Ramco Systems Allots 28,322 Equity Shares Under Employee Stock Option Schemes

Ramco Systems Limited has announced the allotment of 28,322 equity shares under its Employee Stock Option Schemes, following approval from the Stakeholders Relationship Committee of the Board. The decision was made during the committee's meeting held on January 28, 2026. Share Allotment Details The allotment comprises equity shares of Rs.10/- each, distributed across three different Employee Stock Option Schemes. The breakdown of stock options exercised is as follows: ESOP Scheme Options Exercised Employee Stock Option Scheme 2013 (ESOS 2013) 4,122 Employee Stock Option Scheme 2014 (ESOS 2014) 5,625 Employee Stock Option Scheme 2022 (ESOS 2022) 18,575 Total 28,322 Impact on Share Capital The allotment has resulted in changes to the company's equity structure: Parameter Before Allotment After Allotment Paid-up Equity Share Capital 37,41,19,250 37,44,02,470 Number of Equity Shares 3,74,11,925 3,74,40,247 Regulatory Compliance The announcement was made in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has informed both the National Stock Exchange of India Ltd. and BSE Ltd. about the allotment. Ramco Systems will apply for listing and trading permission for the newly allotted shares shortly. The company has also hosted this information on its official website at www.ramco.com for stakeholder reference. Ramco Systems Limited announced its Q3FY26 financial results for the quarter ended December 31, 2025, with the Board of Directors approving the unaudited financial results in a meeting held on January 28, 2026. The results reflect a mixed performance, with operational improvements overshadowed by regulatory compliance costs. Financial Performance Overview The company's consolidated performance showed revenue growth, while standalone operations faced some challenges. The most significant impact came from the implementation of new Labour Codes, which created substantial one-time costs. Metric Consolidated Q3FY26 Consolidated Q3FY25 Change Revenue from Operations Rs.1,784.96 Mn Rs.1,565.94 Mn +14.0% Total Income Rs.1,800.15 Mn Rs.1,575.60 Mn +14.3% Profit Before Tax (Before Exceptional Items) Rs.222.91 Mn Rs.(90.54) Mn Positive Net Profit After Tax Rs.32.12 Mn Rs.(100.96) Mn Positive Metric Standalone Q3FY26 Standalone Q3FY25 Change Revenue from Operations Rs.909.10 Mn Rs.941.89 Mn -3.5% Total Income Rs.919.06 Mn Rs.949.41 Mn -3.2% Profit Before Tax (Before Exceptional Items) Rs.59.54 Mn Rs.104.76 Mn -43.2% Net Loss After Tax Rs.(119.65) Mn Rs.99.41 Mn Negative Labour Code Implementation Impact The most significant development during the quarter was the implementation of new Labour Codes by the Government of India, effective November 21, 2025. This regulatory change had a substantial financial impact on the company. Impact Details Amount Exceptional Charge Rs.214.99 Mn Nature Increase in gratuity and leave liability Classification Past service cost under Employee benefits expense Presentation Exceptional Items due to materiality The Labour Code consolidated various existing labour legislations into a unified framework. The company assessed the financial implications, resulting in increased gratuity liability and leave liability arising from past service costs. Due to the materiality and non-recurring nature of this impact, it was presented as "Impact of Labour Code" under Exceptional Items. Nine-Month Performance Analysis For the nine months ended December 31, 2025, the company showed improved operational performance on a consolidated basis: Nine-Month Metrics Consolidated FY26 Consolidated FY25 Change Revenue from Operations Rs.5,155.89 Mn Rs.4,360.87 Mn +18.2% Profit Before Tax (Before Exceptional Items) Rs.483.48 Mn Rs.(338.86) Mn Positive Net Profit After Tax Rs.168.91 Mn Rs.(392.94) Mn Positive On a standalone basis, the nine-month performance was affected by the Labour Code impact: Nine-Month Metrics Standalone FY26 Standalone FY25 Change Revenue from Operations Rs.2,654.60 Mn Rs.2,404.89 Mn +10.4% Net Loss After Tax Rs.(61.39) Mn Rs.(168.41) Mn Improvement Operational Highlights Several operational developments occurred during the quarter: Equity Allotment: The company allotted 49,264 equity shares under Employee Stock Option Schemes, increasing paid-up capital to Rs.374.47 million from Rs.373.98 million Subsidiary Closure: Ramco Systems Macau Limited, a step-down subsidiary, was voluntarily closed effective November 07, 2025, with no impact on financial results Employee Benefits: ESOP costs for Q3FY26 were Rs.13.24 million compared to Rs.23.39 million in Q3FY25 Other Comprehensive Income The company reported other comprehensive income of Rs.41.19 million on a standalone basis for Q3FY26, primarily due to remeasurement of defined benefit obligations amounting to Rs.64.49 million, partially offset by foreign currency translation effects. Earnings Per Share The Labour Code impact significantly affected earnings per share calculations: EPS Metrics Consolidated Q3FY26 Standalone Q3FY26 Basic EPS Rs.0.87 Rs.(3.20) Diluted EPS Rs.0.86 Rs.(3.20) The company operates in a single segment of Software Solutions & Services, with global operations across multiple countries including India, Singapore, Malaysia, USA, Canada, and several other international markets. We’re building Scanx - to help you express your trading & investing idea, to help you analyse the markets better. Stock Markets are the true indicator of the growth of any country's economy. We are bullish on India, we are bullish on India's prospects to be one of largest economies of the world. We believe that Stock Markets provide an unique opportunity for all Indians to participate in the growth story of India. We are enabling the same for Indians. 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