240% To 1400% Dividends Payout: Nestle, Cyient Shares Trade Ex-Dividend On Nov 1 For Rs 12-140/Share Dividends

Two major stocks are trading ex-dividend on Wednesday ahead of their dividend payout in the range of 240% to a whopping 1400%. These stocks were FMCG player Nestle in the large-cap basket, and IT-enabled services company Cyient in midcap.

Here's what investors need to know:

Nestle Dividends:

This FMCG large-cap stock traded in deep red, slipping below its 24,000 rupees mark. At the time of writing, Nestle shares traded at Rs 23,911.25 apiece, down by Rs 328.05 or 1.35%, which was near its intraday low level of Rs 23,900. The stock price opened at Rs 24,170.05 apiece, down from the previous close of Rs 24,239.30 apiece.

The market cap of Nestle is over Rs 2.30 lakh crore.

The popular Maggie noodles maker has declared a second interim dividend of Rs 140 per share having a face value of Rs 10 each for r the year 2023 on the entire issued, subscribed and paid-up share capital of the Company of 9,64,15,716 equity shares of the nominal value of Rs. 10 each. In percentage terms, the dividend payout is 1400%.

According to the regulatory filing, Nestle's 2nd interim dividend for the year 2023 will be paid on and from 16th November 2023 to those members whose names appear in the Register of Members of the Company and as beneficial owners in the Depositories, as on the Record Date fixed for the purpose i.e., 1st November 2023.

In the financial year 2022, the company paid a total dividend of 2,200% amounting to Rs 220 per share.

The company has also announced the stock split in the ratio of 1:10 but its record date will be intimated in due course.

During the quarter that ended on September 30, 2023, Nestle's sales of products stood at Rs 5,009.52 crore in Q3 of the current year, compared to Rs 4,577.44 crore in Q3 of 2022. Revenue from operations was at Rs 5,036.82 crore in Q3 of 2023, as against Rs 4,658.53 crore in Q2 of 2023 and Rs 4,610.84 crore in Q3 of 2022.

Net profit also surged to Rs 908.1 crore in the quarter under review, as against Rs 661.46 crore in Q3 of 2022. In the previous quarter, Nestle's profitability was at Rs 698.34 crore.

Suresh Narayanan, Chairman and Managing Director, of Nestlé India said, "I am pleased to share that we have, yet again, delivered consistent performance almost across all major brands. Domestic sales grew double digits, on account of mix, volume and price. Key brands continued to perform well, led by KITKAT, NESCAFÉ CLASSIC, NESCAFÉ SUNRISE, supported by MUNCH and MILKMAID."

Nestle follows a calendar year for reporting financial results.

Cyient Dividends:

Unlike Nestle, this midcap IT stock traded on a bullish note. Cyient shares gained by a huge 3% to touch an intraday high of RS 1,637.35 apiece on BSE in early deals of the ex-dividend date.

At the time of writing, Cyient shares traded near its day's high to Rs 1,632.15 apiece, up by 2.67% with a market cap of Rs 18,078.34 crore.

As per the regulatory filing, the company declared an interim Dividend of Rs. 12/- per equity share (i.e. %) on the par value of Rs. 5/- per share for the financial year 2023-2024.

Further, the company fixed t 1 November 2023 as the record date for the above purpose and the dividend will be paid by 15 November 2023.

In FY23, the company paid a total dividend of 520% amounting to Rs 26 per share to its shareholders.

During Q2FY24, Cyient posted normalized PAT at Rs 172.8 crore, with QoQ growth of 1.5% and YoY growth of 70.8% (Reported PAT growth of 139.8% YoY). Its revenue stood at Rs 1,476 crores, registering a growth of 1.5% QoQ and 22.3% YoY respectively. In constant currency, the revenue growth was at 1% QoQ and 17.1% YoY.

Krishna Bodanapu, Executive Vice Chairman and Managing Director, of Cyient on October 19th said, "Cyient's DET business delivered revenue of $178.4 million, a growth of 17.1% YoY in constant currency driven by growth across Transportation, Sustainability, and Automotive businesses. The normalized DET EBIT margin stood at 16.5%, higher by 406 bps YoY. We won 5 large deals in DET with a total contract potential of $51.4 million in this quarter. We expect DET revenue growth to be in the range of 15 - 20% YoY in constant currency terms and to be at the lower end of this range. Margin trajectory remains robust."