Ramco Systems Reported a Sharp Decline in Q1 Profits

CHENNAI, 4 AUGUST 2016: Ramco Systems has reported a net profit of ₹90 lakh for the quarter ended June against ₹2.95 crore in the same period last year. The bottomline slipped due to adoption of Indian Accounting Standards, says a company press release.

Revenue increased marginally to ₹110 crore (₹102 crore) with revenue from markets outside India at 69 per cent.

In an official statement issued by Ramco, PR Venketrama Raja, Vice Chairman and MD, Ramco Systems, said that after infrastructure and software, the next wave in technology will revolve around Platform as a Service.

The company is geared up to address the market opportunity that lies ahead, he added.

The company's Q1 (April-June) consolidated net profit was down 69 percent at Rs 90 lakh versus Rs 2.9 crore, in the same quarter last year. Its EBIT was down at Rs 3.1 crore and EBIT margin has declined by 370 bps at 2.8 percent. However, the company's total income was up 7.8 percent at Rs 110.5 crore and USD revenue rose 1.8 percent at USD 16.62 million. The company has adopted Indian Accounting Standard (Ind AS) from April 1, 2016.