Last Updated: March 14, 2023, 08:13 IST
GAIL (India) Limited, a Maharatna CPSE under the Ministry of Petroleum & Natural Gas has approved an interim dividend of Rs 4 per equity share for the financial year 2022-23.
“The Board of Directors in its meeting held today had inter-alia, approved the payment of interim dividend for FY 2022-23 at 40 per cent (Rs 4 per equity share) on the paid-up equity share capital,” the company said in a filing.
GAIL said the interim dividend will be paid with reference to the record date.
The record date for this has been kept as 21 March 2023. In the current financial year, the company had issued the first dividend in August 2022. At that time the company had declared a final dividend of 10 per cent ie Re 1 per share.
The total dividend payout would be Rs 2,630 crore, the company said in a statement after its board of directors approved payment of an interim dividend.
GAIL chairman and managing director Sandeep Kumar Gupta said the company has been providing shareholders with a steady long-term returns on their investments.
The government of India, with 51.52 per cent shareholding in the company, will receive Rs 1,355 crore dividend.
GAIL Dividend History
The company has paid out a dividend of Rs 6 per share in the last 12 months, which results in a dividend yield of Rs 5.4 per cent if we consider the current share price levels. Adjusting for the bonus and splits, the dividend yield is 3.6 per cent.
Should you Invest in GAIL?
In the month of February, many brokerages had advised to buy on Gail India. CLSA had increased the target price (GAIL target price) from Rs 10 to Rs 125 for this. HDFC Securities has given a target of Rs 110 and ICICI Direct has given a target of Rs 115. Talking about the results of the third quarter, the standalone profit of Gail India fell by 92 percent (YoY) to Rs 245 crore. The company’s income increased by 37.2 percent on an annual basis in the third quarter to Rs 35,380 crore.
On Monday, the stock closed 0.41 per cent lower at Rs 110.60 apiece on NSE. On a year-to-date basis, the shares have gained 15 per cent so far this year. The stock is currently trading near its 52-week high of Rs 115.67, which was hit in April last year.
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