Systems Limited has recorded a staggering profit growth of 102 percent in the nine months of 2022 as compared to a similar period of the last year mainly due to a massive exchange gain.
According to the financial results, the company with all its subsidiaries made a profit of over Rs. 5.1 billion during the period of January to September 2022 as compared to Rs. 2.52 billion reported in a similar period of the last year. This is the highest-ever profit reported by the company in the current calendar year in this period.
The increase in revenue has been contributed to by all regions.
The continued devaluation of the Pak Rupee resulted in an exchange gain of Rs. 1.172 billion compared to the gain in September 2021 of Rs. 204 million.
The consolidated revenue grew by 91 percent to Rs. 20.144 billion from Rs. 10.524 billion. Since the financials of both the newly acquired entities, the NdcTech and Treehouse were consolidated w.e.f. July 2022, the impact of this addition of new subsidiaries stands an increase of Rs. 895.35 million in revenue.
The growth in net revenue was due to the impact of the exchange gain which is 45 percent.
The basic and diluted earnings per share both increased by 96 percent in line with profit for the period to Rs. 18.47 from Rs. 9.44. Eliminating the currency impact, revenue is up by 53 percent in US dollar terms.
In the third quarter alone, Systems Limited along with its subsidiaries reported a profit growth of 113 percent or Rs. 2.1 billion as compared to Rs. 1 billion reported in the third quarter of 2021.
At the time of filing this report, SYS’s scrip at the bourse was trading at Rs. 436.50, up by Rs. 5.53 or 1.28 percent, with a turnover of 382,999 shares on Wednesday.
