IDFC Ltd posts 1392% net profit growth in Q3, Board declares dividend of ₹11
1 min read . Updated: 04 Feb 2023, 07:16 PM IST
Premium- With a market valuation of ₹14,175.86 Cr, IDFC Ltd. is a mid-size business that operates in the financial services industry.
With a market valuation of ₹14,175.86 Cr, IDFC Ltd. is a mid-size business that operates in the financial services industry. The company has announced its Q3 earnings and a dividend of Rs. 11 per share. IDFC is a significant financial organisation in India, offering services such as infrastructure financing, infrastructure development, investment banking, and much more.
IDFC has said in a stock exchange filing that its Board of Directors “has considered and declared a Special Interim Dividend of 110% i.e. Rs. 11 per equity share of the Company. Total amount of dividend payout would be appx. Rs. 1,760/- crores. Please note that the Special Interim Dividend, shall be payable to all those equity shareholders, whose names appear in the Register of Members of the Company as at close of day on February 13, 2023, being the record date for the purpose of the aforesaid Special Interim Dividend."
IDFC said this is the largest dividend per share ever declared and the government of India, which is IDFC's largest shareholder, will receive ₹287 crore as this special interim dividend.
In Q3FY23, the company posted a net income of ₹29.71 Cr in Q3FY23 as compared to ₹53.75 Cr posted in Q3FY22, representing a fall of 44% YoY on a consolidated basis. IDFC said a net profit of ₹272.05 Cr was achieved in Q3FY23, against ₹18.23 Cr posted in the quarter ended December 2021, representing a gain of 1392.32% YoY. From Rs. 0.11 in December 2021 to Rs. 1.70 in December 2022, IDFC EPS has improved.
Recently, IDFC announced that the asset sales and asset consolidation phase of the restructuring plan had reached its conclusion. The Board gave its in-principle approval for an acquisition of about ₹2200 crore in IDFC FIRST Bank, increasing its equity position from the present 36.38% to as much as 40%.
Commenting on the progress, Mr. Anil Singhvi, Chairman of IDFC Limited, said: "We have completed the last step of corporate simplification by selling our Mutual Fund business to Bandhan Consortium for ₹4500 crore".
The shares of IDFC Limited closed on Friday on the NSE at ₹88.65 apiece level, down by 0.28% from the previous close of ₹88.90.
