Shares of Rallis India Ltd fell nearly one percent to ₹199 apiece on BSE in Monday’s first trading session as the stock began trading ex-dividend, a day ahead of its dividend record date which was announced with its Q4FY22 results in April.
The board of directors of Rallis India Limited at its meeting of April 21, 2022 proposed a dividend of ₹3/- per share of Re. 1/- each (300%) for the year ended March 31, 2022, subject to shareholder approval at the company’s 74th Annual General Meeting (AGM). The record date for said dividend has been set for Tuesday, June 7, 2022.
Rallis India is part of a Tata Chemicals subsidiary of the Tata Group. Tata Chemicals is the world’s second largest producer of soda ash with manufacturing facilities in Asia, Europe, Africa and North America.
Rallis India recorded a consolidated loss of ₹14 crore for the March 2022 quarter due to multiple challenges, including in the seed business, versus earnings from ₹8 crore in January-March 2020-21.
Consolidated sales of the Company’s chemical business in the quarter under review increased by 7.8% to ₹508 crores of ₹471 crore in the period a year ago.
“The company delivered a resilient performance following multiple headwinds during the year. Our domestic crop protection products business increased by 14% and our exports by 6% during the year. Our seed business faced challenges and revenue was down 13%,” Rallis said. India Managing Director and CEO Sanjiv Lal. According to him, supply chain challenges continued in the fourth quarter with availability issues for some intermediaries as well as high cost inflation.
Shares of Rallis India are down more than 38% year-on-year, while Tata Group’s chemicals stock is down more than 27% in 2022 (YTD) so far.