70 firms to pay Rs 2,087 crore as dividend

The postman's bag of goodies is full of dividend warrants, from both public and private sector companies. The government is laughing, too, because it is the main beneficiary of interim dividends. It is set to collect a dividend of Rs 500 crore from six public sector companies, and another Rs 282 crore as dividend tax.

Data collated from Bombay Stock Exchange bulletins show 70 companies, including seven PSUs, have proposed to pay Rs 2,087 crore by way of interim dividend during the current financial year. This works out to 41 per cent of the net profits declared by these companies in the first half of the year.

Ten companies, including one PSU, have proposed to pay a dividend of over 100 per cent. Infosys Technologies tops the interim dividend payout list at a mindboggling 290 per cent.

Hindustan Lever paid a 250 per cent dividend, followed by Shipping Corporation (170 per cent), Foseco (125 per cent) and Alfa Laval, Balaji Telefilms, Cummins India, HCL Technologies, IBP and Nestle (100 per cent each).

Fifteen companies paid interim dividends between 50 per cent and 75 per cent each. Jindal Steel and Tide Warter Oil paid 75 per cent each, Jetking Info 70 per cent, and D-Link, Dabur, Elgi Equipment, Navneet Publication, Satyam Computer, Sundram Fastners and TVS Motors 60 per cent each.

Shipping Corporation, Tourism Finance Corporation, Colgate and Foseco have paid interim dividends in excess of their half-yearly net profits.

Honda Siel Power, Herbertsons, Cummins India, Nestle India and Hindustan Lever have paid dividends of over 75 per cent of their half-yearly net profits.

Infosys Technologies and Satyam Computer paid only 14-16 per cent of their half-yearly net profits, while Ranbaxy paid 50 per cent at a payout of 19.46 per cent.