Systems Limited reported a 9% year-on-year increase in profit after tax for the third quarter ended September 2026, supported by strong revenue growth in key international markets and contributions from its Confiz acquisition, according to a report by AKD Research.

The company posted profit after tax of Rs3.0 billion, translating into earnings per share (EPS) of Rs2.0, compared with Rs2.8 billion and EPS of Rs1.8 in the corresponding period last year.

According to AKD Research, the company’s revenue surged 29 percent year-on-year to Rs26.8 billion in 3QCY26 from Rs20.7 billion in the same period last year. The research house attributed the growth to strong business expansion across major markets, including Europe, North America, Asia Pacific (APAC), the Middle East and Pakistan.

AKD Research noted that revenue growth in North America was primarily driven by the integration of Confiz, while the sharp increase in European earnings benefited from a comparatively lower base in the corresponding period last year.

The research house maintained its “Buy” recommendation on the stock with a December 2026 discounted cash flow-based target price of Rs277 per share. AKD Research said its positive view of the company is supported by rising IT exports, expected gross margin improvement from consolidation benefits, a strong presence in the Middle East and North Africa (MENA) region, and the company’s strategic focus on mergers and acquisitions.

Pakistan’s IT sector continues to attract investor attention as export revenues grow and demand for technology services rises in regional and global markets, with leading listed firms expanding their international footprint through acquisitions and diversified service offerings.