Infosys dividend FY18: India's second-largest IT company Infosys Ltd announced the financial results for the quarter and the fiscal year ended 31 March 2018 on Friday being the first Nifty company to announce the corporate earnings.
Infosys dividend FY18: India’s second-largest IT company Infosys Ltd announced the financial results for the quarter and the fiscal year ended 31 March 2018 on Friday being the first Nifty company to announce the corporate earnings. In the earnings release, the Bengaluru-based Infosys Ltd declared a dividend payout of Rs 20.5 per equity share of face value of Rs 5. “For the financial year 2018, the board recommended a final dividend of Rs 20.5 per share ($0.31 per ADR) amounting to Rs 5,349 crore ($821 million) including DDT,” Infosys said in a press release. Ahead of the earnings release, shares of Infosys ended up 0.58% at Rs 1169 on BSE today.
“After including the interim dividend of Rs 13 per share, the total dividend for Financial Year 2018 will amount to Rs 33.5 per share resulting in a payout of Rs 8,771 crore ($1,349 million) including DDT, which will amount to approximately 70% of free cash flow for the Financial Year 2018,” Infosys added. The total dividend of Rs 33.5 per share is approximately 30% higher than the total dividend of Rs 25.75 per share for Financial Year 2017, Infosys said further.
“The board appointed Kiran Mazumdar-Shaw, Independent Director as the Lead Independent Director of the board,” Infosys added in a statement.
“I am pleased with our healthy revenue growth, profitability, and cash generation in Q4. Our robust performance is a reflection of the strong impact we have with our clients and the dedication of our employees. ‘Navigating Your Next’ is our aspiration of how we will partner with each one of our clients,” said Salil Parekh, CEO, Infosys Ltd. “We will execute our strategy around the four pillars of scaling our agile digital business which is today US$2.79 billion in revenue, Energizing our client’s core technology landscape via AI and automation, re-skilling our employees, and expanding our localization in markets such as US, Europe, and Australia,” Salil Parekh added.
“Revenue productivity per employee was stable during the year as the benefits of automation and newer services kicked in. Employee utilization remained healthy,” said Pravin Rao, COO. “During the quarter, we provided highest level of variable payouts in several years. We will be rolling out compensation increases for a large part of our workforce effective April 1st.”
“Our operating margins during the quarter and fiscal 2018 were resilient due to unwavering focus on productivity and operational efficiency, leading to a robust cash generation. During the year, the company implemented the capital allocation policy including the successful closure of $2 billion share buyback program in December 2017 and healthy increase in dividend per share for the year,” said M.D. Ranganath, CFO. “Our margin guidance reflects our emphasis on digital-led growth and focused investments in this journey.”