Debt free stock to pay 2300% dividend soon, mutual fund stake up in Q3

The Board of Directors of CRISIL has recommended a final dividend of Rs. 23, per equity share of face value of Re 1 each, for the financial year ended December 31, 2022, subject to the approval of the shareholders at the ensuing Annual General Meeting.

“For the year ended December 31, 2022, the company paid three interim dividends totalling ₹25 per equity share of face value of Re 1 each. The Board of Directors has recommended a final dividend of ₹23 per share (of Re 1 face value). The total dividend for the year works out to ₹48 per share,” said CRISIL in a stock exchange filing.

The company has fixed book closure date as Saturday, April 1, 2023 to Sunday, April 2, 2023 (both days inclusive) for the purpose of Annual General Meeting and payment of Final Dividend for the financial year 2022, if approved by shareholders at the Annual General Meeting of the Company to be held on April 18, 2023 and the same will be paid on April 24, 2023.

CRISIL’s consolidated income from operations for the quarter ended December 31, 2022, climbed by 16.5% YoY to ₹822.3 crore, compared with ₹706.0 crore in the corresponding quarter of the previous year. Consolidated total income was up 16.8% to ₹840.6 crore, compared with ₹719.5 crore in a year ago same period. The profit after tax for the quarter that ended on December 31, 2022, increased by 17.5% to ₹158.0 crore from ₹134.5 crore in the same period the year before.

During the fiscal year that concluded on December 31, 2022, CRISIL’s consolidated income from operations climbed by 20.3% to ₹2,768.7 crore from ₹2,300.7 crore during the same period in the previous year. Consolidated total income for the fiscal year that concluded on December 31, 2022, increased by 22.1% to ₹2,907.8 crore from ₹2,382.4 crore during the same period the year before. During the fiscal year that concluded on December 31, 2022, profit after tax climbed by 30.7% to ₹564.4 crore from ₹431.7 crore during the same period last year.

The research, analytics, and solutions segment increased 18.6% in the quarter and 23.2% in the year ended December 31, 2022, while the rating segment gained 9.3% in the quarter and 12.0% for the year ended December 31, 2022. During the year ended December 31, 2022, CRISIL said it has been certified as a Great Workplace™ by the Great Place to Work® Institute and named in the 100 Best Companies for Women in India.

On Friday, the shares of CRISIL closed on the NSE at ₹3,227.00 apiece, up by 0.65% from the previous close of ₹3,206.05. The stock recorded NSE + BSE volume average of 10,590 shares and a deliverable volume average of 474,326 shares or 44.79%. In the last 1 year the stock has gained 12.12% and on a YTD basis, it has gained 8.06% so far in 2023. The stock touched a 52-week-high of ₹3,863.55 on (02-May-2022) and a 52-week-low of ₹2,540.00 on (24-Feb-2022). 

CRISIL has a debt-to-equity ratio of zero making it a virtually debt-free company and its Return on Equity(ROE) for FY22 was 31.5%, more than 20% in FY21. During Q3FY23, the company recorded a promoter shareholding of 66.70%, FIIs stake of 6.68%, DIIs stake of 13.03% and a public stake of 13.59%. Promoters’ holdings fell from 66.72% in the quarter ending in September 2022 to 66.70% in the quarter ending in December 2022, while FII/FPI holdings plummeted from 6.69% in Q2FY23 to 6.68% in Q3FY23, however, mutual funds’ holdings rose from 4.91% in September 2022 quarter to 5.09% in the quarter ended December 2022, as per the data of Trendlyne.