Banco zooms on dividend

While there is a carnage on Dalal Street with more stocks hitting new lows, Banco Products is shining like a bright star in the dark sky.

The top gainer currently, from its close of yesterday at Rs.84.75, the stock opened today morning at Rs.100 and went up to an intraday high at Rs.100.85, very close to its 20% UC of today at Rs.101.70.

At the Board meeting yesterday, the company approved a dividend payout of 1000% or Rs.20 per Rs.2 FV share for FY20.

The record date has been fixed for Thursday, 19th March, 2020 and the same shall be paid on or after 24.03.2020.

Last fiscal, for FY19, it had declared a dividend of 150% or Rs.3 per share.

Financially, it had a tough Q3FY20, with net sales coming in at Rs.318 crore, the lowest in five quarters. It posted a net profit of Rs.13 crore v/s loss of Rs.4 crore (YoY) but this is thanks to the lower tax and non-business income contributing to the topline, which is not sustainable.