Rs 17/share dividend and FIIs & DIIs increase stake: LTTS announces stellar quarterly and half-yearly results!

The stock gave multibagger returns of over 150 per cent in 3 years.

L&T Technology Services Ltd (LTTS) is an engineering services provider that offers ER&D and digitalization solutions to companies in a variety of industries, including transportation, industrial products, telecom and hi-tech, medical devices, and plant engineering. It has a customer base that includes 69 Fortune 500 companies and 53 of the world's top ER&D companies. The company also provides digital engineering advisory services and has 296 global clients in 25+ countries.

Quarterly Results: The net sales increased by 4.59 per cent to Rs 2,386.50 crore, operating profit increased by 8.59 per cent to Rs 516.80 crore and net profit increased by 5.09 per cent to Rs 315.90 crore in Q2FY24 compared to Q2FY23.

Half-yearly Results: The net sales increased by 21.17 per cent to Rs 4,687.90 crore, operating profit increased by 12.19 per cent to Rs 1,017.13 crore and net profit increased by 12.5 per cent to Rs 628 crore in H1FY24 compared to H1FY23.

Annual Results: The net sales increased by 21.98 per cent to Rs 8,013.60 crore, operating profit increased by 22.42 per cent to Rs 1,918.70 crore and net profit increased by 22.23 per cent to Rs 1,174.10 crore in FY23 compared to FY22.

dividend Updates: The company announced a Rs 17 per share interim dividend for a face value of Rs 2 each for the fiscal year 2024. The company fixed the record date as October 27, 2023.

On Monday, shares of LTTS plunged 1.11 per cent to Rs 4,262.85 per share with an intraday high of Rs 4,355 and an intraday low of Rs 4,256. The stock gave multibagger returns of over 150 per cent in 3 years.

The shares of the company have an ROE of 25 per cent and an ROCE of 32.6 per cent. The company has been maintaining a healthy dividend payout of 38 per cent. In the September quarter, FIIs have increased their stake from 5.31 per cent to 5.86 per cent and DIIs have increased their stake from 10.37 per cent to 10.77 per cent.

 In 6 months, the scrip has given 26 per cent returns backed by strong fundamentals, impressive clientele and capabilities across segments exhibiting a bright outlook. This is supported by strong tailwinds in terms of multiple strong deals across all 5 segments in addition the company is well positioned to play next-generation communications space through investments in Artificial Intelligence (AI). Investors should keep an eye on this multibagger IT stock.

Disclaimer: The article is for informational purposes only and not investment advice.