Hindustan Zinc declares third interim dividend of ₹5,493 cr, fixes record date

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By Admin

Mining company, Hindustan Zinc announces a third interim dividend to the tune of whopping 5,493 crore on Thursday. The Vedanta-backed metal player holds a strong track record of paying hefty dividends to its investors. The company has already announced the record date for the latest dividend. Also, the company declared its financial performance for the third quarter ending December 31, 2022.

As per the regulatory filing, Hindustan Zinc said that the board has approved a third interim dividend of 13 per equity share which is 650% of the face value of 2 per share for the fiscal year FY23. This dividend is amounting to 5,493 crore.

Hindustan Zinc has fixed January 30 as the record to determine eligible shareholders for the third interim dividend.

Earlier, for the current fiscal, Hindustan Zinc paid its first interim dividend of a whopping 21 per share aggregating to 1,050%, and a second interim dividend of 775% amounting to 15.50 per equity share. That being said, in the first six months of FY23, the company paid a total dividend of 1,825% amounting to 36.50 per equity share.

In FY22, the company paid a dividend of 900% valuing 18 per equity share to its shareholders.

Hindustan Zinc recorded a 20% decline in consolidated net profit to 2,156 crore in Q3FY23 versus 2,701 crore reported in the year-ago period. Also, sequentially, the PAT was down by 19%.

Further, revenue from operations fell by 2% to 7,628 crore as against 7,841 crore in the same quarter last year. The downfall in revenue was on account of lower LME coinciding with lower refined metal and silver volumes partially offset by favourable exchange rates and gains from strategic hedging.

EBITDA in the quarter stood at 3,717 crore, contracting by 15% from 4,392 crore a year ago same quarter.

Going ahead, Sandeep Modi, Deputy & Interim CFO said, “With softening of coal cost and ongoing structured cost optimization plan targeted with operational efficiencies, we are confident to deliver yet another stellar financial performance and continue to maintain our cost leadership in global cost curve. With our continuing efforts to expand our Renewable Power investments and with current tie-ups of up to 450MW, we foresee a better cost predictability and improved cost structure.”

Arun Misra, CEO said, “we are confident of achieving the one million tonne refined metal mark and are fully geared to deliver another stellar annual performance. Reaching this milestone in FY23 along with a resilient pipeline of projects will bring us closer to our vision of 1.2 million tonne mined metal in coming years.”

On BSE, Hindustan Zinc shares closed at 377.55 apiece — rising by 4.57% from the previous session. Earlier, on Thursday, the stock had hit a new 52-week high of 383 apiece. The company’s market cap is around 1,59,526.92 crore.

At the current market price, Hindustan Zinc’s dividend yield is around 4.77%.

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