Larsen & Toubro Group Stock To Pay Rs 2.75 Dividend, Is L&T Stock A Buy Before Record Date In May? Trade Plan

One of the top Non-Banking Financial Companies (NBFCs) providing a variety of financial services and products is L&T Finance Ltd. The company, which has its headquarters in Mumbai, has received the highest credit rating for NBFCs, "AAA," from four major rating agencies. In FY25, L&T Finance Ltd. achieved a record-breaking consolidated Profit After Tax (PAT) of Rs. 2,644 Crore in the full-year FY25. In addition to this strong performance, the firm announced the highest dividend to date. Here are the trading techniques and important dates to keep an eye on for the reward.

L&T Finance Dividend

"Further pursuant to Regulation 42 of the Listing Regulations and in continuation to our letter dated April 25, 2025, informing about the Board recommending a dividend of Rs. 2.75 per Equity Share (face value Rs. 10 each per equity share), which is subject to approval of the Members at the AGM, Tuesday, May 27, 2025 has been fixed as the record date for determining the list of Members entitled to receive the aforesaid dividend. The aforesaid dividend, subject to approval of the Members at the ensuing AGM, will be credited / payment instruments will be dispatched on or before Thursday, July 3, 2025 subject to applicable deduction of tax at source," said L&T Finance in a stock exchange filing.

The 17th Annual General Meeting (AGM) of the company is proposed to be held on Tuesday, June 3, 2025.

L&T Finance Q4 & FY25 Results

For the quarter ending March 31, 2025, L&T Finance reported a 15% increase in consolidated net profit, or Rs 636 crore. In the year-ago quarter, it made a net profit of Rs 554 crore. In Q4FY25, the company's consolidated revenue from operations increased by 10% to Rs 4,023 crore, up from Rs 3,670 crore in Q4FY24. Additionally, the company's net interest income (NII) increased from Rs 2,335.3 crore in Q4FY24 to Rs 2,423.2 crore, a 3.8% improvement. While the company's net non-performing assets (NPA) ratio stayed at 0.97%, up from 0.79% YoY, its gross non-performing assets (NPA) ratio increased marginally to 3.29% from 3.15% during the same period the previous year.

In FY25, L&T Finance Ltd. recorded a record-breaking consolidated full-year Profit After Tax (PAT) of Rs. 2,644 Crore, representing a 14% YoY growth. The firm reported its highest-ever annual Return on Equity (RoE) of 10.87% in FY25 compared to 10.35% in FY24, up 52 bps YoY, while its Return on Assets (RoA) of 2.44% compared to 2.32% was up 12 bps YoY.

Mr. Sudipta Roy, Managing Director & CEO of LTF said, "In a year marked by considerable headwinds, our performance remained resilient while showcasing our ability to thrive even in a challenging environment. This stability is underpinned by our unwavering commitment to strong asset quality reinforced by a strong focus on collection efficiency across businesses. We believe the financial year 2024-25 marks a significant step in laying the foundation for sustainable and predictable growth going forward."

"Operationally, we made significant strides with the successful 100% implementation of 'Project Cyclops' 2.0, our next-gen AI-ML based credit underwriting engine, in Two-wheeler Finance, and its ongoing rollout in Farm Equipment Finance. Furthermore, our large partnerships with PhonePe, CRED, and Amazon Pay, launched in the financial year 2024-25, are gaining momentum. During the year, while we remained focused on strengthening our risk and credit frameworks, we equally worked on building capabilities, both on the technology and people front, which will serve us well in times to come," he added.

"Looking forward, our focus remains on delivering quality services to our customers. We are confident that our commitment to operational excellence, customer centricity, strong governance, and prudent risk management, all powered by a digital-first approach, will sustain our growth momentum as we continue to build a customer-focused, digital-native financial services powerhouse," Sudipta Roy further added.

L&T Finance Share Price Target

"L&T Finance is in a bullish continuation pattern, holding strong above ₹155 support. Resistance lies at ₹167, above which it may move toward ₹175. The RSI is around 60, indicating consistent buying. The stock is forming a cup-like base and can break out on positive triggers. Traders can look to buy near ₹158-160 or on breakout above ₹167 with a stop loss at ₹153," commented Riyank Arora - Technical Analyst - Mehta Equities Limited.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.