TeamLease to consider share buyback next week, shows 14% revenue growth in Q3

The company has said today in a stock exchange filing that “we wish to hereby inform you that the meeting of the Board of Directors of the Company is scheduled to be held on Friday, February 03, 2023, at 10:00 A.M. IST, inter-alia, to consider and if deem fit, to review, consider and approve the proposal for buyback of the equity shares of the Company as well as matters related / incidental thereto.”

Teamlease Services Ltd has reported net revenue of ₹2,018 Cr in Q3FY23 as against ₹1,767 Cr recorded in Q3FY22, representing a YoY growth of 14%. The company reported an EBITDA of ₹32 Cr in the quarter ended December 2022 as against ₹38 Cr recorded in the quarter ended December 2021, representing a YoY fall of -16%. Teamlease Services recorded a net profit of ₹29 Cr in Q3FY23 as compared to ₹30 Cr recorded in the year-ago quarter, representing a fall of 5% YoY.

Mr. Ashok Reddy, Managing Director, TeamLease Services Limited commenting on the quarterly results said, “Weak festive demand in general staffing and headwinds in specialized staffing impacted our growth rates this quarter both on QoQ and YoY basis. We have started working on alternative placement of apprentices under NEEM program. Margins will be under pressure for the coming quarters given the soft demand, realization pressure, NEEM impact. Core employee headcount has been reduced by 9% on account of digitization and tighter cost control.”

The shares of Teamlease Services Limited closed today on the NSE at ₹2,365.00 apiece level, down by 3.01% from the previous close of ₹2,438.50. The stock recorded a total volume of 43,410 shares compared to the 20-Day average volume of 12,662 shares. The stock touched a 52-week-high of ₹4,688.00 on (04-Feb-2022) and a 52-week-low of ₹2,236.00 on (14-Nov-2022). For the quarter ended December 2022, the company reported a promoter shareholding of 31.51%, FIIs stake of 37.25%, DIIs stake of 23.81%, public stake of 7.37% and other stakes of 0.05%.