Understanding Shariah Compliance in IPOs and Stocks:
Investing wisely is essential for both financial growth and ethical alignment. For those interested in making investments that comply with Islamic law, understanding the Shariah status of Initial Public Offerings (IPOs) and stocks is crucial. This article aims to provide insights into the Shariah compliance of Austere Systems Ltd, ensuring that your investment choices are not only profitable but also ethical.
Table of Contents
Analyzing The Company
Company Name: Austere Systems Ltd
Industry: Computers – Software & Consulting
Listing At: BSE SME
Overview:
About Austere Systems
Austere Systems is a company that focuses on delivering precise, high-quality, and satisfying solutions to its clients. The company has a dedicated team of over 200 experienced employees. These team members specialize in several areas, including Data Analytics, customized ERP solutions, website and mobile app development, design services, and L1/L2 support.
Since its founding in 2013, the company has delivered more than 100 projects to various small and large businesses. Austere Systems is known for its fast, personalized, and affordable web-based solutions. They work on projects of all sizes and use a flexible model to ensure a stable partnership with their clients. Their team of developers has deep knowledge of the technologies they work with.
Who They Are
The company, originally named Austere Technology in 2013, has grown significantly over the years. Its current success as Austere Systems is a result of the work of its talented designers, skilled engineers and developers, and business development team.
With clients located all around the world, Austere Systems has made a global impact through its products and services. The company has a team of over 200 highly qualified professionals and has maintained a 100% annual growth rate. This growth is a direct result of the high standards they maintain in their project delivery. In just seven years, they have successfully completed more than 100 projects for clients worldwide.
Their Vision, Mission, and Values
Austere Systems’ vision is “Innovation by Invention.” This means they aim to solve their clients’ problems by implementing new, innovative methods and creating unique solutions.
Their mission is to partner with all their clients, regardless of the size of their business or revenue. The goal is to optimize situational awareness, security, decision-making, and efficiency for their clients’ most important operations by providing innovative and integrated solutions.
The company’s core values are a commitment to their clients, a deep understanding of their clients’ businesses, and valuing team accomplishments and integrity in all their work.
Shariah Status
The IPO is Under Review, please see below image.
IPO Timeline (Tentative Schedule)
- IPO Open Date: Monday, September 3, 2025
- IPO Close Date: Wednesday, September 8, 2025
- Tentative Allotment: Thursday, September 9, 2025
- Initiation of Refunds: Monday, September 9, 2025
- Credit of Shares to Demat: Monday, September 10, 2025
- Tentative Listing Date: Tuesday, September 11, 2025
- Cut-off time for UPI mandate confirmation: 5 PM on September 8, 2025
Lot Size
| Application | Lots | Shares | Amount |
| Individual investors (Retail) (Min) | 2 | 4,000 | ₹2,20,000 |
| Individual investors (Retail) (Max) | 2 | 4,000 | ₹2,20,000 |
| S-HNI (Min) | 3 | 6,000 | ₹3,30,000 |
| S-HNI (Max) | 9 | 18,000 | ₹9,90,000 |
| B-HNI (Min) | 10 | 20,000 | ₹11,00,000 |
Financials
Austere Systems Ltd.’s financial performance shows mixed results for the period ending March 31, 2025. The company’s total income saw a small increase of about 1%, rising from ₹18.66 crore in 2024 to ₹18.86 crore in 2025. However, its profit after tax (PAT) slightly dropped by 3%, from ₹4.15 crore to ₹4.01 crore.
Despite this dip in profit, the company’s overall financial health has improved significantly over the past three years. Assets more than doubled, jumping from ₹8.60 crore in 2023 to ₹18.63 crore in 2025. Similarly, the company’s net worth grew substantially, from ₹4.85 crore in 2023 to ₹16.27 crore in 2025, indicating strong growth and stability. The company has maintained low and steady total borrowing.
KPI
| KPI | Values |
| ROE | 31.76% |
| ROCE | 33.12% |
| Debt/Equity | 0.03 |
| RoNW | 24.66% |
| PAT Margin | 21.55% |
| EBITDA Margin | 32.06% |
| Price to Book Value | 2.58 |
LINKS
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SEBI Disclaimer
Investing in IPOs involves risks. Please read the offer document carefully before investing. This article is for informational purposes only and does not constitute financial advice. Investors should consult their financial advisors before making any investment decisions.