TVS Group Stock: Rs 4.20 Dividend To Be Paid, Bullish Momentum Builds—Buy Or Hold By May 7 Record Date?

Over the course of 60 years, Sundram Fasteners Limited, an arm of the TVS Group and based in Chennai, has earned a reputation as a top supplier to top automotive customers globally. High-tensile fasteners, powder metal parts, cold extruded parts, hot forged parts, radiator caps, vehicle pumps, gear shifters, gears and couplings, tappets, iron powder, powertrain parts, and sub-assemblies are among the products offered by the BSE 500 company. With a market valuation of Rs 19,298.19 Cr, Sundram Fasteners' shares closed Friday's trading session on the BSE 0.09% higher at Rs 918.40. The company's good Q4 results and dividend announcement, for which the record date is next week, caused the stock price to rise.

Sundram Fasteners Dividend

"Further to our letter dated April 23, 2025 under Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (LODR Regulations), we wish to inform you that the Board of Directors at their meeting held today (Wednesday, April 30, 2025) has approved payment of Second Interim Dividend at Rs. 4.20/- per share of Re 1/- each for the financial year ended March 31, 2025," said Sundram Fasteners in a stock exchange filing.

The Board of Directors has decided to fix the record date for the purpose of payment of the interim dividend as May 7, 2025 (Wednesday).

Sundram Fasteners Q4 Results

At Rs 134.37 crores for the quarter ending March 31, 2025, the company recorded its highest-ever net profit for a quarter on a stand-alone basis. This is in contrast to Rs 132.54 crores net profit for the same period last year. At Rs 1,353.99 crores for the quarter that ended on March 31, 2025, the company reported its highest-ever revenue compared to Rs 1,278.13 crores in Q4FY24.

Domestic sales during Q4FY25 were Rs 900.42 crores, up from Rs 846.26 crores in the same quarter of the previous fiscal year. For the quarter ending March 31, 2025, the company had exports of Rs 409.62 crores, up from Rs 385.28 crores the year before. In comparison to Q4FY24, when it was Rs 174.34 crores, the profit before tax (PBT) for the quarter that ended on March 31, 2025, was Rs 174.60 crores.

The organization's total revenue for the fiscal year that concluded on March 31, 2025, was Rs 5,209.74 crores, up from Rs 4,905.65 crores the year before. The net profit was Rs 517.01 crores for FY25 compared to Rs 479.71 crores in FY24.

Ms Arathi Krishna, Managing Director said, "We achieved the highest-ever quarterly PAT at Rs 134.37 crores by maintaining strong financial discipline, sustaining a positive cash balance and adopting best practices in quality management and automation. This growth is particularly encouraging as we have witnessed significant progress in our non-auto business, which has contributed to our overall robust performance. Our growth is supported by a strong domestic and export order book. We remain committed to driving volume-led growth by leveraging emerging opportunities in the electric vehicle segment and continuing our focus on innovation which will enable us to outpace industry growth rates."

Sundram Fasteners Share Price Target

"Sundram Fasteners has shown a steady uptrend, forming higher bottoms and rising with strong volumes. The recent price action suggests bullish continuation with immediate resistance at ₹940. A breakout may push the price toward ₹970-₹1000. Support lies at ₹890, and the trend remains intact above this level. The auto ancillary sector's strength and export orders support future growth. Traders can hold or buy on dips with a stop loss at ₹880 for a target of ₹970-₹1000," commented Riyank Arora - Technical Analyst - Mehta Equities Limited.

Disclaimer

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