Dividend stock: Sundaram Clayton board approves interim dividend of ₹5.15 per share

Auto parts manufacturer Sundaram-Clayton Ltd., on Tuesday, declared that its board has approved an interim dividend of ₹5.15 per share for its shareholders for the fiscal year ending March 31, 2024. 

“The Board of Directors of the Company at its meeting held today, declared an interim dividend of Rs. 5.15/- per share (103%) on 2,02,32,104 equity shares of Rs.5/- each fully paid up, absorbing a sum of Rs. 10.42 Cr, for the financial year ending 31st March 2024,” Sundaram-Clayton said in an exchange filing.

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The company is expected to incur approximately ₹10.42 crore for the dividend payout. The record date for the interim dividend has been scheduled for April 4, 2024. On this date, only shareholders holding accounts with Sundaram-Clayton will be eligible to receive the dividend payout.

“The interim dividend declared will be paid to those shareholders, who hold shares in physical form and / or in electronic form and whose names appear in the Register of Members and / or Depositories respectively, as at the close of working hours on 4th April 2024, being the Record Date fixed by the Company for this purpose. The dividend payment will made within a period of 30 days from the declaration of interim dividend, as provided in the Companies Act, 2013,” the company said.

The declared dividend equates to a total payout of 103%. According to an exchange filing, the interim dividend will be disbursed within 30 days of its declaration.

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Sundaram-Clayton shares are expected to trade ex-dividend one or two days prior to the record date. On the ex-dividend date, the stock loses the value of the forthcoming dividend payment, and only shareholders registered before this date are eligible for the dividend.

Currently, Sundaram-Clayton shares are trading at ₹1352.95 apiece on the BSE, marking a 0.37% decrease. The stock has retreated approximately 24% from its 52-week high of ₹1,775 attained on January 12, 2024.