Ramco Systems hits 52-week low on weak Q1 earnings

The stock plunged 16% to Rs 549 after the company posted 69% YoY decline in profit at Rs 90 lakh in Q1FY17.

Ramco Systems has fallen to its 52-week low of Rs 549, plunging 16% on the BSE in intra-day trade, after the company reported a sharp 69% year-on-year (YoY) decline in consolidated net profit at Rs 90 lakh for the quarter ended June 30, 2016 (Q1FY17). The company had registered a profit of Rs 2.90 crore in the same quarter last year.

Total income from operations during the quarter under review was up 7.8% at Rs 111 crore on YoY basis.

The revenue showed a growth of 6% YoY on constant currency. This quarter, the bottom line got moderated due to the adoption of Indian Accounting Standards (Ind AS), Ramco Systems said in a press release.

The company’s EBIDTA (earnings before interest, taxes, depreciation and amortization) margins declined to 13.53% in Q1FY17 from 17.71% in previous year quarter.

At 01:37 pm, the stock was down 15% at Rs 556 on the BSE, as compared to 0.01% decline in the S&P BSE Sensex. A combined 133,017 shares changed hands on the BSE and NSE.