1000% Dividend: Are You An Eligible Shareholder In The Books of The Company For Rs 20 Distribution?

As part of the Hinduja Group, which has operations in 38 countries, Gulf Oil Lubricants India is part of one of the largest and most varied corporate empires in the world. One well-known participant in the Indian lubricants market is Gulf Oil Lubricants India Ltd (GOLIL). On Wednesday, the shares of Gulf Oil Lubricants India ended 11.56% higher at Rs 1046.70 apiece after releasing its financial results for the quarter and year ended 31st March 2024 along with a dividend recommendation of Rs 20.

Gulf Oil Lubricants India Dividend

The Board of Directors "Recommended Final dividend of Rs. 20/- per equity share of face value of Rs. 2/- each (1000%) for the financial year ended March 31, 2024. The record date for the payment of the final dividend shall be intimated later," said the company in a regulatory filing.

"The Board of Directors have recommended a final Dividend of Rs. 20/- per equity share (i.e. 1000% on face value of Rs. 2 per equity share) for the financial year ended 31 March 2024 subject to approval of members at Annual General Meeting. During February 2024, the Board had declared and paid interim dividend for the financial year 2023-24 of Rs. 16/- per equity share (i.e. 800 % on face value of Rs. 2 per equity share). With this, the total dividend for the year stands at Rs. 36/- per equity share (i.e. 1800 % on face value of Rs. 2 per equity share)," Gulf Oil Lubricants India informed stock exchanges on May 21, 2024.

Gulf Oil Lubricants India Financials

The fourth quarter ending March 31, 2024, saw a 38.74% YoY rise in net profit for the firm, which came to Rs 86.2 crore. Gulf Oil Lubricants India reported a net profit of Rs 62.2 crore for the same period in FY23, according to a regulatory filing from the company. From Rs 792 crore in Q4FY23 to Rs 869.6 crore in Q4FY24, the company's revenue from operations climbed by 9.8%. In the fourth quarter of FY24, EBITDA climbed by 34% to Rs 117.3 crore from Rs 87.5 crore during the same period in FY23. EBITDA margin for the quarter under review was 13.5%, while for the same period in the prior fiscal year, it was 11.1%. The company's revenue from operations was Rs 3,284.10 crore, up 9.50% from Rs 2,999.10 crore, and its profit after tax (PAT) was Rs 308.10 crore, up 32.63% from Rs 232.30 crore, for the entire year that ended on March 31, 2024. EBITDA increased by 22.33% to Rs 419.38 crore in FY24.

Gulf Oil Lubricants India Share Price Target

Deven Mehata - Equity Research Analyst at Choice Broking said, "GULFOILLUB is currently trading at 1051.75 levels, showcasing a significant breakout above its previous resistance of 965. This level, which aligns closely with its short term (20 Day) and medium term (50 Day) Exponential Moving Averages (EMA), has been surpassed with considerable trading volumes, indicating strong bullish sentiment and momentum in the stock. On the higher side, the stock faces a minor resistance around 1075 levels. Once the stock successfully surpasses this resistance, it is likely to experience a sharp upward movement, targeting the 1200 level and potentially even higher. This anticipated move is supported by the robust volume, which often precedes substantial price advances."

"For investors who have been holding the stock from lower levels, it is prudent to book partial profits at the current market price. However, maintaining a position in the stock with a trailing stop loss of 965 allows for continued participation in any further upside while protecting against potential downside risks. In summary, GULFOILLUB's breakout above 965, supported by high volumes, suggests a strong bullish outlook. With minor resistance at 1075 and a potential target of 1200, investors are advised to consider both profit booking and holding strategies with appropriate risk management through a trailing stop loss," the analyst recommended.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.