Rs 13/Sh Dividend: Pharma Stock Declares 7% Rise In Net Profit, Record Date Next Week; Buy?

Cipla Ltd on Friday announced a jump of 18.3% on-year in its Q1 FY 2025 net profit to Rs 1178 crore. The leading drugmaker announced a jump of 7% in its revenue from operations for the April to June quarter to Rs 6694 crore. Last trading price of Cipla Ltd share on BSE is Rs 1578.25 per share with gain of 5.22%. Cipla shares offered return of 26% year-to-date and soared 48% in last 1-year. The company's market capitalisation stood at Rs 1,27, 446.53 crore. Board of Cipla Ltd on May 10 also recommended final dividend of Rs 13 per equity share of the face value of Rs 2/- per equity share for the FY ended March 31, 2024.

Record date for Rs 13/share dividend is August 2, 2024. Earlier, leading brokerage firm Motilal Oswal has recommended buy call to Cipla shares with target price of Rs 1700 apiece. More details below:

Cipla Q1 Results: Cipla declared its EBITDA for Q1 at Rs 1716 crore, up 14%. EBITDA margin of Cipla soared to 25.6% for the April to June quarter from 24.1% declared in the corresponding quarter of last year.

"Our One-India business continued on its growth trajectory during the quarter, led by branded prescription which grew at 10 percent. Our concentrated focus and execution in differentiated portfolio have further strengthened the US business which yet again posted all-time high quarterly revenue at $250 million. In South Africa, we recorded a solid growth of 19 percent YoY in local currency terms, led by private market. Going ahead, focus will be on growing our key markets, further building our flagship brands, investing in future pipeline as well as focusing on resolutions on the regulatory front," said Umang Vohra, MD and Global CEO, Cipla Ltd.

Cipla Ltd Dividend: As per the regulatory filing of Cipla issued as on May 10, 2024, "recommended payment of final dividend of Rs. 13 per equity share (face value of Rs. 2 per equity share) for the financial year ended 31st March 2024. The dividend, upon approval by the shareholders, will be paid within 30 days from the date of the Annual General Meeting. The record date for the purpose of payment of final dividend, if declared, shall be 2nd August 2024."

Shareholding Pattern: Promoters have decreased holdings from 33.47% to 30.91% in June 2024 quarter. FII/FPI have increased holdings from 25.82% to 27.82% in June 2024 quarter. Number of FII/FPI investors increased from 1031 to 1103 in June 2024 quarter. Mutual Funds have increased holdings from 16.83% to 17.62% in June 2024 quarter. Number of MF schemes increased from 37 to 41 in June 2024 quarter.

Institutional Investors have increased holdings from 50.25% to 52.76% in June 2024 quarter. LIC has a stake of 3.53% in Cipla with 28,423,183 shares of the company.

How To Be Eligible For Cipla Dividend? Record date plays key role in deciding eligibility of shareholders for obtaining dividend income. Individuals whose name appear in company's shareholders record as on the record date will become eligible to earn dividend announced by the company. Record date is the particular day on which a company confirms the list of shareholders eligible for its dividend distribution. Cipla Ltd set Aug 2 as the record date for dividend.

Cipla Share Performance & Return: The 52-week high price of Cipla Ltd share on BSE is Rs 1599.00 per share (as on 26/07/2024) and 52-week low price is Rs 1106.40 per share (as on 27/07/2023), respectively. Cipla's PE is 31.26 and ROE of 14.58. Cipla shares gained over 6% in last 1-month, soared 48% in last 1-year, and jumped 65% in last 2-years. In last 3-years, Cipla shares rallied 66% and rose 196% in last 5-years. Cipla shares hit fresh 52-week high in trade today.

Disclaimer: The stock has been picked from the brokerage report of Motilal Oswal. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.