Rs 27/Share Dividend: Mid Cap Energy Stock Sets Record Date For 270% Dividend Payout

A mid-cap energy firm, Chennai Petroleum Corporation Limited (CPCL) is a Government of India Enterprise and Group firm of IOCL. The company has declared a 270% final dividend payout for FY23 and for the purpose of the same record date has been finalized.
"Pursuant to Regulation 42 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, it is hereby informed that the Company has fixed Friday, the 4th August, 2023 as the "Record date" for the purpose of ascertaining the eligibility of members for payment of final equity dividend of Rs. 27/- (Rupees Twenty-Seven Only) per equity share on the face value of Rs. 10/- each for the year 2022-23.

The final dividend, if approved by the members in the forthcoming AGM, will be paid to the eligible members within the stipulated period of 30 days from the date of AGM. Members may note that the Income Tax Act, 1961, as amended by the Finance Act, 2020, mandates that dividends paid or distributed by a company is taxable in the hands of members. The Company shall therefore be required to deduct tax at source ("TDS") at the time of making the payment of dividend. In order to enable the Company to determine the applicable TDS rate, members are requested to submit the relevant documents on or before Monday, the 21st August, 2023," said Chennai Petroleum Corporation in a stock exchange filing on Tuesday.

Chennai Petroleum Corporation has announced an equity dividend of 270.00% at a face value of Rs 10, or Rs 27 per share, for the financial year ended March 2023. This generates a dividend yield of 6.22% at the current share price of Rs 433.70. The business has a solid track record of dividend declarations during the past five years. According to Trendlyne's statistics, Chennai Petroleum Corporation Ltd. has issued 17 dividends since August 16, 2000.

The company's consolidated net profit for the quarter ended in March climbed to Rs 1,012.81 crore from Rs 1,001.9 crore in the corresponding period of FY22. When compared to Rs 144.2 crore in the quarter ended December 31, 2022, the net profit jumped by a staggering 600 per cent sequentially. Consolidated revenue from operations for the firm jumped by 12 per cent to Rs 18,008 crore in Q4 FY23 from Rs 16,054 crore in Q3 FY23. The company's earnings per share (EPS), which were previously Rs 67.28 in Q4 FY22 and Rs 9.68 in the quarter ending on December 31, 2022, jumped to Rs 68.01 in Q4 FY23. Chennai Petroleum Corporation Limited (CPCL) is yet to declare its Q1FY24 results.

On Wednesday, the shares of Chennai Petroleum Corporation opened on the BSE at Rs 439.60 apiece compared to the previous close of Rs 436.65. The stock made a 52-week-high of Rs 458.95 on (07/07/2023) and a 52-week-low of Rs 186.50 on (26/12/2022). During Q1FY24, the company recorded promoter shareholding of 67.29%, FIIs stake of 8.49%, DIIs stake of 1.97% and public stake of 22.25%.