Mini Ratna RailTel To Consider Interim Dividend On October 26; Telecom Stock Up 144% From 52-Week Low

Mini Ratna Company, RailTel Corporation is set to declare an interim dividend for its shareholders for the financial year 2023-24. This would be the first dividend for the current fiscal. The company's board of directors will be meeting on October 26 where they will consider the dividend proposal, however, RailTel has already announced the record date for the same.

As per the regulatory filing, RailTel said, a meeting of the Board of Directors of the Company is scheduled to be held on Thursday, 26th October 2023, inter-alia for the following:

- to consider and approve unaudited Financial Results for the quarter and half year ended on 30th September, 2023.

- to declare Interim Dividend, if any, for the Financial Year 2023-24."

Further, RailTel said, the Company has fixed Saturday, 04th November 2023 as "Record Date" for the purpose of determining the eligibility of Members entitled to receive the Interim Dividend for the FY 2023-24, if any, which is subject to the approval of the Board.

That being said, RailTel shares will turn ex-dividend on November 4th as well.

The Interim Dividend would be paid within 30 days from the date of its declaration at the Board Meeting.

During FY23, the company paid a total dividend of 25.50% amounting to Rs 2.55 per share. On the current market price, it has a dividend yield of 1.09%.

Last week, on Friday, RailTel shares ended at Rs 234.75 apiece, up by 0.62% on BSE. The stock is near its 52-week high of Rs 255 apiece. From its 52-week low of Rs 96.20 apiece, the stock has cirrently zoomed by a huge 144.02% on the exchange till now.

In the June 2023 quarter, RailTel registered a consolidated net profit of Rs 38.39 crore, higher from Rs 25.85 crore in Q1FY23 but lower from Rs 76.04 crore in Q4FY23. Consolidated revenue from operations stood at Rs 467.61 crore in Q1FY24 as against Rs 376.85 crore in Q1FY23 and Rs 703.63 crore in Q4FY23.

RailTel Corporation a "Mini Ratna (Category-I)" PSU is one of the largest neutral telecom infrastructure providers in the country owning a Pan-India optical fiber network.

Its OFC network covers all important towns & cities of the country and several rural areas covering 70% of India's population.

RailTel with a strong nationwide presence is committed to bringing cutting-edge technology and offering innovative services to the Indian Telecom market. RailTel is at the forefront of providing nationwide Broadband Telecom and multimedia Networks in all parts of the country in addition to the modernization of Train operations and administration network systems. With its Pan India high-capacity network, RailTel is working towards creating a knowledge society on various fronts.