Dividend stock 2024: Shares of Indian Railway Finance Corporation (IRFC) are in the spotlight today as the company’s stock trades ex-dividend following its recent dividend declaration. This action comes on the heels of IRFC's announcement of an interim dividend of Re 0.8 per share. The record date for determining shareholder eligibility for the dividend payout is set for November 12.
In a regulatory filing, IRFC stated, “Pursuant to Regulation 30 and 43 of SEBI (LODR) Regulations, 2015, as amended from time to time, this is to inform that the Board of Directors have declared an Interim Dividend of ₹0.8/- per equity share of ₹10/- each.” Additionally, the company affirmed that the dividend would be credited to eligible shareholders within 30 days of the record date.
The company announced the dividend along with its September 2024 quarter results.
For the quarter ending September 2024, IRFC reported a year-on-year (YoY) increase in net profit of 4.41%, reaching ₹1,612.65 crore, up from ₹1,544.58 crore in the same quarter of the previous year.
The public sector railway company also saw a 2.05% YoY growth in revenue from operations for Q2 of FY25, totalling ₹6,899.34 crores compared to ₹6,761.02 crores in the corresponding period last year.
IRFC's Assets Under Management (AUM) at the end of the six-month period ending September 30, 2024, amounted to ₹4,62,282.62 crore.
IRFC share price closed in red, down 0.74 per cent at ₹147.35 on November 11 on BSE. The company enjoys a market capitalisation of ₹1,92,564.44 crore.
IRFC has declared total dividends of ₹1.50 per share over the past year, offering a dividend yield of about 1.00% at a share price of ₹150.65, according to data from Trendlyne.
In addition to dividend payouts, IRFC has recently taken significant steps to secure funding for ongoing operations and projects. The company has issued ₹8,860 crore in taxable bonds through private placements between July and August 2024. These bonds, structured as unsecured, redeemable, and non-convertible instruments, are part of IRFC's ongoing efforts to support its financial needs, aligning with its role in providing crucial financial backing to Indian Railways.
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