Hindustan Zinc Rallies 7% Ahead of Interim Dividend Announcement For FY24; Check Details – News18

High dividend paying stock Hindustan Zinc (HZL) rose 7 per cent on Thursday, a day after the Vedanta-owned firm said it will consider interim dividend on shares for the financial year 2023-24 (FY24) Saturday, July 8, 2023.

The record date for the purpose of payment of the interim dividend has been fixed on Saturday, July 15, 2023.

The company’s shares go ex-dividend a day or two 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.

“We wish to inform you that the meeting of the Board of Directors of the company will be held on Saturday, July 08, 2023 to consider interim dividend on equity shares, if any, for the financial year 2023-24,” the Vedanta Group firm said in a regulatory filing.

Hindustan Zinc Ltd. has declared 39 dividends since June 28, 2001. In the past 12 months, Hindustan Zinc has declared an equity dividend amounting to Rs 75.50 per share.

At the current share price of Rs 319.30, this results in a dividend yield of 23.65 per cent, showed data from Trendlyne.

Shares of Hindustan Zinc hit their 52-week high of Rs 383 on BSE on January 19, 2023. They hit their 52-week low of Rs 242.40 on July 6, 2022. In the last one year, shares of Hindustan Zinc have risen 29 per cent against a 22 per cent gain in the equity benchmark Sensex.

The stock has been in the green since June 28 and if it closes in the green today, it will be its sixth consecutive session of gains.

For the March quarter of FY23, Hindustan Zinc reported a decline of 12 per cent in consolidated net profit to Rs 2,583 crore. This was against a net profit of Rs 2,928 crore in the corresponding quarter last fiscal.

The total sales for the company were down by 3 per cent to Rs 8,509 crore from Rs 8,797 crore in the corresponding quarter of the previous year. Zinc sales dropped the most at 9 per cent, while other metals saw a rise in sales.

For the quarter, Hindustan Zinc reported its best-ever production of mined metal at 301 kilotonnes (kt) and refined metal at 269 kt.

Meanwhile, Vedanta pledged 13.94 crore shares or 3.3 per cent of the total equity on May 22 in favour of Axis Trustee Services. Anil Agarwal-led Vedanta holds a 64.92 per cent stake in Hindustan Zinc. With this, Vedanta has pledged nearly all of its holdings in Hindustan Zinc.