Hero MotoCorp Announces Record Rs 100 Interim Dividend
The record date for the interim dividend payout has been fixed by Hero MotoCorp as Feb. 12.
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Hero MotoCorp. Ltd. on Thursday announced a record interim dividend of Rs 100 per share, having nominal value of Rs 2 each, for the financial year 2024-25.
The record date, to determine the shareholders eligible for the dividend payout, has been fixed as Feb. 12, according to an exchange filing.
"The payment of dividend/dispatch of dividend warrants will be completed by March 8, 2025," the filing stated.
The motorcycle manufacturer's cash and cash equivalents stood at Rs 177.73 crore, as of Sept. 30, 2024, but the interim dividend announced by the company — at Rs 100 per share — will result in a payout of Rs 2,000 crore.
Hero MotoCorp delivered robust third-quarter earnings, boosted by a surge in sales and a focus on premiumisation.
Standalone net profit for India's largest two-wheeler manufacturer rose by 12.1% year-on-year to Rs 1,203 crore in the three months ending Dec. 31, 2024, while revenue climbed 5% to Rs 10,211 crore.
Bloomberg's analysts had estimated the topline at Rs 10,235 crore and the bottom line at Rs 1,162 crore.
Before the results were declared, shares of Hero MotoCorp closed 0.94% lower at 4,230.05 apiece on the National Stock Exchange, compared to a 0.39% fall in the benchmark Nifty. The stock has declined 11.57% in the last 12 months.
Out of the 42 analysts tracking the company, 27 maintain a 'buy' rating on the stock, nine recommend 'hold' and six suggest 'sell', according to Bloomberg data. The average of 12-month analysts' price targets implies a potential upside of 20.6%.
