After 6,850% dividends in FY23 so far, Vedanta to surprise investors tomorrow
Vedanta is among the dividend kings who have paid three dividends on interim basis in FY23 so far. And once again, the mining major is set to give another gift to investors by announcing a fourth interim dividend on Friday alongside its financial results for the third quarter of FY23. Vedanta has already set the record date for the upcoming dividend announcement.
In its regulatory filing earlier this week, Vedanta said, “the Board of Directors of the Company on Friday, January 27, 2023, will consider and approve Fourth Interim Dividend on equity shares, if any, for the Financial Year 2022-23.”
The company also announced the record date for determining eligible shareholders for the fourth interim dividend which is set on February 4th.
That said, Vedanta shares will turn ex-dividend on February 3rd on stock exchanges.
In general terms, all the shareholders whose name appears in the company’s list by the end of the record date will be eligible to receive dividends. While the ex-dividend date is the day before the record date, and on this day, the price of the equity shares of a company gets adjusted for the dividend payout.
So far, in FY23, the Anil Agarwal-backed company has paid three interim dividends. The latest one was in November last year, the third interim dividend to the tune of 1,750% amounting to ₹17.50 per equity share.
The first interim dividend of 3,150% amounting to ₹31.50 per share was in May and the second interim dividend of 1,950% aggregating to ₹19.50 per share was in July of last year.
Thereby, the company has so far paid a whopping 6,850% dividend valuing ₹68.5 per share in FY23.
In the first half of FY23, Vedanta recorded over 15.4% dividend yield with ₹51 per share payout (first and second interim dividend). The company paid ₹18,933 crore.
Ahead of the fourth interim dividend announcement, Vedanta shares were in red on Wednesday to end at ₹326.25 apiece down by 1.05% on BSE. Its market cap is over ₹1.21 lakh crore.
At the current market price, Vedanta’s dividend yield is around 13.79%.
In the fiscal year FY22, Vedanta paid equity dividend of 4,500% aggregating to ₹45 per share.
As per Trendlyne data, Vedanta has declared 38 dividends since July 23, 2001. In the past 12 months, Vedanta declared an equity dividend amounting to ₹81.50 per share.
During the second quarter of FY23, Vedanta posted a 60.8% drop in consolidated net profit attributable to owners to ₹1,808 crore from ₹4,615 crore a year ago same quarter. However, consolidated revenue rose by 20% to ₹36,237 crore versus ₹30,048 crore in Q2 of FY22. The company’s gross debt decreased by ₹2,543 crore QoQ to ₹58,597 crore as of September 31, 2022.
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