Shares of this IT stock under the ‘small-cap’ category hit the 20 percent upper circuit in Wednesday’s trading session after the company announced signing a deal with Korean Air to accelerate its tech transformation. In the past year, the company’s stock gained nearly 52 percent for its holders.
With a market capitalization of Rs 1,210.47 crores, the stocks of Ramco Systems Limited started their trading session on Wednesday at Rs 307.25 and currently are locked in the 20 percent upper circuit recorded at Rs 341.75. The company’s stock is inching closer to its 52-week high price of Rs 356.65 apiece.
Such sharp movements in the company’s share price were observed after the company, through a recent regulatory filing with the Bombay Stock Exchange (BSE), intimated about signing a multi-million-dollar deal with ‘Korean Air’, a flag carrier of South Korea and its largest airline.
The deal pertains to the implementation of “Ramco Aviation Suite”, Ramco’s flagship aviation software, at Korean Air’s Engine Maintenance Center. The company’s software will aid in streamlining operations across current engine shops by replacing multiple legacy systems.
In addition, the airline’s maintenance center will also benefit from digital enablers such as HUBs, dashboards, anywhere apps, and other integrations to the ecosystem offerings.
“We are thrilled to join forces with Korean Air and support them in their expansion journey to emerge as the leading MRO provider, globally. We look forward to empowering Korean Air to deliver unparalleled safety and service excellence to their valued customers.”, commented Mr. Sundar Subramanian, CEO, Ramco Systems.
During the recent financial quarters, the company’s basic business parameters, viz, its operating revenues as well as after-tax profits, showed positive movements with the former increasing marginally from Rs 127 crores during Q2FY24 to Rs 128 crores during Q3FY24, and the latter, during the same period, reducing its losses drastically from Rs 146 crores to Rs 26 crores.
Ramco Systems Limited is engaged in developing software and software-related products for human capital management, payroll, maintenance & overhaul providers in the Aviation
industry, etc. It develops software through ‘Ramco VirtualWorks’ – an enterprise application assembly and delivery platform and ‘Ramco DecisionWorks’ for analytics/reporting.
Written by Amit Madnani
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