Infosys declares final dividend of ₹20, special dividend of ₹8; sets record date

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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India’s second-largest software exporter Infosys on Thursday, April 18, announced a final dividend of ₹20 per share for the financial year 2023-24. The IT major has also announced a special dividend of ₹8 per equity share.

Along with ₹35.5 per share dividend announced earlier, the total Infosys dividend for FY24 stood at ₹63.5 per share.

The record date for the payment of the final and special dividends has been fixed as May 31, 2024. The dividend will be paid on July 1, 2024, the company said in a filing.

The Infosys board approved the dividend proposal while announcing the IT giant’s March quarter (Q4FY24) results.

Before this, Infosys declared an interim dividend of ₹18 per share on October 25, 2023, followed by a ₹17.5 final dividend on June 2023.

Shares of Infosys will likely trade ex-dividend on the day or a day before the record date. When a company goes ex-dividend on a particular date, its stock does not carry the value of the next dividend payment.

An ex-dividend date also dictates which shareholders are eligible to receive the dividend payment.

Infosys Q4 results

Infosys reported a net profit of ₹7,975 crore for the quarter, which was higher by 30% compared to the December quarter, and also higher than the CNBC-TV18 poll estimate of ₹6,180 crore.

The IT giant expects revenue growth for the financial year 2025 to be between 1% and 3%. According to a CNBC-TV18 poll of analysts, the company was expected to guide for revenue growth to be between 2% and 6% for the current financial year.

Infosys reported a US Dollar revenue decline of 2.1% in constant currency terms. This was lower than the 0.3% decline that the CNBC-TV18 poll had projected. In constant currency terms, the company’s revenue declined by 2.2% sequentially, better than the 0.5% decline projected in the analyst survey.

The IT major reported US Dollar revenue of $4,564 million, compared to a CNBC-TV18 poll of $4,650 million.

This is the second consecutive quarterly decline in revenue for Infosys, after the 1% drop in the December quarter.

In Rupee terms, revenue for the quarter stood at ₹37,923 crore, which was lower by 2.3% sequentially, and lower than the ₹38,640 crore estimate.

EBIT margin narrowed by 40 basis points to 20.1% from 20.5% in the December quarter and 60 basis points lower than the CNBC-TV18 poll of 20.7%.

The result was announced after market hours and Infosys shares on Thursday ended at ₹1,429.50 on the NSE, up by ₹15.05 or 1.06%.

After falling about 8% so far this year, the stock is now at an important support level but the underlying trend remains bearish. The stock has an important support at ₹1,350 and resistance at ₹1,500. Heavy short positioning ahead of results, with OI up 16% and stock down 2% this expiry, according to domestic brokerage Emkay Global.

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KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow