R K SWAMY revenue rises 15%, September profit slips QoQ

R K SWAMY Limited reported consolidated revenue from operations of Rs 84.53 crore for the quarter ended September 30, 2026, up 15% from Rs 73.65 crore a year earlier, while profit for the period declined sequentially to Rs 1.11 crore from Rs 3.47 crore in the June 2026 quarter. Revenue grew across the year-on-year comparison, but profit and EBITDA fell from the preceding quarter.

How did R K SWAMY’s September-quarter revenue and profit change?

R K SWAMY’s revenue from operations increased by Rs 10.88 crore year on year to Rs 84.53 crore in the quarter ended September 30, 2026, from Rs 73.65 crore in the quarter ended September 30, 2025. Revenue was also Rs 0.92 crore above the Rs 83.62 crore reported in the June 2026 quarter.

Total income reached Rs 86.62 crore in the September 2026 quarter, compared with Rs 76.38 crore a year earlier and Rs 85.81 crore in June 2026. Other income was Rs 2.09 crore, below Rs 2.73 crore in the September 2025 quarter and Rs 2.19 crore in the preceding quarter.

Profit for the period rose to Rs 1.11 crore from Rs 0.54 crore in the September 2025 quarter, as profit before tax increased to Rs 3.95 crore from Rs 3.13 crore. However, profit was Rs 2.36 crore lower than the Rs 3.47 crore recorded in June 2026, when profit before tax was Rs 4.55 crore.

Why did R K SWAMY’s EBITDA decline despite higher revenue?

R K SWAMY’s earnings before interest, tax, depreciation and amortisation, or EBITDA, declined to Rs 10.31 crore in the September 2026 quarter from Rs 10.92 crore in June 2026. Total expenses rose by Rs 1.43 crore to Rs 76.31 crore sequentially, exceeding the Rs 0.81 crore increase in total income.

Operational expense increased to Rs 29.98 crore from Rs 27.12 crore in the June quarter, an increase of Rs 2.86 crore. Employee benefits expense fell by Rs 1.34 crore to Rs 28.72 crore, while other expenses were Rs 17.61 crore, compared with Rs 17.70 crore in June 2026.

Against the September 2025 quarter, EBITDA rose by Rs 1.64 crore from Rs 8.67 crore. Operational expense rose by Rs 8.26 crore year on year, while employee benefits expense declined by Rs 1.43 crore and other expenses increased by Rs 1.77 crore.

Finance costs were Rs 0.99 crore in the September 2026 quarter, against Rs 1.01 crore in June 2026 and Rs 0.88 crore a year earlier. Depreciation and amortisation were Rs 5.37 crore, nearly unchanged from Rs 5.37 crore in June but above Rs 4.67 crore in the September 2025 quarter.

What did R K SWAMY report for the first half and cash flow?

R K SWAMY reported revenue from operations of Rs 168.15 crore for the six months ended September 30, 2026, up from Rs 151.22 crore in the comparable 2025 period. Half-year EBITDA rose to Rs 21.23 crore from Rs 17.47 crore, while profit for the period increased to Rs 4.57 crore from Rs 3.41 crore.

Net cash used in operating activities was Rs 17.84 crore for the six months ended September 30, 2026, compared with net cash generated of Rs 2.53 crore a year earlier. The latest half-year cash flow included Rs 13.23 crore of income tax paid, a Rs 7.42 crore increase in trade receivables and a Rs 19.24 crore reduction in trade payables.

Cash and cash equivalents were Rs 18.28 crore at September 30, 2026, down from Rs 35.74 crore at March 31, 2026. Bank balances other than cash and cash equivalents declined to Rs 87.07 crore from Rs 100.13 crore, while trade receivables increased to Rs 134.14 crore from Rs 126.37 crore.

Total assets were Rs 400.01 crore at September 30, 2026, compared with Rs 427.90 crore at March 31, 2026. Total equity declined to Rs 258.25 crore from Rs 264.28 crore, while total liabilities decreased to Rs 141.76 crore from Rs 163.62 crore.

What are R K SWAMY’s disclosed IPO uses and pending matters?

R K SWAMY had Rs 42.85 crore of unutilised net proceeds from its 2024 initial public offering at September 30, 2026. Of that balance, Rs 18.81 crore was allocated to information-technology infrastructure development, Rs 13.05 crore to a new customer experience centre and computer-assisted telephone interviewing facility, and Rs 10.99 crore to a DVCP Studio.

The company had utilised Rs 113.48 crore of total net IPO proceeds of Rs 156.33 crore by September 30, 2026. It had fully used Rs 54.00 crore for working-capital requirements and Rs 36.26 crore for general corporate purposes under the disclosed objects of the issue.

R K SWAMY operates in one reportable segment, Integrated Marketing Services, and said that results are not evenly distributed through the year because of the nature of its business and past trends. The company also said the statutory auditors issued an unmodified review opinion on the unaudited results for the quarter and six months ended September 30, 2026.

The company recorded a Rs 3.07 crore exceptional item related to employee-benefit obligations in the year ended March 31, 2026 following its assessment of the New Labour Codes. R K SWAMY said it continues to monitor implications of the rules and any clarifications or additional guidance from authorities.

Conclusion

R K SWAMY’s September-quarter figures show revenue expansion in both the quarterly and half-year comparisons, with quarterly revenue reaching Rs 84.53 crore and six-month revenue reaching Rs 168.15 crore. The September quarter also showed a different sequential pattern, as EBITDA fell to Rs 10.31 crore and profit declined to Rs 1.11 crore despite higher revenue than in June 2026.

The next disclosed matters to watch are the use of Rs 42.85 crore of remaining IPO proceeds for the DVCP Studio, IT infrastructure, and customer experience and telephone interviewing facilities. R K SWAMY is also monitoring the accounting implications of the New Labour Codes after the Rs 3.07 crore exceptional item recorded in the year ended March 31, 2026.