DRC Systems India Ltd Reports Mixed FY26 Results

DRC Systems India Ltd has released its financial results for the fiscal year ending March 31, 2026, revealing a significant split in performance between its consolidated and standalone operations.

The company's consolidated results showed strong growth, with total revenue for FY26 climbing 48.38% year-over-year to ₹97.52 crore. Net profit for the full year increased by 28.17% to ₹19.32 crore. In the fourth quarter, consolidated revenue surged 65.75% from the previous year to ₹28.25 crore, with a consolidated net profit of ₹5.82 crore for the period.

However, the standalone entity faced profitability challenges. While standalone revenue grew 19.23% to ₹50.83 crore, net profit declined by 19.14% to ₹3.44 crore for FY26. This decrease in standalone profit was partly due to rising operational costs and one-time regulatory charges, including ₹78.9 lakh related to new labor codes.

DRC Systems' consolidated growth has been supported by strategic moves, notably its 49% stake acquisition in Skizzle Technolabs. This acquisition aims to tap into the growing HRMS and SaaS markets, diversifying the company's revenue streams beyond traditional IT services and digital transformation offerings. The company's statutory auditors provided an unmodified opinion on the reported financial figures.

Moving forward, DRC Systems will focus on integrating Skizzle Technolabs and enhancing operational efficiency within its core standalone business. Investors will be looking for improvements in standalone profitability and how the company leverages its HRMS focus for future growth.