Rs 6.3/Share Dividend: Midcap Shipping Stock To Pay 63% Interim Dividend In November; How To Be Eligible?

Midcap company, Great Eastern Shipping will be rewarding shareholders with a dividend payout to the tune of 63% in November month. The company earned a consolidated net profit of nearly Rs 595 crore for the second quarter of FY24.

As per the regulatory filing, the company's board has declared an interim dividend of Rs. 6.30 per share to the equity shareholders of the Company. In percentage terms, the payout would be 63%.

How to be eligible for the dividend benefits?

It needs to be noted that those shareholders will receive 63% interim dividends who are holding Great Eastern share price by the end of the record date.

The record date is fixed to ascertain the shareholders eligible for receiving interim dividends and for Great Eastern's latest dividend it would be November 08, 2023. The interim dividend will be paid to the shareholders on or after November 22, 2023.

Accordingly, the ex-dividend date for Great Eastern's share price is also set on November 8th.

In August month, the company's share price turned ex-dividend for the first interim dividend of Rs 5.40 per share or 54% and a special dividend of Rs 7.50 per share or 75% for the current fiscal.

During the financial year 2022-23, the company declared a total dividend of 288% amounting to Rs 28.8 per share.

On October 27th, the company also announced its financial results for the quarter ending September 30, 2023. The company's consolidated net profit stood at Rs 594.66 crore, higher from Rs 576.27 crore in the previous quarter, but sharply lower from Rs 768.83 crore in Q2 of FY23.

Meanwhile, the company's revenue from operations stood at Rs 1,229.02 crore in Q2FY24, also declining from Rs 1,447.45 crore in Q2FY23 and Rs 1,283.69 crore in Q1FY24. Great Eastern Shipping also said, "Our consolidated NAV has moved in H1FY24 to Rs 1,263/share. First time, our shipping NAV has moved past Rs 1,000/Share."

Due to a decline in quarterly reports, Great Eastern's share price ended at Rs 797.20 apiece, down by 3.67% on BSE. At the current market price, the stock's dividend yield is at 3.61%.

Also, last week, the company said that it has contracted to buy a Kamsarmax dry bulk carrier of about 80,919 dwt on October 27, 2023. The 2014 built vessel is expected to join the Company's fleet in Q3 FY24.

Apart from this, the company also took delivery of a 2008 built medium range (MR) product tanker "Jag Parth" of about 46,197 dwt. The Company had contracted to buy the vessel in Q2 FY24.

So far, the company's current fleet stands at 42 vessels, comprising 29 tankers (6 crude carriers, 19 product tankers, 4 LPG carriers) and 13 dry bulk carriers aggregating 3.33 Mn dwt.