7200 per cent dividend announced by large cap stock - don't miss the record date!
This yield is an attractive proposition for investors seeking regular income from their investments.
Britannia Industries, the iconic Indian food products company, has once again proved its mettle by delivering strong financial performance in the latest quarter. The company's consolidated sales for the quarter ended on December 31, 2022, grew by a robust 16 percent to reach Rs. 4,101 Crores. Moreover, the operating profit surged by 55 percent to Rs. 760 Crores and the net profit skyrocketed by 151 percent to Rs. 932 Crores.
The net profit included an exceptional gain of Rs. 359 Crores (net of tax) that Britannia earned through a joint venture agreement with Bel SA for the Cheese business. This involved the sale of a 49 percent equity stake in its subsidiary and the fair valuation of the residual stake of 51 percent. The exceptional gain is a testament to Britannia's strategic foresight and its ability to capitalize on emerging opportunities.
In recognition of this exceptional performance, the Board of Directors of Britannia Industries has declared an interim dividend of 7200 percent, i.e., Rs. 72 per Equity Share of face value of Re. 1 each for the Financial Year 2022‐23. This dividend is a testament to the company's commitment to create value for its shareholders, even in challenging times.
Over the past year, Britannia Industries has consistently rewarded its shareholders with regular dividends. The company has declared an equity dividend amounting to Rs 56.50 per share in the past 12 months. With the current market price of Rs 4324.05, it results in a dividend yield of 1.31 percent. This yield is an attractive proposition for investors seeking regular income from their investments.
Britannia's stock has been on an upward trajectory, gaining almost 34 percent in the last one year. In the last one week, the stock has surged by 2.59 percent, indicating a strong bullish sentiment among investors.
In conclusion, Britannia Industries has emerged as a shining star in the Indian food products industry, delivering consistent growth and value for its shareholders.