New Delhi, September 12 (HS): Software development firm Austere Systems delivered a stellar debut on the stock exchanges today, delighting its IPO investors. The company’s shares, issued at Rs 55 apiece in its initial public offering, listed at Rs 75.55 on the BSE SME platform—reflecting a premium of 37.36 percent. Soon after listing, strong buying momentum pushed the stock to its upper circuit level of Rs 78.50, giving IPO investors a first-day gain of 42.72 percent.

Austere Systems’ Rs 15.17 crore IPO, which opened for subscription between September 3 and 9, witnessed overwhelming demand from investors. The issue was oversubscribed by an exceptional 1,076.99 times overall. Within the categories, the Qualified Institutional Buyers’ (QIBs) quota was subscribed 236.50 times, Non-Institutional Investors (NIIs) subscribed 2,149.19 times, and Retail Investors subscribed 1,090.81 times. Under the IPO, the company issued 28.30 lakh fresh shares of face value Rs 10 each. Proceeds from the issue will be utilized to meet its working capital requirements and for general corporate purposes.

Financial Performance

According to disclosures in the company’s prospectus, Austere Systems’ financial performance has shown fluctuations in recent years. In FY 2022-23, the company posted a net profit of Rs 1.77 crore, which rose sharply to Rs 4.15 crore in FY 2023-24. However, profits dipped slightly in FY 2024-25 to Rs 4.01 crore.

The company’s revenue has maintained steady growth, registering a compound annual growth rate (CAGR) of over 10 percent, reaching Rs 18.86 crore in FY 2024-25. Debt levels, meanwhile, have recorded variations: from Rs 79 lakh at the end of FY 2022-23, it declined to Rs 44 lakh by March 2024, before rising marginally to Rs 46 lakh in FY 2025.

Reserves and surplus also saw notable changes. These stood at Rs 4.84 crore at the end of FY 2022-23, jumped to Rs 8.99 crore by March 2024, but slipped again to Rs 8.62 crore by the close of FY 2024-25.

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Hindusthan Samachar / Jun Sarkar