Voltas Declares Dividend of ₹7 per Share for FY25
Tata Group’s leading air conditioning and consumer electronics company, Voltas Ltd, has announced a dividend of ₹7 per share for 2024-25 (FY25).
Key Details:
Dividend Per Share (DPS): ₹7 (subject to shareholder approval at the AGM).
Record Date: To be announced (likely in June-July 2025).
Payout Ratio: Estimated ~30-35% of net profits (based on FY25 earnings projections).
Dividend Yield: ~1.2-1.5% (at current share price of ~₹1,100-1,200).
Context & Financials:
FY25 Performance: Voltas saw revenue growth in its unitary cooling products (ACs) but faced margin pressures due to commodity costs.
Tata Group Synergy: Benefits from Tata’s retail push (Croma, Tata Neu) likely supported sales.
Shareholder Impact:
✅ Steady Payout: Consistent with Voltas’ dividend history (₹6.5/share in FY24).
⚠️ Tax Implications: Dividends are taxable in shareholders’ hands (post TDS, if applicable).
Market Reaction: Shares may see a short-term uptick, but long-term focus remains on market share vs. competitors like Blue Star & Daikin.
