With a market capitalization of Rs 340 crores, the stocks of Dev Information Technology Limited closed at Rs 155.50 today. In the last five trading sessions, the scrip has gained over 16 percent ranging from Rs 133.15 to the current levels prevailing in the market.
The movements in the stocks were observed after the company, in a regulatory filing with the BSE, announced that LT1 Inc, a wholly owned subsidiary of Lilikoi Holdings Inc (USA) acquired a controlling stake in an ‘all-cash’ deal.
It is a ‘win-win strategic collaboration’ between the companies with the main aim to integrate the acquirer’s vision of becoming a provider of a unique Internet of Things (IoT) and Artifical Intelligence (AI) wireless ecosystem.
“We are excited at this development with Lilikoi. This alliance is going to benefit DEV IT in many ways which shall include an increase in our technology spectrum, entry into new businesses via access to Lilikoi group companies’ clientele, and shall provide strong opportunity to DEV IT to expand its presence in the USA, Canada, Australia and many other developed geographies in addition to maintaining its strong presence in India.”, Mr. Pranav Pandya, Chairman of Dev Information Technology Limited, commented on the development.
The latest financials, on a consolidated basis, portray an increase in the basic operational indicators such as the operating revenues as well as net profits. The operating revenues went up from Rs 99 crores during FY21-22 to Rs 124 crores in FY22-23 and net profits, in congruence with the pattern shown above, moved up from Rs 1 crore to Rs 9 crores.
Likewise, the profitability ratios were on the uptrend with the return on equity (ROE) jumping from 0.40 percent during FY21-22 to 21.60 percent in FY22-23 and the return on capital employed (ROCE), in the same time horizon, taking a shift from 12 percent to 27.78 percent.
According to the shareholding data available for the March 2023 quarter, the Promoters hold a 67.53 percent stake, and Foreign Institutional Investors (FIIs) hold a 1.72 percent stake in the company.
Dev Information Technology Limited is involved in providing information technology (IT) solutions as well as consultancy services in India. It provides a wide range of services including cloud computing, infrastructure management, and many others.
Written by Amit Madnani
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
