Indian Oil Corporation (IOCL), recognized as the country's largest oil marketing company, has made a significant announcement for its shareholders. The company is set to distribute an interim dividend for the financial year 2025-26, while this decision, declared on Friday, December 12, involves a payout of ₹5 for each equity share with a face value of ₹10. This move is expected to bring positive sentiment among the vast investor base of the public sector undertaking.
Key Dates for Shareholders: Record Date and Ex-Dividend Trading
Following the dividend declaration, IOCL also specified crucial dates for its shareholders. The record date for determining eligible shareholders for this interim dividend has been fixed as Thursday, December 18, while this date is particularly important as it dictates which shareholders will receive the dividend. On the same day, December 18, Indian Oil shares will commence trading on an ex-dividend basis. The concept of ex-dividend trading means that any new shares purchased on. Or after this date won't be entitled to receive the declared dividend.
Eligibility for Dividend: Understanding the Cut-off
For investors keen on benefiting from this dividend payout, understanding the eligibility criteria is paramount, while as per standard market practices, to be eligible for the dividend, shares must be purchased before the ex-dividend date. In the case of Indian Oil Corporation, this implies that investors must acquire the shares by Wednesday, December 17. Shares bought on December 18 or later won't qualify for this specific interim dividend. This ensures that only those shareholders whose names appear in the. Company's records on the record date are entitled to the benefit.
Dividend Payout Timeline
Indian Oil Corporation has also provided clarity on when the dividend amounts will reach the eligible shareholders. According to the company's filing with stock exchanges, the interim dividend will be credited directly to the bank accounts of the eligible shareholders, while the company has committed to completing these transfers on or before January 11, 2025. This timeline provides investors with a clear expectation regarding the receipt of their dividend earnings.
The announcement of the interim dividend coincided with a positive trading session for Indian Oil Corporation's shares on Friday. On the Bombay Stock Exchange (BSE), the company's shares closed at ₹163, while 60, marking an increase of ₹1. 95, or 1, while 21%, from its previous closing price. The shares had opened higher at ₹162. 50, compared to Thursday's close of ₹161. 65. Throughout the trading day, the stock demonstrated further upward momentum, particularly after the dividend declaration, indicating a favorable market reaction.
Intraday Movement and 52-Week Range
During Friday's trading session, Indian Oil shares experienced an intraday high of ₹164. 85 and an intraday low of ₹162. 05, while this movement reflects active trading and investor interest in the stock. Plus, it's noteworthy that Indian Oil's shares are currently trading near their 52-week high. The 52-week high for the government-owned oil company's shares stands at ₹174. 45, while its 52-week low is ₹110. 75. The current price level suggests strong performance over the past year, with the dividend announcement potentially adding to investor confidence.
