R Systems International , a leading digital product engineering company, has announced its financial results for the second quarter of 2025, showcasing a mixed performance with revenue growth and profit decline.

Revenue and Profitability

R Systems reported a robust revenue growth for Q2 2025, with total revenue reaching 4,986.17 million rupees, up from 4,440.87 million rupees in the same quarter last year, marking a 12.28% year-on-year increase. However, the company's profitability metrics showed some pressure:

The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) increased to 773.88 million rupees, up from 714.22 million rupees in Q2 2024. However, the EBITDA margin compressed to 15.52% from 16.08% in the same period last year.

Consolidated net profit for the quarter declined to 353.41 million rupees, compared to 398.12 million rupees in Q2 2024, representing an 11.23% year-on-year decrease.

Segment Performance

R Systems' performance across its business segments showed varied results:

The Information Technology services segment, which forms the core of R Systems' business, grew by 11.55% year-on-year. The Business Process Outsourcing services segment showed stronger growth at 16.12% compared to the same quarter last year.

Balance Sheet and Cash Position

As of September 30, 2025, R Systems maintained a strong balance sheet position:

• Cash and bank balances: 3,311.94 million rupees
• Total equity attributable to shareholders: 7,431 million rupees

Management Commentary

Nitesh Bansal, Managing Director and CEO of R Systems International, commented on the results, stating, "We continue to deliver strong performance, with Q3 25 revenue reaching INR 4,986 million (US$ 57.2 million), reflecting a robust 7.92% sequential and 12.28% year-on-year growth. This momentum validates our strategy and underscores the continued trust our clients put in us."

Bansal also highlighted the company's strategic initiatives, saying, "As we deepen our AI-first strategy, we remain focused on scaling innovation, enhancing domain capabilities, and investing in future-ready talent and platforms. We are confident that these efforts will further strengthen our market position and deliver long-term stakeholder value."

The company's CFO, Nand Sardana, added, "Our Q3 2025 performance reflects continued financial discipline and strategic focus. We have continued to win larger deals with decent margins contributing to both revenue and margin growth in a sustainable manner."

R Systems International continues to focus on digital product engineering, leveraging technologies such as cloud, automation, AI, ML, and analytics to drive innovation and growth for its clients across various industries.

R Systems International Limited , a prominent player in the IT sector, has received a significant boost to its financial credibility. The company recently announced that it has been assigned a credit rating of ICRA [AA-] (Stable) by ICRA Limited, a leading credit rating agency in India.

Credit Rating Details

The credit rating, communicated through a letter dated October 30, 2025, reflects ICRA's assessment of R Systems International's financial strength and stability. Here's a breakdown of the rating:

The [AA-] rating indicates a high degree of safety regarding timely servicing of financial obligations, signifying very low credit risk. The 'Stable' outlook suggests that the rating is likely to remain unchanged in the near term.

Implications and Disclosure

This credit rating assignment is a significant development for R Systems International, as it may potentially:

• Enhance the company's credibility in the financial markets
• Improve its ability to raise capital on favorable terms
• Reflect positively on the company's financial management and overall business stability

In compliance with regulatory requirements, R Systems International promptly informed the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) about this rating assignment. This disclosure aligns with the company's obligations under Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015.

Upcoming Investor Call

R Systems International has also announced an upcoming investor and analysts call scheduled for November 7, 2025, at 10:00 A.M. (IST). This call will discuss the company's financial results for the quarter and nine months ended September 30, 2025, providing stakeholders with further insights into the company's financial performance.

The credit rating, coupled with the forthcoming financial discussion, underscores R Systems International's commitment to transparency and engagement with its investors and the broader financial community.