SYS 9MCY26 profit steps up 14%

October 26, 2026 (MLN): Systems Limited (PSX: SYS) reported a 14% increase in its consolidated net profit for the nine months ended September 30, 2026 (9MCY26), reaching Rs9.08bn compared to Rs7.94bn in the corresponding period last year.

Reflecting this steady bottom-line growth, basic earnings per share (EPS) for the nine-month period expanded to Rs5.93 (diluted EPS of Rs5.88), up from basic EPS of Rs5.42 (diluted EPS of Rs5.36) in 9MCY25.

For the third quarter (Q3CY26) alone, net profit increased 9% to Rs3.03bn (basic EPS of Rs1.98) compared to Rs2.79bn (basic EPS of Rs1.90) in Q3CY25.

The primary catalyst supporting the nine-month performance was a 33% expansion in net revenue from contracts with customers alongside a 25% growth in gross profit, powered by sustained demand across domestic and export IT services.

Net consolidated revenue jumped to Rs76.49bn, up from Rs57.42bn in 9MCY25. Cost of sales increased 36% to Rs57.17bn, allowing gross profit to reach Rs19.32bn compared to Rs15.51bn in the prior-year period.

On the operational front, administrative expenses expanded 42% to Rs6.34bn, while distribution expenses rose 31% to Rs2.72bn.

Investments in research and development expanded 95% to Rs189.48m, while impairment losses on financial assets remained flat at Rs336.63m. Operating profit rose 14% to Rs9.74bn.

Below the operating line, SYS recorded a 51% increase in "other income" to Rs934.08m (up from Rs620.55m in 9MCY25).

This helped absorb an increase in finance costs to Rs499.10m (up 103% from Rs246.01m). Accounting for statutory levies of Rs532.23m, profit before taxation rose 17% to Rs9.64bn.

The company absorbed a higher corporate taxation charge of Rs554.54m for the period (up 74% from Rs319.49m in 9MCY25).

Backed by strong top-line tech export revenue, gross spread expansion, and treasury income gains, Systems Limited securely closed the nine-month period with its net profit reaching Rs9.08bn.

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