ABM Knowledgeware Limited revenue up 23.5%, profit down 7.6%

ABM Knowledgeware Limited reported standalone revenue from operations of Rs 25.21 crore for the quarter ended September 30, 2026, up 23.5% from a year earlier, while net profit fell 7.6% to Rs 2.78 crore as total expenses increased faster than revenue. The unaudited results cover its Software and Services operating segment.

How did ABM Knowledgeware perform in the September 2026 quarter?

ABM Knowledgeware recorded total income of Rs 26.01 crore in the quarter ended September 30, 2026, compared with Rs 21.61 crore in the corresponding 2025 quarter. Revenue from operations rose from Rs 20.41 crore to Rs 25.21 crore, while other income declined from Rs 1.21 crore to Rs 80.07 lakh. The company reports one operating segment, Software and Services.

ABM Knowledgeware’s net profit was Rs 2.78 crore, down from Rs 3.01 crore a year earlier, while profit before tax declined to Rs 3.92 crore from Rs 4.40 crore. Basic and diluted earnings per share, which were not annualised, decreased to Rs 1.39 from Rs 1.50. No exceptional items were reported in either September-quarter comparison.

Why did ABM Knowledgeware’s September-quarter profit fall?

ABM Knowledgeware’s total expenses increased 28.3% year on year to Rs 22.09 crore, exceeding the 23.5% growth in revenue from operations. Operating expenses rose to Rs 5.73 crore from Rs 1.47 crore, while employee-benefit expenses increased to Rs 14.81 crore from Rs 13.64 crore. Those two cost lines accounted for most of the rise in quarterly expenses.

ABM Knowledgeware also reported depreciation and amortisation expense of Rs 31.97 lakh, compared with Rs 29.10 lakh, and finance costs of Rs 9.14 lakh, compared with Rs 8.22 lakh. These increases were partly offset by lower travelling and conveyance expense of Rs 12.66 lakh versus Rs 30.46 lakh, and other expenses of Rs 89.05 lakh versus Rs 129.80 lakh.

ABM Knowledgeware’s tax expense fell to Rs 1.14 crore from Rs 1.39 crore, moderating the decline between profit before tax and net profit. Current tax was Rs 99.20 lakh and deferred tax was Rs 14.69 lakh in the September 2026 quarter. In the year-earlier quarter, current tax was Rs 1.39 crore and deferred tax was a credit of Rs 24,000.

How did ABM Knowledgeware’s September quarter compare with June?

ABM Knowledgeware’s revenue from operations rose 22.1% sequentially from Rs 20.64 crore in the quarter ended June 30, 2026, to Rs 25.21 crore in the September quarter. Total income rose by 12.9% from Rs 23.04 crore because other income fell sharply from Rs 2.39 crore in June to Rs 80.07 lakh in September.

ABM Knowledgeware’s net profit declined 9.1% sequentially from Rs 3.06 crore to Rs 2.78 crore, despite the increase in revenue. Operating expenses increased from Rs 3.21 crore to Rs 5.73 crore and employee-benefit expense rose from Rs 13.67 crore to Rs 14.81 crore. Profit before tax fell from Rs 4.06 crore to Rs 3.92 crore.

ABM Knowledgeware’s September-quarter tax charge was Rs 1.14 crore, compared with Rs 1.00 crore in the June quarter. Basic and diluted earnings per share declined from Rs 1.53 to Rs 1.39. Paid-up equity share capital was unchanged across the two quarters in the standalone results statement.

What do ABM Knowledgeware’s half-year results and cash flows show?

ABM Knowledgeware reported revenue from operations of Rs 45.85 crore for the half year ended September 30, 2026, compared with Rs 40.57 crore in the corresponding 2025 period. Net profit declined to Rs 5.84 crore from Rs 7.21 crore, while profit before tax fell to Rs 7.98 crore from Rs 9.62 crore. Half-year total expenses rose to Rs 41.07 crore from Rs 34.83 crore.

ABM Knowledgeware generated net cash from operating activities of Rs 7.02 crore during the September 2026 half year, compared with net cash used of Rs 10.78 crore in the prior-year period. Cash generated from operations was Rs 9.41 crore before direct taxes paid of Rs 2.39 crore. The cash-flow statement recorded a Rs 6.93 crore decrease in trade receivables, against a Rs 1.61 crore increase in the previous year.

ABM Knowledgeware used Rs 4.19 crore in investing activities, compared with Rs 8.08 crore generated in the prior-year half year. It invested Rs 4.22 crore in an associate and reported investment purchases of Rs 29.92 crore against sale proceeds of Rs 30.02 crore. Financing activities used Rs 2.61 crore, including Rs 2.50 crore of dividend payments, leaving cash and cash equivalents at Rs 3.18 crore on September 30, 2026.

What changed in ABM Knowledgeware’s standalone balance sheet?

ABM Knowledgeware’s total assets were Rs 279.02 crore on September 30, 2026, compared with Rs 279.18 crore on March 31, 2026. Current assets declined to Rs 173.95 crore from Rs 178.62 crore, while non-current assets rose to Rs 105.07 crore from Rs 100.56 crore. Current investments increased to Rs 75.23 crore from Rs 73.67 crore.

ABM Knowledgeware’s trade receivables declined to Rs 49.73 crore from Rs 57.42 crore over the six months. Bank balances other than cash and cash equivalents increased to Rs 9.33 crore from Rs 93.83 lakh. The movements are consistent with the half-year cash-flow statement, which showed a Rs 6.93 crore reduction in trade receivables.

ABM Knowledgeware’s total equity increased to Rs 249.17 crore from Rs 245.83 crore, with other equity at Rs 238.92 crore compared with Rs 235.59 crore at March 31, 2026. Current liabilities fell to Rs 18.35 crore from Rs 22.31 crore, while non-current liabilities rose to Rs 11.51 crore from Rs 11.04 crore. The board approved the unaudited standalone results on November 6, 2026, and the statutory auditors performed a limited review.

Conclusion

ABM Knowledgeware increased standalone September-quarter revenue to Rs 25.21 crore, but its 28.3% increase in total expenses outpaced revenue growth and reduced net profit to Rs 2.78 crore. The same pattern appeared in the half year ended September 30, 2026, when revenue rose to Rs 45.85 crore while net profit declined to Rs 5.84 crore.

The filing discloses no forward revenue target, cost plan or scheduled corporate event beyond the results approved on November 6, 2026. The next reported results will show whether operating expenses, which reached Rs 5.73 crore in the September quarter, and employee-benefit expenses of Rs 14.81 crore move in line with revenue, while receivables remain below the September 30 balance of Rs 49.73 crore.