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Background
The Dividend Distribution Policy is formulated as required by the Regulation 43A of the Securities and Exchange Board of India
(Listing Obligations and Disclosure Requirements) Regulations, 2015.
Philosophy
¹ĺĚ ūŞƎîŠNj ċĚŕĿĚDŽĚƙ ƥĺîƥ ƎŕūƭijĺĿŠij ċîČŒ ūlj ƎƑūǛƥƙ ljūƑ ēƑĿDŽĿŠij ijƑūDžƥĺ Ŀƙ ĿŞƎūƑƥîŠƥ ĿŠ ƥĺĚ ŕūŠij ƑƭŠ ljūƑ ƥĺĚ ČƑĚîƥĿūŠ ūlj
ƙĺîƑĚĺūŕēĚƑƙɄ DŽîŕƭĚȦ
ƥ ƥĺĚ ƙîŞĚ ƥĿŞĚȡ Ŀƥ ƑĚČūijŠĿƙĚƙ ƥĺĚ ŠĚĚē ljūƑ ēĿƙƥƑĿċƭƥĿŠij î ƎūƑƥĿūŠ ūlj ƥĺĚ ƎƑūǛƥ îƙ ƎîNjūƭƥ ċNj DžîNj ūlj
îƎƎƑūƎƑĿîƥĚ ƑîƥĚ ūlj ēĿDŽĿēĚŠē ƥū ƥĺĚ ƙĺîƑĚĺūŕēĚƑƙȦ ¹ĺƭƙȡ ƥĺĚ ūŞƎîŠNj ƙƥƑĿŒĚƙ î ŏƭēĿČĿūƭƙ ċîŕîŠČĚ ċĚƥDžĚĚŠ ƥĺĚ ƥDžū DžĺĿŕĚ
recommending the dividend rate for approval of the shareholders.
Parameters for declaration of dividend
A) Financial parameters | Internal factors:
Ŀȴ
ūŠƙūŕĿēîƥĚē ŠĚƥ ūƎĚƑîƥĿŠij ƎƑūǛƥ îljƥĚƑ ƥîNJ
ii) Working capital requirements
iii) Capital expenditure requirements
ĿDŽȴ ¤ĚƙūƭƑČĚƙ ƑĚƐƭĿƑĚē ƥū ljƭŠē îČƐƭĿƙĿƥĿūŠƙ îŠē ʈ ūƑ ŠĚDž ċƭƙĿŠĚƙƙĚƙ
v) Cash required to meet contingencies
vi) Quantum of outstanding debt
vii) Past dividend trends
viii) Investments in subsidiary | associate companies
ix) Outlook for the near-term
B) External factors:
i) Government policies
ĿĿȴ /ČūŠūŞĿČ ĚŠDŽĿƑūŠŞĚŠƥ îŠē ūƭƥŕūūŒ ljūƑ ijƑūDžƥĺ
iii) Trade cycles
iv) Dividend declared by companies in the same industry
v) Any other factor having impact on the business of the Company
Circumstances under which the shareholders may or may not expect dividend
¹ĺĚ ƙĺîƑĚĺūŕēĚƑƙ ŞîNj ijĚŠĚƑîŕŕNj ĚNJƎĚČƥ î ƑĚîƙūŠîċŕĚ ēĿDŽĿēĚŠē ĿŠ ČîƙĚ ūlj ƙĿijŠĿǛČîŠƥ ƎƑūǛƥ îŠē Čîƙĺ ǜūDž ljƑūŞ ūƎĚƑîƥĿūŠƙȦ
Utilisation of retained earnings
¹ĺĚ ūŞƎîŠNj ŞîNj ēĚČŕîƑĚ ēĿDŽĿēĚŠē ūƭƥ ūlj ƥĺĚ ƎƑūǛƥƙ ūlj ƥĺĚ ūŞƎîŠNj ljūƑ ƥĺĚ NjĚîƑ ūƑ ūƭƥ ūlj ƥĺĚ ƎƑūǛƥƙ ljūƑ îŠNj ƎƑĚDŽĿūƭƙ NjĚîƑ ūƑ
NjĚîƑƙ ūƑ ūƭƥ ūlj ƥĺĚ ljƑĚĚ ƑĚƙĚƑDŽĚƙ îDŽîĿŕîċŕĚ ljūƑ ēĿƙƥƑĿċƭƥĿūŠ ūlj ēĿDŽĿēĚŠēȡ îljƥĚƑ ĺîDŽĿŠij ēƭĚ ƑĚijîƑē ƥū ƥĺĚ ƎîƑîŞĚƥĚƑƙ ŕîĿē ēūDžŠ ĿŠ
this policy.
Parameters adopted with regard to various classes of shares
a) The authorised share capital of the Company is divided into equity shares of
`
10 each and preference shares of
`
100
each. The issued and paid-up share capital of the Company comprises only equity shares.
ċȴ ¹ĺĚ ūŞƎîŠNj DžĿŕŕ ǛƑƙƥ ēĚČŕîƑĚ ēĿDŽĿēĚŠē ūŠ ūƭƥƙƥîŠēĿŠij ƎƑĚljĚƑĚŠČĚ ƙĺîƑĚƙȡ Ŀlj îŠNjȡ îƥ ƥĺĚ ƑîƥĚ ūlj ēĿDŽĿēĚŠē ǛNJĚē îƥ ƥĺĚ ƥĿŞĚ
ūlj ĿƙƙƭĚ ūlj ƎƑĚljĚƑĚŠČĚ ƙĺîƑĚƙ îŠē ƥĺĚƑĚîljƥĚƑȡ ƥĺĚ ēĿDŽĿēĚŠē DžĿŕŕ ċĚ ēĚČŕîƑĚē ūŠ ĚƐƭĿƥNj ƙĺîƑĚƙȦ
Amendment
The Policy may be amended by the Board of Directors.
Dividend Distribution Policy
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