Mastek, Persistent Systems and Coforge are three IT firms, whose boards will consider proposals of dividend payments this week, along with their companies’ quarterly results. Newgen Software Technologies, Oracle Financial Services Software, Mphasis and L&T Technology Services are a few IT firms that are scheduled to report quarterly earnings this week, but dividends are not a part of their agendas, BSE filing by the companies suggest.
Among IT companies, Mastek board will consider the payment of an interim dividend for FY23 on Tuesday. The company board would hold an earnings conference call on Tuesday at 5 pm IST, where , discuss the financial results and business outlook of the firm.
In the case of Persistent Systems, the company had set record date for interim dividend as January 27, subject to the approval by the board of directors at its meeting to be held on Wednesday, January 18, 2023. This company will hold investor call on Thursday, January 19, at 5 pm IST.
“During this call, the management will comment on the financial results for the quarter and period ended December 31, 2022, as well as on the business outlook. Details of the investor/ analyst call will be published on the company’s website in due course,” Persistent Systems said in a BSE filing.
In the case of Coforge, the board of directors will be considering the proposal of the payment of third Interim dividend, if any, for the FY23 on Friday and will also determine the record date for the purpose of the third interim dividend, if approved.
“We would also like to inform that a conference call with analysts and institutional investors will be scheduled after the Board meeting (tentatively at 8:30 A.M. India Standard Time on January 20, 2023) and further details of the same will be disclosed on the website of the company, and transcript of the same shall be shared with the stock exchanges in due course,” the company said.
Emkay Global expects expect 2.7 per cent QoQ dollar revenue growth for Persistent Systems, with cross-currency headwinds of 30 basis points. It expects EBIT margin to expand 20 basis points sequentially on account of rupee depreciation. It sees profit to rise 33.7 per cent YoY (7.2 per cent QoQ) to Rs 235.80 crore on 44.8 per cent (5.4 per cent QoQ) rise in sales at Rs 2,160 crore. Ebitda margin is seen at 18.1 per cent against 18 per cent in September and 16.8 per cent in the year-ago quarter.
In the case of Mastek, Sharekhan expects the IT firm to report profit at Rs 68 crore, down 8 per cent YoY. It sees sales at Rs 663 crore, up 20.1 per cent YoY. Operating profit margin is seen at 17 per cent against 21.1 per cent YoY. “The company is expected to report 3.8 per cent QoQ CC revenue growth offset by 30 bps cross currency impact. EBIT margins to decline by 17 bps QoQ,” it said.
In the case of Coforge, Sharekhan expects strong CC revenue growth of 4.4 per cent QoQ with a 60 bps cross currency tailwind resulting in higher reported dollar revenue growth of 4.8 per cent QoQ.
“EBIT margins may improve 143 bps QoQ given benefit of higher offshoring, lower subcontracting expenses, and higher billable freshers in addition to the weaker rupee,” it said while pegging profit for the IT firm at Rs 240 crore, up 30.7 per cent YoY.
Also read: HDFC Bank shares extend gains on strong Q3 results; LKP Securities sees 17% upside
Also read: Avenue Supermarts shares at Rs 3,654 or Rs 4,675? Here’s what brokerages say