Shares of SBI Cards and Payment Services Ltd. will be in the spotlight on Monday, as the day marks the last session for investors to buy shares to qualify for receiving interim dividend before the stock goes ex-date.
The record date will determine the eligible shareholders, who will receive the dividend payment. The ex-dividend date, which mostly coincides with the record date, marks when the share price adjusts to reflect the upcoming payout.
Last week, the board of SBI Cards declared an interim dividend of Rs 2.5 per equity share of a face value of Rs 10 each for the financial year 2025. To determine the shareholders eligible for the dividend payout, the board has fixed a record date of Feb. 25.
The dividend will be credited or dispatched on or before March 18.
Given India’s T+1 settlement cycle, shares purchased on the record date (Feb. 25 in this case) will not be eligible for the dividend payment. Therefore, investors who own shares by Feb. 24 will be the beneficiaries.
SBI Cards will be paying a total of Rs 238 crore as interim dividend.
The credit card company has paid a similar amount of interim dividend for the last three years.
According to the shareholding pattern as of December, over nine lakh retail investors holding nominal share capital up to Rs 2 lakh own 4.43% equity.
Dividends are a way for companies to reward their shareholders.
Shares of SBI Cards closed 1.7% lower at Rs 835.10 apiece on the BSE on Friday, compared to a 0.56% decline in the benchmark Sensex. The stock has risen 13% in the last 12 months and 26% so far this year.
. Read more on Markets by NDTV Profit.SBI Cards will be paying a total of Rs 238 crore as interim dividend. Read MoreMarkets, Business, Notifications
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