Netweb Technologies India Ltd's shares were locked in a five-percent upper circuit at Rs 1,764.45 after the company posted strong results for the quarter ended March. The company's net profit rose 14 percent on quarter to Rs 29.7 crore while revenue from operations gained five percent to Rs 265.9 crore.
The profit margin of Netweb rose by 90 basis points on quarter to 11 percent in Q4 FY24.
Netweb's Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) increased 14.5 percent on quarter to Rs 44.4 crore in Q4 FY24. The company's EBITDA margin rose by 141 basis points on quarter to 16.4 percent.
"...our company has achieved its highest-ever quarterly and annual income and profits. As stated earlier, AI systems is now clearly progressing towards becoming the third pillar of our growth," Sanjay Lodha, Chairman and Managing Director of Netweb Technologies, said in a press release.
Follow our live blog for all the market action
"Given the widespread adoption of Generative AI models and substantial contributions from the global AI developer community across diverse and innovative use cases, India is poised to become the AI factory of the world. This presents promising opportunities for expanding our diverse product offerings," Lodha said.
Lodha said that Netweb has a robust business pipeline and order book. For the year ended March 31, the company's order book stood at Rs 411.2 crore as against Rs 71.2 crore in the year ago period.
"Ongoing enhancements in our capabilities, coupled with the expansion of our operations and product portfolio, positions us favourably for sustained growth while retaining our technological leadership," Lodha said.
The Board of Directors of Netweb also recommended a dividend of Rs 2 per share, which will result in a dividend pay-out of 14.9 percent, the company said.
Netweb shares have ended the past three weeks and the past two months with gains. The stock has gained 115 percent in the past six months, outperforming Nifty 50 by a huge margin. Nifty 50 has gained a mere 18 percent compared in the past six months.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decision
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
