At A Dividend Yield of 5.80% Navratna CPSE NMDC Sets Record Date For 285% Final Dividend

In Friday's closing session, the large-cap metals & mining company NMDC Ltd. registered a market cap of Rs 33,320.99 Cr. The largest iron ore producer in India is NMDC, which was established in 1958 as a publicly traded enterprise of the Indian government. The single largest producer of iron ore in India is National Mineral Development Corporation (NMDC), a Navratna Public Sector Enterprise under the Ministry of Steel, Government of India. The company has declared a 285% final dividend for FY23 and for the purpose of the same record date has been finalized.

NMDC Dividend

"In terms of Regulation 42 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Register of Members and Share Transfer Books of the Company will remain closed from 1st September, 2023 to 7th September, 2023 (both days inclusive) for the purpose of ensuing 65th Annual General Meeting (AGM) of the Company and for payment of Final dividend for FY 2022-23 @ Rs. 2.85 per share. Further, the Record date for payment of Final dividend 2022-23 shall be 31st August, 2023 and the said dividend will be paid within 30 days from the date of the AGM," said NMDC in a stock exchange filing.

NMDC has announced an equity dividend of 660.00% at a face value of Rs 1, or Rs 6.6 per share, for the financial year ended March 2023. The dividend yield at the current share price of Rs 113.50 is 5.8%. The company has a solid track record of dividend declarations during the past five years. Since August 28, 2002, NMDC Ltd. has issued 42 dividends, according to statistics from Trendlyne.

NMDC Financials

The results for the June quarter of FY24 were announced by the iron ore company NMDC on Friday. The company claimed in a regulatory filing that its consolidated net profit jumped by 13% to Rs 1,661.04 crore from Rs 1,471.24 crore in the April-June period of FY23. Its total income increased from Rs 4,913.06 crore in the same quarter last year to Rs 5,688.87 crore in Q1FY24. Its total expenses also grew to Rs 3,476.55 crore in Q1FY24 as compared to Rs 2,968.94 crore in Q1FY23. Sequentially, NMDC's net profit dropped by 27% QoQ in the first quarter from Rs 2,277 crore in the March quarter. In Q1FY24, revenue from operations increased 13% to Rs 5,395 crore from Rs 4,767 crore in the same quarter last year. In the quarter that ended in June, the company's iron ore segment's EBIT was Rs 2,106 crore, up from Rs 1,982 crore in the corresponding quarter last year. Ebitda climbed by 5.03% to Rs 1,995.76 crore from Rs 1,900.11 crore, and Ebitda margin stood at 37% in Q1FY24 vs. 39.9% in Q1FY23.

NMDC Share Price

On Friday, the shares of NMDC closed on the NSE at Rs 113.50 apiece down by 0.18% compared to the previous close of Rs 113.70. The stock made a 52-week-high of Rs 137.45 on (11-Oct-2022) and a 52-week-low of Rs 92.25 on (27-Oct-2022). During Q1FY24 the company recorded promoters shareholding of 60.79%, FIIs stake of 6.99%, DIIs stake of 18.00% and public stake of 14.20%.