New Delhi, Oct 29 (PTI) FMCG major Hindustan Unilever Ltd(HUL) will loosen its purse strings by Rs 2,084 crore forpaying dividend to shareholders as well as the dividenddistribution tax in the current fiscal.
The board of the consumer goods maker has declared aninterim dividend of Rs 8 per share of face value Re 1 each forthe year ending March 2018.
The dividend amounting to Rs 1,732 crore will cover about216 crore shares, Hindustan Unilever said in an investorpresentation.
Besides, there is a Rs 352 crore dividend distributiontax which will be borne by the company.
Last fiscal, the company had paid dividends amounting toRs 1,515 crore for similar number of shares, down 14.32 percent. The dividend distribution tax was Rs 308 crore lastyear.
"The company's Dividend Distribution Policy shall ensurethat it returns cash from operations that is in excess of itsimmediate and foreseeable needs back to the shareholders overthe long term," an HUL spokesperson told PTI.
The board has declared an interim dividend due to strongoverall performance in a challenging business environment, thespokesperson added.
HUL reported a 16.42 per cent jump in standalone netprofit at Rs 1,276 crore for the September quarter on theback of lower expenses, despite short-term challengesincluding transition to the new GST regime from July 1.
The company had posted a net profit of Rs 1,096 croreduring the same period of the previous fiscal.
Net sales during the quarter under review stood at Rs8,199 crore as against Rs 8,335 crore in the year-ago period,down 1.63 per cent.
HUL's expenses in the second quarter were down 5.95 percent at Rs 6,748 crore compared to Rs 7,175 crore duringJuly-September last fiscal. PTI PRJ ABMSBT.
This is unedited, unformatted feed from the Press Trust of India wire.
