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Systems Limited has reported a net profit of Rs. 2,651 million in the second quarter of 2025 after tax. This figure records an increase of 59 percent against the previous quarter of the previous year.
The company said higher technology services exports and stronger gross margins drove earnings. Gross margin expanded to about 25.4 percent in the quarter. Management pointed to better billing rates and productivity gains as key factors behind the margin improvement.
For the first half of 2025, the group reported consolidated earnings of Rs. 5,152 million. Net sales for the period rose to Rs. 36,739 million with an 18 percent increase year on year. Quarterly sales also grew by 18 percent to roughly Rs. 18.6 billion.
Segment growth remained broad-based. Telecommunications services led revenue gains with growth of 32 percent year on year. Banking, financial services, and insurance posted 21 percent growth. Technology solutions grew by 8 percent. At the same time, the company said its technology and retail lines delivered the highest profitability.
Operating costs rose as administrative expenses increased by 41 percent compared with the prior year quarter. Finance costs fell by 45 percent, which the company linked to lower interest rates. Effective taxation in the quarter was around 11 percent. Investors will watch how the firm converts the current momentum into full-year performance.
