CyberTech Systems and Software Limited has filed its quarterly compliance statement with stock exchanges, confirming adherence to the intended use of proceeds from its Preferential Issue for the quarter ended December 31, 2025. The filing, submitted on February 11, 2026, demonstrates the company's commitment to regulatory compliance and transparent fund utilization practices.

Regulatory Compliance Statement

Pursuant to Regulation 32 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company confirmed that there has been no deviation or variation in the use of proceeds from the Preferential Issue of Equity Shares during the quarter ended December 31, 2025. This quarterly filing is mandatory for companies that have raised funds through various modes including preferential issues.

Fund Raising Details

The company's fund raising particulars demonstrate a structured approach to capital deployment:

Intended Use of Proceeds

The funds raised through the Preferential Issue were allocated for multiple strategic purposes as outlined in the original fund raising documentation. The company specified that the proceeds would be utilized to accomplish its vision of expanding existing business activities, general corporate purposes, investment in subsidiaries, and financing future growth opportunities including acquisitions of companies yet to be identified.

Current Fund Status

According to the compliance statement, the company has not yet deployed the raised funds for their intended purposes. The filing reveals that pending actual utilization of funds raised through the Preferential Issue, the unutilized funds have been temporarily parked in Fixed Deposits with Banks. This conservative approach ensures capital preservation while the company evaluates appropriate deployment opportunities.

Governance and Oversight

The compliance statement indicates robust governance practices with both the Audit Committee and auditors providing oversight. The filing shows no comments from either the Audit Committee after review or from the auditors, suggesting clean compliance with regulatory requirements. The statement was signed by Sarita Leelaramani, Company Secretary and Compliance Officer, and Praveen Agarwal, Chief Financial Officer, demonstrating appropriate authorization levels for such regulatory filings.

CyberTech Systems & Software Limited announced its unaudited financial results for the third quarter of FY26 ended December 31, 2025, revealing mixed performance with stable revenue but declining profitability. The IT services company's board meeting held on February 11, 2026, approved both standalone and consolidated financial results along with key executive compensation decisions pursuant to Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Consolidated Financial Performance

The company's consolidated operations showed resilience in revenue generation but faced profitability challenges during Q3FY26. Total income remained relatively stable with marginal fluctuations across quarters.

The nine-month consolidated performance showed marginal revenue growth but profit decline. Revenue from operations increased slightly to ₹1,748.2 million from ₹1,744.0 million in the corresponding period last year. However, net profit decreased to ₹233.6 million from ₹253.4 million, reflecting ongoing margin pressures.

CEO Commentary and Strategic Focus

Commenting on the results, Mr. Vish Tadimety, CEO and Founder, highlighted the company's solid nine-month performance with revenue growth of 3.4% year-over-year to ₹1,958.1 million. He emphasized the strength of the annuity-based managed services model while noting that quarterly revenue completion of several project-based SAP S/4HANA transformation engagements created sequential decline.

Business Highlights and Operations

The company maintained strong operational metrics during Q3FY26. Total active client count reached 80 on a last twelve months basis, with the addition of 4 new clients during the quarter. The Technology sector continued to be the primary revenue driver, contributing 75% towards operating revenue.

Expense Structure and Margins

The company's expense management showed mixed results across different cost categories. Employee benefits expense increased significantly in both consolidated and standalone operations, impacting overall profitability.

Board Decisions and Executive Compensation

The board meeting held on February 11, 2026, approved significant executive compensation changes. The directors sanctioned an annual incentive equivalent to USD $100,000 for Mr. Ramasubramanian, Executive Director (DIN: 05350841), effective from April 1, 2026, for a three-year period. This decision, based on performance evaluation and Nomination & Remuneration Committee recommendations, requires shareholder approval and regulatory clearances.

Earnings Per Share and Market Position

The company maintained its paid-up equity share capital at ₹311.3 million with a face value of ₹10.00 per share. Consolidated basic earnings per share declined to ₹2.10 in Q3FY26 from ₹2.90 in Q3FY25. For the nine-month period, basic EPS decreased to ₹7.50 from ₹8.14 in the corresponding previous period.

CyberTech Systems and Software Limited operates in a single reportable business segment of 'Information Technology Services' as per IND AS 108 requirements. The consolidated results include three wholly-owned subsidiaries: CyberTech Systems and Software Inc. USA, Spatialitics LLC USA, and CyberTech Systems and Software Canada Inc.