Mindtree dips on turning ex-bonus

The stock dipped nearly 10% to Rs 699 on the BSE after the stock turned ex-bonus in the ratio of 1:1 today.

Mindtree has dipped nearly 10% to Rs 699 on the BSE after the stock turned ex-bonus in the ratio of 1:1 today.

The board of directors of information technology (IT) consulting and software company at its board meeting held on January 18, 2016 approved issue of bonus shares in the ratio of 1:1 i.e. one equity share for every one equity share held in the company.

The company fixed record date as March 10, 2016 for the purpose of ascertaining the entitlement of the members for the issue of bonus issue of 1:1.

Mindtree, on Monday, issued a profit warning for January-March (Q4FY16) quarter forecasting tepid QoQ organic revenue growth and a sequential decline in operating margins due to project delays in the retail and banking financial services and insurance (BFSI) segments.

"In dollar terms, MindTree is expected to report a marginal QoQ revenue growth for Q4 on an organic basis (excluding acquisitions of the current financial year)," the company said in a statement.

For the full year FY16, MindTree is expected to significantly exceed the NASSCOM growth estimate of 10.3%, even on an organic basis.

The company remains positive on the future demand environment and is confident of exceeding the NASSCOM growth estimates of 10-12% for FY17, it added.

At 10:29 am, the stock was down 9% at Rs 702 as compared to 0.60% decline in the S&P BSE Sensex. A combined 902,298 shares changed hands on the counter on the BSE and NSE.