LTI Mindtree Approves Rs 40/share Dividend, Stock Price Rallies 40 Points

Larsen & Toubro's IT Service & Consulting subsidiary, LTI Mindtree recommended and approved a final dividend of Rs 40 per equity share for the financial year ended March 31, 2023. The stock price of the company has rallied by nearly 40 points or 0.72% after it announced its quarterly figures the previous day.

LTIMindtree on Thursday posted a 0.5 per cent year-on-year rise in consolidated net profit to about Rs 1,114 crore for the March 2023 quarter. Seen sequentially, the net profit grew 11.3 per cent over the December quarter.

Chief Executive Officer and Managing Director Debashis Chatterjee of LTIMindtree said, "We are pleased to report a strong FY23, with a broad-based full year revenue growth of 19.9% in constant currency."

The revenue from operations for the just-ended quarter stood at Rs 8,691 crore, which translated into growth of 21.9 per cent year-on-year and 0.8 per cent quarter-on-quarter. For the year ended March 31, 2023, the net profit at Rs 4,410.3 crore, represented a growth of 11.7 per cent. LTIMindtree registered 27.1 per cent year-on-year growth in revenue from operations to Rs 33,183 crore for the full fiscal.

In terms of order book Chaterjee said, "Our order inflow for the quarter came in at USD 1.35 billion, helping us close the full-year order inflow at USD 4.87 billion. The company added 31 new clients in Q4 and increased its count of USD 50 million plus customers. "Our full-year operating margin was at 16.2 per cent and the basic EPS (earnings per share) was at Rs 149.1. Client requirements have changed over the last quarter, and we are now meeting the new requirements to deliver cost savings, which are being directed to fund in-flight transformation programmes,"

Chatterjee said the revenue growth was broad-based. "This industry-leading performance positions us well to deliver continued profitable growth in FY24. As we move to unified systems & processes, we are ready to exploit the synergies. Our Q4 revenue came in at a healthy USD 1.06 billion - up 13.5% year-over-year in constant currency and 11.9% in reported USD terms. ".

The employee headcount of the company was at 84,546 as of March 31, 2023 and the trailing 12 months attrition was 20.2%.

Dividend details

During the board of directors meeting held on April, 27, 2023, a final dividend of Rs 40 per equity share of face value Re 1 each was recommended for the financial year 2022-2023. The Record date for the purpose of determining shareholders eligible to receive dividend and the date of the AGM, shall be intimated in due course was intimated.

Share price movement

The latest market price of LTI Mindtree stock has rallied up by nearly 40 points to Rs 4351.25 per share over previous day's closing. Its 52-week high is at Rs 5,360.65 per share and52-week lows is at Rs 3,733.25 per share. In last one year the share price has plunged by nearly 10.18 per cent while in over three years it has surged massively by 174.3 per cent.