Tech Mahindra, a leading player in the IT sector, announced a substantial interim dividend for investors on Saturday, October 19, 2024. This dividend payout was approved alongside the company’s Q2 FY25 results, which exceeded expectations. Tech Mahindra will distribute dividends of Rs 15 per share, representing 300% of the face value of Rs 5 each.
For this upcoming dividend, Tech Mahindra has set Friday, November 1, 2024, as the record date to determine the eligible shareholders. The interim dividend will be paid through permitted modes by November 17, 2024, to the equity shareholders whose names appear in the Register of Members or the list of beneficial owners at the end of business hours on the record date.
In FY24, Tech Mahindra distributed dividends totaling 800% or Rs 40 per share. Currently, the company boasts a dividend yield of 2.37%. Since March 2007, Tech Mahindra has declared a total of 27 dividends, with a payout of approximately Rs 40 per share in the last 12 months. The company has also conducted one bonus issue at a 1:1 ratio and a stock split at a 1:2 ratio in March 2015.
Regarding its financial performance, Tech Mahindra reported a consolidated net profit surge of 153.1% year-on-year, reaching Rs 1,250 crore during Q2 FY25, and a sequential increase of 46.8%. In dollar terms, revenue was $1,589 million, reflecting a 2.2% year-on-year growth and 1.9% quarter-on-quarter growth. Revenue in constant currency terms grew by 0.7% quarter-on-quarter and 1.2% year-on-year.
As of the latest data from the Bombay Stock Exchange (BSE), Tech Mahindra’s share price was Rs 1,688, down 0.7%, with a market capitalization of Rs 1,65,145.40 crore. The company has a price-to-earnings ratio of 75.27x and a return on equity of 9.47%. The stock’s 52-week range is between Rs 1,089 and Rs 1,709. Year-to-date, Tech Mahindra shares have risen by 30%.
Disclaimer: This content is for informational purposes only and should not be considered financial advice. The performance and future prospects of Tech Mahindra or any other investment mentioned herein are subject to market risks and uncertainties. Past performance is not indicative of future results. Always consult with a qualified financial advisor before making any investment decisions.
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