Shares of Mazagon Dock Shipbuilders Ltd, a Navratna public sector undertaking (PSU), grabbed investor attention today, April 8, as the company’s board meets to consider the declaration of a second interim dividend for the financial year 2024-25.
In an exchange filing dated March 28, the company stated, “A meeting of the Board of Directors of Mazagon Dock Shipbuilders Limited is scheduled for Tuesday, 08 April 2025, to consider, among other things, the declaration of the second interim dividend for FY 2024-25 for the equity shareholders of the company.”
Robust FY25 performance
Earlier in the day, the company also reported a strong financial performance for the year ended March 31, 2025. According to provisional and unaudited figures, Mazagon Dock clocked a turnover of approximately Rs 10,775.34 crore, a notable rise from Rs 9,466.58 crore in the previous financial year.
Dividend track record
If approved, this will mark the second interim dividend for the current fiscal. The first interim dividend of Rs 23.19 per share was announced with a record date of October 30, 2024.
Since February 2021, the company has declared nine dividends, and over the last 12 months alone, shareholders have received a total of Rs 35.30 per share. At the current market price, Mazagon Dock offers a dividend yield of 1.52 per cent.
Offer for Sale (OFS) details
Recently, Mazagon Dock concluded a two-day offer for sale (OFS), through which the Government of India, the promoter, offloaded a 4.01 per cent stake in the company.
Initially, the plan was to sell a 2.83 per cent stake, but due to oversubscription, the promoter exercised the green shoe option, adding another 1.18 per cent stake (equivalent to 47,69,988 equity shares). This brought the total OFS size to 1,61,80,354 shares, with the floor price set at Rs 2,525 per share.
The OFS opened on April 4 for non-retail investors and was fully subscribed on Day 1. On April 7, retail investors, employees, and unallotted non-retail bidders participated. However, the retail portion received a tepid response, with only 0.07 per cent of the offer size subscribed.
Stock performance
Shares of the defence sector company climbed as much as 5.62 per cent and hit an intraday high of Rs 2,447.55 and a low of Rs 2,342. Later, it was trading at Rs 2,365.10, up 2.06 per cent from its previous close, according to NSE data.
Mazagon Dock Shipbuilders currently enjoys a strong market presence with a market capitaliation of nearly Rs 96,000 crore.
