R Systems International Limited

R Systems International Ltd announced robust financial results for the quarter and half-year ended June 30, 2026. The company reported a 30.2% year-on-year revenue growth in INR terms for Q2 2026, reaching Rs. 6,017 million (US$ 63.6 million), and a 30.1% growth for H1 2026, totaling Rs. 11,765 million (US$ 126.4 million). Adjusted EBITDA saw a significant YoY increase of 51.4% in Q2 2026 and 51.0% in H1 2026. Adjusted Net Profit after taxes grew by 35.4% for the quarter and 54.4% for the half-year. The company attributes this performance to its AI-native strategy and strong demand for AI-first engineering services. Key deal wins include engagements with a global telecommunications company, a U.S. small business lender, and a global insurance provider.

R Systems International Limited's Board of Directors convened on August 4, 2026, approving the audited standalone and unaudited consolidated financial results for the quarter and six months ended June 30, 2026. The meeting also approved a Postal Ballot Notice seeking shareholder approval for the appointment of four new directors: Mr. Shailesh Sharad Kekre, Ms. Sangeeta Kapil Jit Singh, and Mr. Srikanth Balachandran as Independent Directors, and Mr. Pranav Damani as a Non-Executive Non-Independent Director. Additionally, the board will seek approval for the payment of remuneration to Non-Executive Independent Directors. The financial results, including standalone and consolidated statements, were attached to the filing.

R Systems International's consolidated (primary) results for the quarter ended June 30, 2026 show revenue of ₹601.7 Cr, up 30.2% YoY and 4.7% QoQ, while reported PAT of ₹55.6 Cr fell 26.7% YoY. The YoY profit decline is a comparison-base effect, not a genuine deterioration: the year-ago quarter booked a ₹43.6 Cr one-off gain on the sale of the company's Noida land and building, recorded in other income, with no equivalent item this quarter. Adjusted for that one-off, PAT grew approximately 30.7% YoY — closely tracking revenue growth. H1 CY2026 consolidated revenue of ₹1,176.5 Cr (+30.1% YoY) confirms management's own headline of "30% revenue growth in H1 2026"; H1 PAT of ₹121.0 Cr (+5.7% YoY reported) is similarly held down by the same year-ago one-off. The margin picture is mixed depending on which line is read. Operating margin, per the company's own Regulation 52 disclosure (PBT + finance costs − other income, over revenue), expanded to 14.73% from 11.77% a year ago and 14.29% last quarter — a genuine improvement at the core-business level. Net profit margin, however, fell to 9.24% from 16.42% YoY and 11.38% QoQ, because the year-ago and prior-quarter periods carried elevated other income (₹47.0 Cr and ₹17.1 Cr respectively, versus just ₹1.4 Cr this quarter) and the effective tax rate rose to 31.0% this quarter from 23.5% a year ago and 27.0% last quarter. Segment-wise, IT services pre-tax segment profit was ₹68.8 Cr (up from ₹44.3 Cr YoY) on segment revenue of ₹543.7 Cr; Knowledge Services contributed ₹25.7 Cr on ₹59.7 Cr revenue. No consensus estimate specific to this print could be confirmed via public sources at the time of writing (results were announced late on August 4, with the analyst call scheduled for August 5), so the actual-versus-street read is unknown. Against management's prior guidance — a return to organic growth from Q2 on strong deal momentum (TTM ACV of $82.5 million) and EBITDA margins holding near the Q1 CY2026 baseline of 20.1% — the growth call was clearly met, though the specific EBITDA-margin baseline cannot be independently verified from the disclosed line items alone. Management's press release frames the quarter around its "AI-native strategy" and the EXIQO AI Studio/OptimaAI platform, citing 17.7% YoY US$ revenue growth for the quarter and 20.3% for H1 — both well below the 30%-plus INR-reported growth, a gap that reflects currency translation and the consolidation of Novigo Solutions (added to the group from November 13, 2025) on top of organic gains. Standalone (secondary) results lag the consolidated pace: revenue grew 17.2% YoY to ₹342.5 Cr and PAT fell 47.6% YoY to ₹35.8 Cr, restated for the Velotio/Scaleworx amalgamation; the sharper standalone PAT decline also reflects the absence of a ₹14.1 Cr intercompany dividend that had lifted the prior quarter. Alongside the results, the board cleared a postal ballot to appoint three new independent directors and a non-executive director, and the company was separately recognized as a Horizon 2 GCC Accelerator by HFS Research during the quarter. Going into Q3 CY2026, the key markers are whether the elevated 31% effective tax rate normalizes (a reversion alone would lift reported PAT growth back toward the underlying ~31% adjusted pace), whether the deal-win momentum cited last quarter continues converting into organic revenue as Novigo and Velotio/Scaleworx anniversary into the base, and whether the 14.73% operating margin can be sustained as the AI-services mix scales.

R Systems International Ltd (RSI) has been recognized as a Horizon 2 GCC Accelerator in the HFS Horizons: GCC Services, 2026 Report. The report highlights RSI's AI-first GCC model, platform-led delivery capabilities, and strong execution in establishing, scaling, and transforming Global Capability Centers (GCCs). HFS cited RSI's proprietary accelerators like GCC Copilot and OptimaAI, along with its extensive AI expertise, as key strengths. The recognition underscores RSI's role in enabling enterprises to evolve GCCs into strategic innovation hubs, moving beyond traditional cost-arbitrage models. RSI's offerings cover the entire GCC lifecycle, supporting various engagement models across global locations.

R Systems International Ltd has announced that its Board of Directors will convene on August 4, 2026. The primary agenda item is to consider and approve the audited standalone and unaudited consolidated financial results for the quarter and six months ended June 30, 2026. Concurrently, the company has reiterated that the trading window for its equity shares remains closed for designated persons until 48 hours after the declaration of these financial results, in line with SEBI regulations.

R Systems International Limited has received an unsolicited ESG rating of 'CRISIL ESG 58' from CRISIL ESG Ratings & Analytics Limited. The rating is based on disclosures for the financial year ended December 31, 2025, and publicly available data. The company did not engage CRISIL ESG for this assessment, and the rating was independently assigned.

R Systems International Ltd has issued a reminder to shareholders holding shares in physical mode to update their PAN, KYC, and bank details as per SEBI regulations. This is crucial for receiving payments like dividends electronically, effective from April 1, 2024. Shareholders who update after this date will receive any accrued payments post-updation. The company has provided links to the necessary forms on its website and the RTA's website. It also reiterates that transfer of shares in physical form is not permitted since April 1, 2019, and encourages conversion to demat form for better market liquidity.

R Systems International Ltd has announced the allotment of 6,213 equity shares following the exercise of Restricted Stock Units (RSUs) under its Management Incentive Plan 2023. This corporate action, approved by the Nomination, Remuneration and Compensation Committee, took effect on June 27, 2026. The allotment increases the company's issued, subscribed, and paid-up equity share capital to INR 118,492,688, comprising 118,492,688 equity shares of INR 1 each. The filing was made in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

R Systems International Ltd has announced the closure of its trading window for designated persons and their immediate relatives. This closure is effective from Wednesday, July 01, 2026, and will remain in effect until 48 hours after the declaration of financial results for the quarter and six months ending June 30, 2026. The company will communicate the date of the Board Meeting to approve these financial results separately. This measure is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, and the company's internal code of conduct.

R Systems International Ltd announced a significant change in its board leadership following a meeting on June 25, 2026. Mr. Shailesh Sharad Kekre has been appointed as the Chairperson of the Board of Directors, effective June 29, 2026. This appointment follows the completion of tenure for existing Independent Directors, including the current Chairperson Mrs. Ruchica Gupta, and the resignation of Mr. Mukesh Mehta as a Non-Executive Director. The board also approved the appointment of Ms. Sangeeta Kapil Jit Singh and Mr. Srikanth Balachandran as Additional Directors (Non-Executive Independent Directors), and Mr. Pranav Damani as an Additional Director (Non-Executive Director). These appointments are effective from June 29, 2026.