Rs 30/Share Dividend: Buy The Shares of Commodity Chemical Stock For 300% Payout?

In 1956, Polychem Limited was founded. Polychem Limited pioneered the nation's manufacturing of vinyl acetate, polyvinyl alcohol, polystyrene, and styrene. In 1957, Polychem opened the nation's first thermoplastics facility. Mumbai is the headquarters of the company's operations facilities. The firm specialises in producing polymers and co-polymers from styrene, acrylic acid, divinyl benzene, and acrylates using an emulsion or suspension polymerization process.

Polychem Dividend

"The Board of Directors of the Company at their meeting held today i.e. 14th May, 2024, have inter alia, approved the Payment of dividend of Rs. 30/- per equity share of Rs 10/- each i.e 300% on the Equity shares of the Company for the financial year ended 31st March, 2024, subject to the approval of shareholders at the ensuing Annual General Meeting," said Polychem in a regulatory filing.

Trendlyne data indicates that from September 12, 2002, Polychem Ltd. has issued eight dividends. Polychem Ltd. announced an equity dividend of Rs 20.00 per share in the last 12 months. With a share price of Rs 3173.90 currently, Polychem Ltd. offers a dividend yield of 0.63%.

Polychem Financials

On a standalone basis, the company reported revenue from operations of Rs 10.52 crore in the quarter ended March 2024 up 49.63% from Rs. 7.03 crore in the quarter ended March 2023. Its net profit climbed by 289.47% from Rs. 0.50 crore in Q4FY23 to Rs. 1.96 crore in Q4FY24. EBITDA climbed by 217.44% to Rs. 2.73 crore in the quarter under review from Rs. 0.86 crore in the same quarter last year.

Polychem's consolidated net profit jumped by 57.72% to Rs 2.35 crore in the quarter that ended in March 2024 from Rs 1.49 crore in the quarter that ended in March 2023. Sales for Q4FY24 jumped 36.25% to Rs 14.62 crore from Rs 10.73 crore in the corresponding quarter for the year ending March 2023.

Net profit for the entire year dropped by 0.41% to Rs 7.20 crore in the fiscal year that ended in March 2024 from Rs 7.23 crore in the fiscal year that ended in March 2023. Sales for the year ended March 2024 climbed 5.88% to Rs 52.61 crore in FY24 from Rs 49.69 crore in the year ended March 2023.

Polychem Share Price Target

"Polychem Ltd is overbought and slightly bearish with strong resistance now at 3340. Investors should be booking profits at current levels as a daily close below support of 3038 could lead to 2510 in the near term," commented AR Ramachandran from Tips2trades.

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.