Hindustan Zinc Shares Gain Following Solid Dividend

Shares in Hindustan Zinc gained almost 3 per cent, after the company's board declared a good dividend of Rs 21.30 per share.

Hindustan Zinc reported a 7 per cent year-on-year drop in consolidated net profit at Rs 1,940 crore for the second quarter of the financial year 2021, as against Rs 2,081 crore during the same quarter last year, due to higher depreciation and amortization, finance costs and taxes due to change in the product mix at the company.

The company has maintained its guidance for mined and finished metal production at 925-950 KT each, while for silver the production targeted remains at 650 metric tonnes.

Hindustan Zinc remains confident of achieving the targetted production. The company has cash and cash equivalents for 27,631 crores, as on Sept 30, 2020.

The board of the company has declared a solid dividend of Rs 21.30 per share.