Shares of NIIT Ltd rallied over 11 percent Friday after the company reported earnings for the fourth quarter of fiscal 2021 with a sharp rise in net profit and improvement in operating performance.
NIIT reported a net profit of Rs 46.5 crore in Q4FY21 as against Rs 0.6 crore profit in the year-ago period. The company’s consolidated revenue during the quarter rose 30.5 percent to Rs 275.5 crore from Rs 211.2 crore, YoY.
"NIIT recorded an exceptionally strong quarter of revenue growth and profitability owing to sustained business development, digital transformation and optimised business operations," the company said in a regulatory filing.
At the operating level, consolidated EBITDA increased to Rs 68.4 crore from Rs 2.1 crore and consolidated EBITDA margin expanded to 24.8 percent as against 1 percent, YoY.
For the full year, the company’s net revenue stood at Rs 949.5 crore, up 7 percent, YoY. EBITDA margin was recorded at 18.5 percent and EBITDA at Rs 175.3 crore, up 106 percent, YoY. Profit After Tax was Rs 143 crore, it added.
"In a challenging year marked by the pandemic, NIIT has shown resilience, decisiveness, and agility. The corporate business continues to accelerate. The investment in the digital transformation of the business has created new opportunities for growth and improvement in profitability," said Vijay K Thadani, vice chairman and managing director, NIIT Ltd.
The company’s board recommended a dividend of Rs 2.5 per share.
On Friday, the stock price of NIIT rallied more than 16 percent intraday to hit a fresh 52-week high of Rs 231.00 apiece. It closed 11.86 percent higher at Rs 221.25 on the BSE.
(Edited by: By Jomy Jos Pullokaran)