New Risk • Jun 19
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Indian stocks, typically moving 8.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 13% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (8.6% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.1% net profit margin). Upcoming Dividend • Jun 02
Upcoming dividend of ₹1.00 per share Eligible shareholders must have bought the stock before 09 June 2026. Payment date: 24 July 2026. Payout ratio is a comfortable 69% but the company is not cash flow positive. Trailing yield: 0.1%. Lower than top quartile of Indian dividend payers (1.5%). Lower than average of industry peers (0.3%). Announcement • May 22
Nelco Limited, Annual General Meeting, Jun 24, 2026 Nelco Limited, Annual General Meeting, Jun 24, 2026, at 15:30 Indian Standard Time. Declared Dividend • May 13
Dividend of ₹1.00 announced Dividend of ₹1.00 is the same as last year. Ex-date: 9th June 2026 Payment date: 1st January 1970 Dividend yield will be 0.1%, which is lower than the industry average of 0.4%. Sustainability & Growth Dividend is covered by earnings (69% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 76 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to decline by 23% to shift the payout ratio to a potentially unsustainable range, which is similar to the EPS decline seen over the last 5 years. Reported Earnings • Apr 21
Full year 2026 earnings released: EPS: ₹1.46 (vs ₹4.18 in FY 2025) Full year 2026 results: EPS: ₹1.46 (down from ₹4.18 in FY 2025). Revenue: ₹3.11b (up 2.0% from FY 2025). Net income: ₹33.2m (down 65% from FY 2025). Profit margin: 1.1% (down from 3.1% in FY 2025). Over the last 3 years on average, earnings per share has fallen by 52% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Announcement • Apr 14
Nelco Limited to Report Q4, 2026 Results on Apr 20, 2026 Nelco Limited announced that they will report Q4, 2026 results on Apr 20, 2026 Reported Earnings • Jan 16
Third quarter 2026 earnings released Third quarter 2026 results: Revenue: ₹788.8m (down 3.7% from 3Q 2025). Net loss: ₹11.9m (down 124% from profit in 3Q 2025). Over the last 3 years on average, earnings per share has fallen by 29% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Jan 09
Nelco Limited to Report Q3, 2026 Results on Jan 15, 2026 Nelco Limited announced that they will report Q3, 2026 results at 12:15 PM, Indian Standard Time on Jan 15, 2026 Reported Earnings • Oct 19
Second quarter 2026 earnings released: EPS: ₹0.71 (vs ₹1.80 in 2Q 2025) Second quarter 2026 results: EPS: ₹0.71 (down from ₹1.80 in 2Q 2025). Revenue: ₹756.1m (down 8.4% from 2Q 2025). Net income: ₹16.2m (down 61% from 2Q 2025). Profit margin: 2.1% (down from 5.0% in 2Q 2025). Over the last 3 years on average, earnings per share has fallen by 22% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Oct 13
Nelco Limited to Report Q2, 2026 Results on Oct 17, 2025 Nelco Limited announced that they will report Q2, 2026 results on Oct 17, 2025 Reported Earnings • Jul 17
First quarter 2026 earnings released: EPS: ₹0.79 (vs ₹2.00 in 1Q 2025) First quarter 2026 results: EPS: ₹0.79 (down from ₹2.00 in 1Q 2025). Revenue: ₹750.1m (up 1.3% from 1Q 2025). Net income: ₹18.0m (down 61% from 1Q 2025). Profit margin: 2.4% (down from 6.2% in 1Q 2025). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Announcement • Jul 08
Nelco Limited to Report Q1, 2026 Results on Jul 14, 2025 Nelco Limited announced that they will report Q1, 2026 results at 12:15 PM, Indian Standard Time on Jul 14, 2025 Reported Earnings • Jun 03
Full year 2025 earnings released: EPS: ₹4.18 (vs ₹10.37 in FY 2024) Full year 2025 results: EPS: ₹4.18 (down from ₹10.37 in FY 2024). Revenue: ₹3.05b (down 4.8% from FY 2024). Net income: ₹95.3m (down 60% from FY 2024). Profit margin: 3.1% (down from 7.4% in FY 2024). Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 9% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Jun 02
Upcoming dividend of ₹1.00 per share Eligible shareholders must have bought the stock before 09 June 2025. Payment date: 24 July 2025. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 0.1%. Lower than top quartile of Indian dividend payers (1.3%). Lower than average of industry peers (0.3%). Announcement • May 26
Nelco Limited, Annual General Meeting, Jun 24, 2025 Nelco Limited, Annual General Meeting, Jun 24, 2025, at 15:30 Indian Standard Time. Declared Dividend • May 16
Dividend reduced to ₹1.00 Dividend of ₹1.00 is 55% lower than last year. Ex-date: 9th June 2025 Payment date: 1st January 1970 Dividend yield will be 0.1%, which is lower than the industry average of 0.4%. Payout Ratios Payout ratio: 24%. Cash payout ratio: 74%. Reported Earnings • Apr 25
Full year 2025 earnings released: EPS: ₹4.18 (vs ₹10.37 in FY 2024) Full year 2025 results: EPS: ₹4.18 (down from ₹10.37 in FY 2024). Revenue: ₹3.10b (down 3.2% from FY 2024). Net income: ₹95.3m (down 60% from FY 2024). Profit margin: 3.1% (down from 7.4% in FY 2024). The decrease in margin was primarily driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 2% per year whereas the company’s share price has increased by 7% per year. Announcement • Apr 25
Nelco Limited Proposes Final Dividend for the Financial Year Ended 31 March 2025 Nelco Limited at its board meeting held on 24 April 2025, recommended a final dividend of INR 1 per share (10%) (face value of INR 10 each) for the financial year ended 31 March 2025 subject to the approval of the shareholders at the upcoming Annual General Meeting of the Company. Announcement • Apr 16
Nelco Limited to Report Q4, 2025 Results on Apr 24, 2025 Nelco Limited announced that they will report Q4, 2025 results on Apr 24, 2025 Announcement • Feb 20
Nelco Limited Approves Appointment of Vijay B Somaiya as Independent Director Nelco Limited announced that by Postal Ballot approved appointment of Mr. Vijay B Somaiya as an Independent Director. Reported Earnings • Jan 16
Third quarter 2025 earnings released: EPS: ₹2.17 (vs ₹2.69 in 3Q 2024) Third quarter 2025 results: EPS: ₹2.17 (down from ₹2.69 in 3Q 2024). Revenue: ₹822.4m (down 1.2% from 3Q 2024). Net income: ₹49.5m (down 20% from 3Q 2024). Profit margin: 6.0% (down from 7.4% in 3Q 2024). Over the last 3 years on average, earnings per share has increased by 10% per year whereas the company’s share price has increased by 9% per year. New Risk • Jan 09
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Indian stocks, typically moving 9.0% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Reported Earnings • Oct 22
Second quarter 2025 earnings released: EPS: ₹1.80 (vs ₹2.49 in 2Q 2024) Second quarter 2025 results: EPS: ₹1.80 (down from ₹2.49 in 2Q 2024). Revenue: ₹834.6m (up 8.9% from 2Q 2024). Net income: ₹41.0m (down 28% from 2Q 2024). Profit margin: 4.9% (down from 7.4% in 2Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Announcement • Oct 15
Nelco Limited to Report Q2, 2025 Results on Oct 21, 2024 Nelco Limited announced that they will report Q2, 2025 results on Oct 21, 2024 New Risk • Aug 21
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Indian stocks, typically moving 8.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Reported Earnings • Jul 12
First quarter 2025 earnings released: EPS: ₹1.81 (vs ₹2.51 in 1Q 2024) First quarter 2025 results: EPS: ₹1.81 (down from ₹2.51 in 1Q 2024). Revenue: ₹741.9m (down 5.9% from 1Q 2024). Net income: ₹45.6m (down 20% from 1Q 2024). Profit margin: 6.1% (down from 7.3% in 1Q 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has increased by 31% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jul 04
Nelco Limited to Report Q1, 2025 Results on Jul 11, 2024 Nelco Limited announced that they will report Q1, 2025 results on Jul 11, 2024 Upcoming Dividend • Jun 03
Upcoming dividend of ₹2.20 per share Eligible shareholders must have bought the stock before 10 June 2024. Payment date: 17 July 2024. Payout ratio is a comfortable 21% and this is well supported by cash flows. Trailing yield: 0.3%. Lower than top quartile of Indian dividend payers (1.2%). In line with average of industry peers (0.3%). Announcement • May 24
Nelco Limited, Annual General Meeting, Jun 25, 2024 Nelco Limited, Annual General Meeting, Jun 25, 2024, at 15:30 Indian Standard Time. Announcement • Apr 26
Nelco Limited Announces Resignation Kaushik Mandal, Head Customer Experience and A Senior Management Personnel Nelco Limited informed that Mr. Kaushik Mandal, Vice President & Head Customer Experience and a Senior Management Personnel has resigned from the services of the Company due to his personal priorities. Reported Earnings • Apr 24
Full year 2024 earnings released: EPS: ₹10.37 (vs ₹8.70 in FY 2023) Full year 2024 results: EPS: ₹10.37 (up from ₹8.70 in FY 2023). Revenue: ₹3.23b (up 3.0% from FY 2023). Net income: ₹236.7m (up 19% from FY 2023). Profit margin: 7.3% (up from 6.3% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has increased by 60% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Apr 13
Nelco Limited to Report Fiscal Year 2024 Results on Apr 23, 2024 Nelco Limited announced that they will report fiscal year 2024 results on Apr 23, 2024 Announcement • Apr 05
Nelco Limited Announces Changes to its Board Nelco Limited announced that the Board of Directors at its meeting held on 5th April 2024 has approved the appointment of Mr. Ritesh N Kamdar as Company Secretary & Head-Legal, Compliance Officer under Listing Regulations and a Key Managerial Personnel of the Company with effect from 14th May 2024 in place of Mr. Girish V. Kirkinde, who will be superannuated from the services of the Company with effect from 30th April 2024 at the close of business hours. Ritesh N Kamdar, Date of Birth: September 7, 1983. Educational Qualifications: Educational Qualifications: B.com, ACS & LLB (G) Mr. Ritesh Kamdar is a seasoned professional with more than 19 year of experience in company secretary & legal functions. He is an Associate Member of the Institute of Company Secretaries of India (ICSI) and also holds a degree of Bachelor of Commerce and LLB(G) from the University of Mumbai. His expertise lies in corporate law, legal and governance, accompanied by exceptional leadership capabilities. Ritesh Kamdar is an Associate Member of Institute of Company Secretaries of India (ICSI) and also holds the degree of Bachelor of Commerce and LLB (G) from Mumbai University. He has over 19 years of experience in the Secretarial and Legal field. In the past, he had worked with various renowned business groups which comprise of national and multinational conglomerates. During his past stints, as a part of secretarial and legal assignments, he has extensively worked on fund raising, acquisitions, due diligence, better governance and digitization of records. Currently, he is serving as Company Secretary of Tata Housing Development Company Limited. New Risk • Jan 17
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 44% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. This is currently the only risk that has been identified for the company. Reported Earnings • Jan 16
Third quarter 2024 earnings released: EPS: ₹2.69 (vs ₹2.19 in 3Q 2023) Third quarter 2024 results: EPS: ₹2.69 (up from ₹2.19 in 3Q 2023). Revenue: ₹840.8m (up 13% from 3Q 2023). Net income: ₹61.5m (up 23% from 3Q 2023). Profit margin: 7.3% (up from 6.7% in 3Q 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has increased by 59% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jan 05
Nelco Limited to Report Q3, 2024 Results on Jan 15, 2024 Nelco Limited announced that they will report Q3, 2024 results on Jan 15, 2024 Announcement • Oct 06
Nelco Limited to Report Q2, 2024 Results on Oct 16, 2023 Nelco Limited announced that they will report Q2, 2024 results on Oct 16, 2023 New Risk • Jul 21
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 45% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 0.2% per year over the past 5 years. Minor Risks High level of debt (45% net debt to equity). Share price has been volatile over the past 3 months (7.1% average weekly change). Reported Earnings • Jul 21
First quarter 2024 earnings released: EPS: ₹2.51 (vs ₹2.07 in 1Q 2023) First quarter 2024 results: EPS: ₹2.51 (up from ₹2.07 in 1Q 2023). Revenue: ₹788.0m (down 3.5% from 1Q 2023). Net income: ₹57.3m (up 21% from 1Q 2023). Profit margin: 7.3% (up from 5.8% in 1Q 2023). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has increased by 56% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Jul 13
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Indian stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 0.2% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (7.1% average weekly change). Announcement • Jul 12
Nelco Limited to Report Q1, 2024 Results on Jul 20, 2023 Nelco Limited announced that they will report Q1, 2024 results on Jul 20, 2023 Upcoming Dividend • May 30
Upcoming dividend of ₹2.00 per share at 0.3% yield Eligible shareholders must have bought the stock before 06 June 2023. Payment date: 22 July 2023. Payout ratio is a comfortable 23% and this is well supported by cash flows. Trailing yield: 0.3%. Lower than top quartile of Indian dividend payers (1.6%). Lower than average of industry peers (0.5%). Announcement • May 19
Nelco Limited, Annual General Meeting, Jun 22, 2023 Nelco Limited, Annual General Meeting, Jun 22, 2023, at 11:30 Indian Standard Time. Valuation Update With 7 Day Price Move • May 01
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ₹634, the stock trades at a trailing P/E ratio of 72.7x. Average trailing P/E is 35x in the Communications industry in India. Total returns to shareholders of 286% over the past three years. Reported Earnings • Apr 26
Full year 2023 earnings released: EPS: ₹8.70 (vs ₹7.05 in FY 2022) Full year 2023 results: EPS: ₹8.70 (up from ₹7.05 in FY 2022). Revenue: ₹3.16b (up 22% from FY 2022). Net income: ₹198.5m (up 23% from FY 2022). Profit margin: 6.3% (up from 6.2% in FY 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has increased by 54% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Jan 23
Third quarter 2023 earnings released: EPS: ₹2.19 (vs ₹2.30 in 3Q 2022) Third quarter 2023 results: EPS: ₹2.19 (down from ₹2.30 in 3Q 2022). Revenue: ₹749.5m (up 4.0% from 3Q 2022). Net income: ₹50.0m (down 4.9% from 3Q 2022). Profit margin: 6.7% (down from 7.3% in 3Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has increased by 42% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jan 06
Nelco Limited to Report Q3, 2023 Results on Jan 20, 2023 Nelco Limited announced that they will report Q3, 2023 results on Jan 20, 2023 Board Change • Nov 16
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. 1 experienced director. 1 highly experienced director. MD, CEO & Executive Director Pradip Nath is the most experienced director on the board, commencing their role in 2012. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Oct 22
Second quarter 2023 earnings released: EPS: ₹1.96 (vs ₹1.49 in 2Q 2022) Second quarter 2023 results: EPS: ₹1.96 (up from ₹1.49 in 2Q 2022). Revenue: ₹754.4m (up 23% from 2Q 2022). Net income: ₹44.7m (up 32% from 2Q 2022). Profit margin: 5.9% (up from 5.6% in 2Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has increased by 54% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Jul 20
First quarter 2023 earnings released: EPS: ₹2.07 (vs ₹1.92 in 1Q 2022) First quarter 2023 results: EPS: ₹2.07 (up from ₹1.92 in 1Q 2022). Revenue: ₹816.8m (up 48% from 1Q 2022). Net income: ₹47.2m (up 7.8% from 1Q 2022). Profit margin: 5.8% (down from 7.9% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 36% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Jun 14
Upcoming dividend of ₹1.80 per share Eligible shareholders must have bought the stock before 21 June 2022. Payment date: 07 August 2022. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 0.3%. Lower than top quartile of Indian dividend payers (1.8%). Lower than average of industry peers (0.5%). Board Change • Jun 02
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. 1 experienced director. 1 highly experienced director. MD, CEO & Executive Director Pradip Nath is the most experienced director on the board, commencing their role in 2012. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Apr 28
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: ₹7.05 (up from ₹5.42 in FY 2021). Revenue: ₹2.65b (up 17% from FY 2021). Net income: ₹160.8m (up 30% from FY 2021). Profit margin: 6.1% (up from 5.5% in FY 2021). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 11%. Earnings per share (EPS) also missed analyst estimates by 15%. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 33% per year, which means it is well ahead of earnings. Reported Earnings • Jan 21
Third quarter 2022 earnings: EPS and revenues miss analyst expectations Third quarter 2022 results: EPS: ₹2.30 (up from ₹1.67 in 3Q 2021). Revenue: ₹720.6m (up 23% from 3Q 2021). Net income: ₹52.6m (up 38% from 3Q 2021). Profit margin: 7.3% (up from 6.5% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 11%. Earnings per share (EPS) also missed analyst estimates by 15%. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has increased by 49% per year, which means it is well ahead of earnings. Reported Earnings • Oct 21
Second quarter 2022 earnings released: EPS ₹1.49 (vs ₹0.97 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: ₹612.2m (up 15% from 2Q 2021). Net income: ₹34.0m (up 53% from 2Q 2021). Profit margin: 5.6% (up from 4.2% in 2Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has increased by 54% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Sep 06
Investor sentiment improved over the past week After last week's 17% share price gain to ₹556, the stock trades at a trailing P/E ratio of 72.8x. Average trailing P/E is 27x in the Communications industry in India. Total returns to shareholders of 71% over the past three years. Valuation Update With 7 Day Price Move • Aug 12
Investor sentiment improved over the past week After last week's 27% share price gain to ₹470, the stock trades at a trailing P/E ratio of 65.5x. Average trailing P/E is 29x in the Communications industry in India. Total returns to shareholders of 40% over the past three years. Reported Earnings • Aug 02
First quarter 2022 earnings released: EPS ₹1.92 (vs ₹0.81 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: ₹566.2m (up 14% from 1Q 2021). Net income: ₹43.8m (up 138% from 1Q 2021). Profit margin: 7.7% (up from 3.7% in 1Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jun 29
Investor sentiment improved over the past week After last week's 30% share price gain to ₹325, the stock trades at a trailing P/E ratio of 60x. Average trailing P/E is 43x in the Communications industry in India. Total returns to shareholders of 26% over the past three years. Upcoming Dividend • May 31
Upcoming dividend of ₹1.20 per share Eligible shareholders must have bought the stock before 07 June 2021. Payment date: 22 July 2021. Trailing yield: 0.6%. Lower than top quartile of Indian dividend payers (1.7%). Lower than average of industry peers (0.8%). Reported Earnings • May 02
Full year 2021 earnings released: EPS ₹5.42 (vs ₹6.30 in FY 2020) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2021 results: Revenue: ₹2.29b (up 4.1% from FY 2020). Net income: ₹123.6m (down 14% from FY 2020). Profit margin: 5.4% (down from 6.5% in FY 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Feb 05
New 90-day high: ₹235 The company is up 29% from its price of ₹182 on 06 November 2020. The Indian market is up 23% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Communications industry, which is up 11% over the same period. Reported Earnings • Jan 30
Third quarter 2021 earnings released: EPS ₹1.67 (vs ₹1.60 in 3Q 2020) The company reported a solid third quarter result with improved earnings and revenues, although profit margins were flat. Third quarter 2021 results: Revenue: ₹585.5m (up 3.9% from 3Q 2020). Net income: ₹38.2m (up 4.7% from 3Q 2020). Profit margin: 6.5% (in line with 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 23% per year, which means it is well ahead of earnings. Is New 90 Day High Low • Jan 12
New 90-day high: ₹214 The company is up 21% from its price of ₹178 on 14 October 2020. The Indian market is up 24% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Communications industry, which is up 12% over the same period. Is New 90 Day High Low • Dec 10
New 90-day high: ₹209 The company is up 9.0% from its price of ₹192 on 11 September 2020. The Indian market is up 18% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Communications industry, which is up 6.0% over the same period.