After Paying Rs 377.50% Dividend In FY23, BSE 500-Listed Stock To Declare Dividend For FY24, Fixes Record Date

India's largest mutual fund transfer agency, Computer Age Management Services (CAMS) is set to reward its shareholders with interim dividend for the financial year 2022-23. CAMS has also fixed the record and payment date for the same. The stock is listed under the BSE 500 index on the exchange.

As per the regulatory filing, the CAMS board of directors are scheduled to meet on Wednesday, November 8, 2023, to consider and approve the Unaudited Financial Results (Standalone and Consolidated), for the quarter and half year ended September 30, 2023.

Further, CAMS said, the Board will also consider payment of an Interim Dividend. The record date for ascertaining the shareholders entitled to the interim dividend, if any approved by the Board, will be November 17, 2023."

That being said, CAMS shares will turn ex-dividend on November 17.

In general terms, dividends are distributed also in a certain proportion by listed companies from their net profits earned in a respective financial year. The record date is proposed by the listed company's board of directors to determine the name of the eligible shareholders for dividends. As per BSE FAQs, to be eligible to receive dividends, investors have to have shares in the Demat account by record date. Meanwhile, the ex-dividend date is the day when the price of the equity share of the listed company gets adjusted for the dividend payout.

In FY23, CAMS paid a whopping 377.50% dividends amounting to Rs 37.75 per share to its shareholders.

At the current market price, CAMS stock has a dividend yield of 1.51%.

On Monday, CAMS share price closed at Rs 2,492.35 apiece down by Rs 28.85 or 1.14% on BSE. Its market cap is over Rs 12,243 crore.

During Q1FY24, CAMS posted 17.9% YoY growth in PAT to Rs 76.34 crore while PAT margins stood at 28.2%. Revenue from operations zoomed by 10.4% YoY to Rs 261.30 crore. Also, Q1FY24 was marked with increased Q-o-Q MF AuM share from 68.3% to 68.7% riding on a higher share of net sales in both equity and debt segments. Additionally, CAMS Alternatives' revenue grew ~19% Y-o-Y in Q1FY24 despite a challenging macro environment.

CAMS is a financial infrastructure and service provider to mutual funds and provides platform-based services to other financial institutions. The Company is India's largest registrar and transfer agent of mutual funds with an aggregate market share of approximately 69% based on mutual fund average assets under management ("AAUM").

The Company has grown its market share from approximately 61% in March 2015 to approximately 69%, based on AAUM services. Its mutual fund clients include nine of the fifteen largest mutual funds as of June 2023.