RK Swamy shares experienced a significant rally, jumping 8% following the acquisition of a substantial stake by renowned investor Porinju Veliyath. The stock reached a high of ₹114.35 compared to its previous closing price of ₹105.55, reflecting strong investor confidence in the advertising and media services company.

Stake Acquisition Details

Equity Intelligence India Limited, the Kerala-based fund management firm founded by Porinju Veliyath, acquired 6.25 lakh shares of RK Swamy at strategic pricing. The transaction demonstrates Veliyath's confidence in the company's growth prospects and market position.

Financial Performance

RK Swamy demonstrated solid operational growth in its recent quarterly results, with revenue expansion across its diversified service portfolio. The company operates in advertising across television, newspapers, radio, outdoor media, strategic media planning and buying, market research activities, and creative services.

Market Position and Valuation

With a market capitalization of ₹538 crore, RK Swamy trades at a price-to-earnings ratio of 27.8, compared to the industry average of 29. This valuation metric suggests the stock is reasonably priced relative to its sector peers, potentially making it attractive to value-oriented investors like Veliyath.

Client Portfolio and Business Diversification

RK Swamy maintains a robust and diversified client base spanning multiple sectors, which provides revenue stability and growth opportunities. The company serves major public sector institutions and leading private sector brands across various industries.

Public Sector Clients:

• ONGC, NTPC, LIC, RBI
• NABARD, SIDBI, Bank of Baroda
• Union Bank, PNB, Air India

Private Sector Clients:

• Pharmaceutical: Cipla, Dr Reddy's, Glenmark, Himalaya
• Consumer Goods: Havells, Hawkins, Nilkamal, Rasna
• Industrial: Orient Cement

This diversified portfolio across government, BFSI, FMCG, pharmaceutical, and consumer sectors demonstrates the company's ability to manage large-scale, long-term brand mandates while maintaining low client concentration risk and high revenue visibility.

RK Swamy Limited, an integrated marketing services provider, has reported a 12.1% year-over-year increase in consolidated revenue for the quarter ended September 30, 2025 (Q2 FY2026). The company's total income rose to ₹7,638.24 crore in Q2 FY2026, up from ₹6,813.16 crore in the same quarter last year.

Financial Highlights

Digital Growth Strategy

R K Swamy is pursuing growth through integrated marketing, data analytics, and digital advertising. The company is expanding its MarTech and research offerings while making strategic investments in AI-led consumer insights.

Client Expansion

The firm has secured client wins across BFSI, automotive, and FMCG sectors. R K Swamy expects margin growth driven by a higher share of digital services.

Operational Highlights

• Launched a new Brand and Marketing Consulting Group in May 2025
• Increased capacity utilization in expanded Customer Experience Centre and Computer Aided Telephone Interview (CATI) facility
• Plans to launch a new subscription service for marketers spending on digital video advertising

Shekar Swamy, MD and Group CEO of R K Swamy Ltd, commented: "It is good to see progress across disciplines. Client retention is near 100%. Our new launch like the Brand & Marketing Consulting Group is seeing traction. A few former large clients have returned to the fold. We have a major new service ready for launch soon. All in all a good busy period."

The company continues to invest in marketing infrastructure and expand its digital capabilities to drive future growth.