“The Board of Directors at its meeting held today has approved the payment of Interim Dividend for the FY 2022-23 Rs l per equity share, that is 10% on the paid up equity share capital of the company,” the company said in a filing.
The company has fixed March 24 as the record date to determine the eligibility of the shareholders for the said dividend payment.
On Thursday, shares of SAIL closed nearly 2.45% lower at Rs 85.50 apiece on NSE. So far this year, the stock is down about 3.88% on a year-to-date basis.
The shares of SAIL will go ex-dividend a day or two days before the record date. When a company goes ex-dividend on a particular date, its stock does not carry the value of the next dividend payment. An ex-dividend date also dictates which shareholders are eligible to receive the dividend payment.
SAIL is one of the highest dividend paying stocks on the Street. In the past 12 months, the company has declared an equity dividend amounting to Rs 4.75 per share, which results in a dividend yield of about 5.57%.
According to Trendlyne data, the company has an average target price of Rs 94.29 and the consensus estimate represents an upside of 10.54% from the current levels. The company has reported around 65% fall in its consolidated net profit at Rs 542 crore in the December quarter, on account of higher expenses. Its total expenses soared to Rs 24,825.11 crore, compared to Rs 23,209.88 crore a year ago.
However, total income also fell to Rs 25,140 crore from Rs 25,398 crore in the year-ago quarter.
SAIL is one of the largest steel-making companies in India. The company produces iron and steel at 5 integrated plants and 3 special steel plants, located principally in the eastern and central regions of India and situated close to domestic sources of raw materials.