Cybertech Systems & Software Reports Strong Q1FY27 Consolidated Results; Board Approves ESOP Allotment

4 min read     Updated on 23 Jul 2026, 11:44 PM
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Cybertech Systems & Software Limited reported consolidated revenue from operations of ₹6,844.73 lakhs for Q1 FY27 (quarter ended June 30, 2026), up from ₹5,819.41 lakhs in Q1 FY26, with consolidated net profit rising to ₹947.72 lakhs from ₹817.34 lakhs year-on-year. On a standalone basis, revenue from operations grew to ₹4,402.28 lakhs from ₹3,962.24 lakhs, and net profit increased to ₹594.30 lakhs from ₹481.40 lakhs. The Board also approved the allotment of 1,00,000 equity shares under the Employee Stock Option Scheme and completed a share buyback of 8,50,000 equity shares at Rs. 170 per share for a total consideration of Rs. 1,445.00 lakhs during the quarter.

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Cybertech Systems & Software Limited's Board of Directors, at their meeting held on July 23, 2026, approved the unaudited financial results (standalone and consolidated) for the quarter ended June 30, 2026, along with the Limited Review Report. The board also approved the allotment of 1,00,000 equity shares of face value Rs. 10/- each to an employee pursuant to the exercise of options under the Company's Employee Stock Option Scheme.

Consolidated Financial Performance

On a consolidated basis, the Company reported healthy year-on-year growth across key financial metrics for the quarter ended June 30, 2026. Revenue from operations rose to ₹6,844.73 lakhs from ₹5,819.41 lakhs in Q1 of the prior year, while total income, including other income of ₹818.55 lakhs, stood at ₹7,663.28 lakhs compared to ₹6,524.00 lakhs in the year-ago quarter. The following table presents the consolidated financial highlights:

Metric: Q1 FY27 (30-06-2026) Q4 FY26 (31-03-2026) Q1 FY26 (30-06-2025) FY26 (31-03-2026)
Revenue from Operations (₹ Lakhs): 6,844.73 6,233.37 5,819.41 23,715.23
Other Income (₹ Lakhs): 818.55 488.47 704.59 2,588.01
Total Income (₹ Lakhs): 7,663.28 6,721.84 6,524.00 26,303.24
Total Expenses (₹ Lakhs): 6,401.75 5,766.90 5,441.00 22,281.07
Profit Before Tax (₹ Lakhs): 1,261.53 954.94 1,083.00 4,022.17
Profit for the Period (₹ Lakhs): 947.72 706.74 817.34 3,042.97
Total Comprehensive Income (₹ Lakhs): 922.76 1,224.94 827.43 3,934.69
Basic EPS (₹, Not Annualised): 3.06 2.27 2.63 9.77
Diluted EPS (₹, Not Annualised): 3.05 2.27 2.62 9.75

Consolidated profit before tax for Q1 FY27 stood at ₹1,261.53 lakhs, up from ₹1,083.00 lakhs in Q1 FY26. Total consolidated expenses for the quarter were ₹6,401.75 lakhs, compared to ₹5,441.00 lakhs in the year-ago period. Employee benefits expense was the largest cost component at ₹3,733.58 lakhs, followed by outsourced service costs of ₹1,726.00 lakhs.

Standalone Financial Performance

On a standalone basis, the Company also recorded year-on-year improvement. Revenue from operations for Q1 FY27 increased to ₹4,402.28 lakhs from ₹3,962.24 lakhs in Q1 FY26. Total standalone income reached ₹4,785.76 lakhs against ₹4,359.80 lakhs in the corresponding quarter of the previous year. The table below summarises the standalone financial results:

Metric: Q1 FY27 (30-06-2026) Q4 FY26 (31-03-2026) Q1 FY26 (30-06-2025) FY26 (31-3-2026)
Revenue from Operations (₹ Lakhs): 4,402.28 4,149.12 3,962.24 16,038.73
Other Income (₹ Lakhs): 383.48 480.61 397.56 1,854.11
Total Income (₹ Lakhs): 4,785.76 4,629.73 4,359.80 17,892.84
Total Expenses (₹ Lakhs): 3,997.82 3,729.22 3,728.06 14,807.69
Profit Before Tax (₹ Lakhs): 787.94 900.51 631.74 3,085.15
Profit for the Period (₹ Lakhs): 594.30 665.20 481.40 2,336.93
Total Comprehensive Income (₹ Lakhs): 594.30 727.85 468.82 2,361.85
Basic EPS (₹, Not Annualised): 1.92 2.14 1.55 7.51
Diluted EPS (₹, Not Annualised): 1.91 2.13 1.54 7.49

Standalone profit before tax for the quarter was ₹787.94 lakhs, rising from ₹631.74 lakhs in Q1 FY26. Standalone net profit for Q1 FY27 stood at ₹594.30 lakhs compared to ₹481.40 lakhs in the year-ago quarter. Employee benefits expense on a standalone basis was ₹2,142.60 lakhs, while outsourced project costs stood at ₹1,382.55 lakhs.

Share Buyback and ESOP Allotment

During the quarter, the Company completed a significant capital return exercise. Key details of the buyback and ESOP allotment are as follows:

Parameter: Details
Buyback Approval Date: May 13, 2026
Total Buyback Amount: Rs. 1,445.00 lakhs
Number of Shares Bought Back: 8,50,000 equity shares
Buyback Price per Share: Rs. 170
Buyback as % of Paid-up Capital: Approximately 2.73%
Record Date: May 29, 2026
Buyback Completion Date: June 18, 2026
Transaction Costs: Rs. 53.00 lakhs
Capital Redemption Reserve Created: Rs. 85.00 lakhs
ESOP Shares Allotted: 1,00,000 equity shares
Face Value per Share: Rs. 10/-

The buyback was executed through the Tender Offer route and was open to all eligible equity shareholders excluding the Promoter and Promoters Group. The Company funded the buyback from its free reserves, including securities premium, in accordance with Section 68 of the Companies Act, 2013. A Capital Redemption Reserve of Rs. 85.00 lakhs was created as an appropriation from retained earnings during the quarter ended June 30, 2026, as required under Section 69 of the Companies Act, 2013.

Auditor Review and Segment Information

The financial results were reviewed by Lodha & Co LLP, Chartered Accountants (Firm Registration No: 301051E / E300284), and the Limited Review Reports for both standalone and consolidated results were issued without any material modification. The consolidated results include the financials of wholly owned subsidiaries — CyberTech Systems and Software Inc. USA, Spatialitics LLC USA, and CyberTech Systems and Software Canada Inc. The Company operates in a single reportable business segment, namely Information Technology Services, as per the requirements of IND AS 108. The paid-up equity share capital as of June 30, 2026, stood at ₹3,028.06 lakhs (face value Rs. 10 per share), reflecting the reduction following the buyback.

Historical Stock Returns for Cybertech Systems & Software

1 Day5 Days1 Month6 Months1 Year5 Years
-1.07%+0.03%-3.28%+10.42%-18.08%-29.08%

How will the recent share buyback and subsequent reduction in paid-up capital impact future earnings per share (EPS) growth trajectories for FY27?

Given that employee benefits constitute the largest expense component, what strategies is Cybertech employing to manage cost inflation while sustaining revenue growth?

What specific growth drivers or new client acquisitions contributed to the 17.6% year-on-year increase in consolidated revenue for Q1 FY27?

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CyberTech extinguishes 8,50,000 equity shares post buyback

1 min read     Updated on 24 Jun 2026, 04:27 AM
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CyberTech Systems and Software extinguished 8,50,000 equity shares at ₹170 per share, reducing paid-up capital to ₹30.28 crore. The buyback increased promoter holding to 38.01% and foreign investor holding to 61.99%.

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CyberTech Systems and Software has extinguished 8,50,000 fully paid-up equity shares of face value ₹10 each, completing the buyback process initiated in June 2026. The shares were bought back through a tender offer at ₹170 per share, amounting to a total consideration of ₹14.45 crore. This extinguishment, confirmed by Central Depository Services (India) Limited (CDSL) on June 18, 2026, reduces the company's paid-up equity share capital to ₹30.28 crore from ₹31.13 crore. The move increases the promoters' holding to 38.01% from the pre-buyback level of 36.97%, while the public holding has decreased accordingly.

Reconciliation of Share Capital

The extinguishment of shares was carried out in dematerialized form via Choice Equity Broking Private Limited. The reconciliation of the company's share capital pre and post-extinguishment is detailed below:

Particulars No. of Equity Shares Equity Share Capital (in ₹)
Paid-up equity share capital (Pre-Buyback) 3,11,30,593 31,13,05,930
Less: Total Equity Shares (Demat) extinguished 8,50,000 85,00,000
Paid-up equity share capital (Post Buyback) 3,02,80,593 30,28,05,930

Shareholding Pattern

The buyback saw significant participation, with the offer opening on June 4, 2026, and closing on June 10, 2026. Following the extinguishment, the shareholding pattern has shifted. The promoters' stake has increased, while foreign investors now hold a majority stake at 61.99%. The total number of shares post-buyback stands at 3,02,80,593.

Category of Shareholder Pre Buyback Shares % Holding Post Buyback Shares % Holding
Promoters and persons in concert 1,15,08,621 36.97% 1,15,08,621 38.01%
Foreign Investors 85,45,095 27.45% 1,87,71,972 61.99%
Indian Financial Institutions 1,50,398 0.48% - -
Public including other Bodies Corporate 1,09,26,479 35.10% - -
Total 3,11,30,593 100% 3,02,80,593 100.00%

Regulatory Compliance

The extinguishment was certified by the Registrar to the Buyback, MUFG Intime India Private Limited, and the Secretarial Auditor, Sharma & Trivedi LLP. The process complies with Regulation 11 read with Regulation 24 of the Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018. The confirmation of extinguishment was received from CDSL on June 19, 2026.

Historical Stock Returns for Cybertech Systems & Software

1 Day5 Days1 Month6 Months1 Year5 Years
-1.07%+0.03%-3.28%+10.42%-18.08%-29.08%

How will the significant increase in foreign investor holding to 61.99% influence CyberTech's strategic decision-making moving forward?

What impact will the reduced equity base and increased promoter holding have on the company's future dividend policies?

Is CyberTech likely to initiate another buyback or consider other capital allocation strategies given the success of this tender offer?

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1 Year Returns:-18.08%