Genex Infosys recommends 1% cash dividend for general shareholders
Company’s shares closed 2.78% lower at Tk24.50 Thursday (4 December)
Genex Infosys PLC, a listed IT solutions provider, has recommended a 1% cash dividend exclusively for its general shareholders for the fiscal year 2024-25.
The decision was taken during a board meeting held on 4 December, according to the company's price-sensitive statement.
The company disclosed that out of its total 12.04 crore shares, general shareholders currently hold 8.42 crore shares. Consequently, the company will require Tk84 lakh to disburse the declared dividend.
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To approve the dividend and the audited financial statements, the company has scheduled its annual general meeting (AGM) for 30 December, with the record date set for 21 December.
The declared dividend reflects a significant dip compared to the company's historical payouts.
Its highest dividend payout was recorded in FY21, when it distributed a 10% cash and 10% stock dividend.
In FY24, the company had declared a 3% cash dividend. However, a failure to disburse that amount within the stipulated time led to the company being downgraded to the 'Z' category on the stock exchange. The category was upgraded back to 'B' on 28 September this year only after the company cleared the overdue payments.
In terms of financial performance for the reported period, Genex Infosys saw its consolidated earnings per share (EPS) drop by 17% to Tk2.17. However, the consolidated net asset value (NAV) per share rose by 8.48% to stand at Tk22.11.
The company's shares closed 2.78% lower at Tk24.50 on the Dhaka Stock Exchange on Thursday (4 December). It currently has a market capitalisation of Tk295 crore and a price-to-earnings (P/E) ratio of 9.35 based on the audited financial statements of FY24.
Earlier on 17 September, the Bangladesh Securities and Exchange Commission (BSEC) imposed a total fine of Tk9.27 crore on the board of Genex Infosys for involvement in share price manipulation of Sonali Paper & Board Mills Ltd. Each of the nine directors, including independent ones, was fined Tk1.03 crore. Additionally, its subsidiary, Genex Infrastructure Ltd, was fined Tk2.55 crore for its role in the manipulation.
