Eicher Motors Dividend: 'Better Policy Going Forward'? Management Responds

The management of Eicher Motors has said that it has 'revisited' the Eicher Motors dividend policy and added that the board will continue 'looking at it'. The management was responding to a question during the group conference call to discuss financial results for the quarter ending September 2024.

During the Q2 FY 2025 Results call of Eicher Motors, the manufacturer of Royal Enfield motorcycles, the management was asked - "On the dividend policy, now we have a substantial chunk of the cash pile up and every year we are probably throwing up more than say (+5000) crore, in terms of broadly in free cash flow, et cetera. So, can we expect a better dividend policy going forward?"

In response, Vidhya Srinivasan, Chief Financial Officer of Eicher Motors said - "Our board has been very receptive to whatever investors are looking at, et cetera and we have kind of revisited our divided policy, and I am sure the board will continue to keep looking at it and seeing wherever steps need to be taken..."

Eicher Motors Dividend History

Eicher Motors paid a dividend of Rs 51 on August 7, 2024. Last year as well, the company paid a final dividend of Rs 37 in August 2023.

Eicher Motors Share Price Today

On Tuesday, the shares of Eicher Motors closed higher by 1.81 per cent. After opening at Rs 4899.30 apiece, the share touched a high of Rs 5012, before closing at Rs 4964.70 apiece. In the Q2 FY 2024-25 results announced earlier this month, Eicher Motors reported the best-ever Q2 revenue from operations at Rs 4,263 crores, as compared to ₹4,115 crores in the corresponding quarter of FY 2023-24. The company's Profit After Tax rose to Rs 1,100 crore, an increase of 8.3% as compared to Rs 1,016 crore during the corresponding period last year. During the quarter, Royal Enfield recorded sales of 2,25,317 motorcycles as compared to 2,29,496 motorcycles sold during the same period in FY 2023-24.