Indo Borax declares ₹128 cr dividend — well above net profit — funded by asset sales
A 4000% payout on top of 19% profit growth signals a special capital return for micro-cap investors.
— 1 earlier story on Indo Borax & Chemicals Ltd. →What's new
- Revenue up 23% to ₹215.45 cr, net profit up 19% to ₹49.74 cr for FY26.
- Q4 revenue surged 54% sequentially to ₹63.01 cr.
- Board declared ₹40/share dividend (₹10 final + ₹30 special), a 4000% payout totalling ₹128.36 cr, funded largely by ₹62.05 cr asset sales.
Why this matters
A micro-cap paying a dividend well above its net profit is a rare capital-allocation event. The special payout appears to be a return of asset-sale proceeds, not recurring earnings – investors should treat it as one-off, not a new policy.
What we're watching
- Whether the asset-sales continue or this was a clean-up exit.
- Q1 FY27 revenue trajectory after the strong Q4.
- Any guidance on dividend policy for FY27.
The full read
Indo Borax & Chemicals closed FY26 with revenue of ₹215.45 crore, up 23%, and net profit of ₹49.74 crore, up 19%. But the headline is the Board's dividend: ₹40 per share (₹10 final + ₹30 special), totalling ₹128.36 crore — a 4000% payout that far exceeds the year's earnings. The company funded it largely through ₹62.05 crore in asset sales, turning the dividend into a capital return rather than a recurring yield play. Q4 revenue jumped 54% sequentially to ₹63.01 crore, but the capital-allocation story dominates: for a micro-cap, paying more than double its net profit in dividends is unusual, and investors should read the special component as a one-time event tied to asset monetisation.
Story so far
All notes on INDOBORAX →- Today · 2:33 PM IST Indo Borax declares ₹128 cr dividend — well above net profit — funded by asset sales
- 3d ago Indo Borax caps FY26 with ₹40/share total dividend