Q2 revenue rises 41%, but EBITDA margin narrows to 28%

Revenue Growth 20pctPat Growth 25pctEbitda Margin ExpansionEbitda Margin CompressionResults View source PDF Explain this filing

DRCSYSTEMS · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reactionminutes from the announcement price · days from the prior close

-5.4%Reaction day

₹19.29

prior close

₹19.13

announcement price

In-mkt

timing

Nifty Microcap 250market · in no size index; the smallest one is used-0.4%-5.0% vs market

IT Enabled Services peers, median of 69sector-0.8%-4.6% vs sector

On the reaction day the stock moved 5.0 pts less than Nifty Microcap 250 and 4.6 pts less than its IT Enabled Services peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

-3.1

10m

-1.7

15m

-1.2

30m

-0.5

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

-5.4-0.4-5.0-0.8-4.6

Next day

+2.2-0.6+2.9-1.2+3.5

+0.8+0.3+0.5-0.6+1.4

-0.2+0.2-0.4-1.0+0.8

-2.2+0.1-2.3-0.8-1.4

-3.9+0.7-4.6-1.2-2.7

-4.9-0.3-4.6-2.5-2.4

15d

-6.7-2.0-4.7-4.6-2.1

-9.4-5.7-3.8-8.0-1.5

-14.5-7.8-6.6-10.7-3.8

-10.2-4.6-5.5-12.7+2.6

UpDownMarket · Nifty Microcap 250Sector · IT Enabled Services peers, median of 69Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

DRC Systems reported unaudited consolidated Q2 FY2025-26 revenue of Rs 2,283.2 lakh, up 41% year on year, and profit after tax of Rs 416.7 lakh, up 27%. EBITDA rose 43% to Rs 648.7 lakh, but the margin fell to 28% from 35%. In the first half, revenue rose 31% to Rs 4,112.4 lakh and profit after tax rose 20% to Rs 851.4 lakh.

Likely market impact

Strong sales and profit growth may support investor sentiment, but the quarterly margin decline could limit near-term stock gains.