The dividend payment is subject to final approval from the shareholders in the company.
Lumax Industries has been declaring dividend continuously since the financial year 2000-01.
Auto components maker Lumax Industries has declared a final dividend of Rs 27 per equity share for the financial year ending March 31, 2023 (FY2023). Releasing its financial results for the March quarter on May 27, the company’s board of directors recommended a final dividend of 270% per share of face value of Rs 10 each for the financial year 2022-23.
The dividend payment is subject to final approval from the shareholders at the 42nd Annual General Meeting of the Company scheduled on August 22, 2023. It is worth noting that the board of directors makes the recommendation for the dividend, so getting approval during the meeting is a mere formality. Lumax Industries has said that the dividend will be paid to eligible shareholders within 30 days from the date of approval.
The ex-dividend date is the cutoff date after which shareholders purchasing shares will not be eligible to receive dividends. On the record date, the company reviews the list of shareholders eligible to receive the dividend. Lumax has not yet announced an ex-dividend or record date.
Lumax has a strong track record of paying dividends to its shareholders. The company paid a dividend of Rs 13.5 in 2022, then Rs 7 in 2021 and Rs 6 in 2020. In 2019, Lumax paid a dividend of Rs 35 per share.
The automotive lighting systems maker has been paying dividends almost every fiscal year since fiscal year 2000-2001.
Shares of Lumax Industries closed 6.75 per cent down at Rs 1884.25 on the BSE. The stock has gained 62 per cent in last one year and over 115 per cent in last three years.
Lumax operates a factory located in Gurugram where it produces vehicle components. The company serves as a supplier to several leading car and bike manufacturers. The majority stake in Lumax, around 75 per cent, is held by its promoters, while the remaining shares are owned by retail investors. In 2022, foreign institutional investors will hold 0.47 percent of Lumax shares, and this figure will increase to 0.84 percent in 2023.