to providing sustainable and impactful business solutions. Since our inception in 2012, we have focused on innovation and creativity to drive change. Our services and solutions empower businesses to scale and stay competitive in the market. Our services and solutions help businesses scale the market. Over the years, we have diversified our service offerings through a mix of organic growth and strategic transactions. Our wide range of services allows us to build strong client relationships and create opportunities for cross-selling.Our customer base spans multiple geographies, primarily in Europe, the USA, the Middle East, and Asia.
