ADN Telecom, one of the major sister concerns of ADN Group, posted 54% profit growth in the fiscal year 2022-23 compared to the previous fiscal year owing to business expansion with the launching of new products and services.
The company achieved Tk25.86 crore net profit in FY23, which was Tk16.74 crore in the previous fiscal year, according to a disclosure.
The board of directors recommended a 15% cash dividend for their shareholders for the stipulated period and a 10% cash dividend for its shareholders for FY22.
ADN Telecom provides IT and telecommunication services locally and globally. In FY23, the company's earnings per share was Tk4, which was Tk2.59 in FY22.
In the disclosure, the company said effective techniques for cost management also aided the expansion and its earnings per share rose significantly compared to the same period the previous year, demonstrating its effective financial performance.
The company also said that the net operating cash flow per share decreased due to lower net cash generated from operations compared to last year as well as advances for new investment over the course of the period.
In FY23, its net asset value per share stood at Tk30.64.
The annual general meeting (AGM) will be held on 4 December through a digital platform and to identify the shareholders entitled to the dividend, the record date has been fixed on 26 October.
ADN Telecom entered the stock market in 2019 by raising Tk57 crore through an initial public offering (IPO) under the book-building method.
On Thursday, the price of each share of the company closed at Tk122.50 on the Dhaka stock exchange.
As of 31 August 2023, sponsor-directors hold 44.91%, institutional investors 17.66%, foreign shareholders 1.99%, and general shareholders 35.44% shares in the company.
Source: The Business Standard
Note: This email is for research and analysis purposes only.