The board of Tata Consumer Products approved a dividend payment for its shareholders at its annual general meeting. The Board has recommended a dividend of Rs 6.05 per equity share, up 49% year over year, the business announced.
The Board has recommended a final dividend of Rs. 6.05/- per equity share of Re. 1 each (605%), for the financial year 2021–2022, according to the company’s filing from May 4, 2022. If the members of the following Annual General Meeting (“AGM”) approve the Dividend, it will be paid or dispatched (subject to withholding of tax at source) following the AGM and within 30 days of its declaration.
The firm stated that the previous year had been “a highly eventful one” while discussing it. A very unpredictable macro environment has been created as a result of the pandemic’s issues and more recent geopolitical developments, which have had a significant influence on people, economies, and companies. These exceptional obstacles have given us the chance to be flexible, adapt to new ideas, and develop for the future. Your business has produced strong overall performance thanks to this way of thinking.
It claimed that it had advanced significantly on each of the six strategic goals we had set for the company. There has been a significant advancement in our efforts to broaden our distribution, speed up innovation, rethink the supply chain, and promote digital transformation throughout the value chain. The FMCG company stated, “These are long-term investments we are making, and I am certain they will position us well for future growth.
Performance-wise, the India business expanded by 13%, and the company saw increases in market share in its two main product categories, salt, and tea. “With the acquisition of Tata SmartFoodz, we have widened our portfolio and quickly integrated the Ready-to-Eat business. Our growing businesses—NourishCo, Tata Sampann, Tata Soulful, and Tata Q—grew by a combined 52 percent over the year, and we are investing in them to help them expand even more, according to the BSE filing.
The large-cap FMCG corporation deals in the manufacturing, distribution, and trade of tea, coffee, and water. Despite growing prices and a pandemic that threatened expansion, the company has produced exceptional results over the past five years. On March 7, 2022, the stock reached its 52-week low of Rs 650.20/share and its 52-week high of Rs 889/share. In the last three years, the stocks have generated positive returns of 174.43%, and over five years, they have generated enormous multi-bagger gains of 376.32%.
The company stated the following while highlighting the potential difficulties to come: “Geopolitical concerns, supply chain issues, and demand-supply mismatches in crude and several other commodities are generating sustained inflation, which will likely hurt demand across categories. We will continue to put a high emphasis on execution in this uncertain environment, while also preserving flexibility and nimbleness to adjust and navigate through temporary hiccups, and more crucially, to seize any opportunities that may present themselves.