Tata Consumer Products board in its annual general meeting has approved a dividend payment for its shareholders. The company said: “The Board has approved a dividend of Rs 6.05/equity share, up 49 per cent YoY.”
Earlier, on the dividend front, the company’s filing dated May 4, 2022 said, “The Board has recommended a final dividend of Rs. 6.05/- per equity share of Re. 1 each (605 per cent), for the financial year 2021-22. The Dividend, if approved by the members at the ensuing Annual General Meeting (“AGM”), will be paid/dispatched (subject to deduction of tax at source) after the AGM and within 30 days of its declaration”.
Read More:-Zomato Acquires Blinkit In A Share Swap Deal; Should you Buy, Sell or Hold Stocks?
On speaking about the year gone by, the company said that “The last year has been a very eventful one. The challenges posed by the pandemic and more recently, geo-political developments have resulted in a very volatile macro environment with a wide-ranging impact on people, economies, and businesses. These unprecedented challenges have also thrown up opportunities for us to adapt to new ways of thinking, be agile and build for the future. This mindset has helped your company deliver strong overall performance.”
It said that it has made substantial progress on all the six strategic priorities that we had identified for the Company. Significant progress has been made on expanding our distribution, accelerating the pace of innovation, redesigning the supply network, and driving digital transformation across the value chain. “These are investments we are making for the long-term and I am confident they will position us well for future growth,” the FMCG company said.
In terms of performance, the India business grew 13 per cent and the company recorded market share gains in both our core categories of Tea and Salt. “We have expanded our portfolio into the Ready-to-Eat category with the acquisition of Tata SmartFoodz and the business has been integrated with speed. Our growth businesses – NourishCo, Tata Sampann, Tata Soulfull, and Tata Q, collectively grew 52 per cent during the year and we are investing in these businesses to fuel them further,” the BSE filing noted.
The FMCG company is a large-cap entity engaged in the trading, production, and distribution of tea, coffee, and water. The company has delivered stellar returns in the last five years despite rising inflation and a pandemic that threatened growth. The stock touched the 52-week low at Rs 650.20/share on March 7, 2022, and 52 weeks high at Rs 889/share. The stocks have given positive returns of 174.43 per cent in the last 3 years and massive multi-bagger returns of 375.32 per cent in 5 years.
Read More: PPF, Senior Citizen Savings Scheme, Sukanya Samriddhi Interest Rates to be Hiked Soon?
While noting the probable challenges ahead, the company said: “Geo-Political tensions, supply chain challenges, and demand-supply mismatches in crude and several other commodities are driving persistent inflation, which will likely impact demand across categories. In this uncertain environment, we will continue to focus on strong execution, maintaining agility and nimbleness to adapt and navigate through short-term bumps; and more importantly to take advantage of opportunities that could arise during this period.”
