Shares of Clariant Chemicals surged 18% to Rs 575 on the BSE on Monday after the company announced a special interim dividend on equity shares of Rs 140 per share – whopping 1400% – for the current financial year 2020-21 (FY21).
The company has fixed July 18, 2020 as the record date for the purpose of payment of special interim dividend. The dividend shall be paid on or after July 19, 2020.
The timing of dividend announcement is immaculate given that the scope for buying remains restricted to just one day. A very little room for fly-by-night operators.
Further, the stock of the specialty chemical was trading at its fresh 52-week high level. In the past three months, it rallied 106% as compared to 20% rise in the S&P BSE Sensex.
For the previous financial year 2019-20 (FY20), Clariant Chemicals (India) had reported a more-than-double net profit at Rs 71 crore, compared to Rs 30 crore in the corresponding previous year (FY19). The company’s sales from continuing operations, however, grew marginally at 5.4% to Rs 757 crore for FY20, as compared to sales of Rs 719 crore in FY19.
The Company’s strong bottom line and cash performance is a result of the continued momentum from strategy to drive profitable growth while expanding presence in the market with superior products.
Clariant has shown some innovations in sustainability-oriented masterbatches. The simplification and divestment of the masterbatch business has played out favourably.
This document is meant for the recipient only for use as intended and not for circulation. This document should not be reproduced or copied or made available to others. The information contained herein is from the public domain or sources believed to be reliable. While reasonable care has been taken to ensure that information given is at the time believed to be fair and correct and opinions based thereupon are reasonable, due to the very nature of research it cannot be warranted or represented that it is accurate or complete and it should not be relied upon as such. Also above note is not a recommendation to Buy or SELL and is only a view based on facts and figures and we will be in no way responsible for any losses incurred by anyone who uses this information to either trade or invests securities mentioned herein.