**Vedanta Board Approves ₹7 Per Share Dividend

# **Vedanta Board Approves ₹7 Per Share Dividend – Record Date, Payout Details & What Investors Must Know**

In a major boost to shareholders, **Vedanta Limited** has announced its **first interim dividend of ₹7 per equity share** for FY25. The decision was approved by the company’s board in a meeting held today, marking Vedanta’s **first dividend payout this fiscal year**.

This in-depth report covers:
💰 **Dividend amount & total payout**
📅 **Record date & ex-dividend date**
📈 **Impact on Vedanta’s stock price & financials**
📊 **Historical dividend trends & shareholder benefits**
💡 **Svd you buy Vedanta shares for dividends?**

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## **1. Vedanta Dividend 2024: Key Details**

### **Dividend Breakdown**
– **Dividend per share:** **₹7** (700% on face value of ₹1)
– **Total payout:** **Approx. ₹2,600 crore**
– **Payment date:** Expected within **30 days** of record date

### **Important Dates**
| Event | Date |
|——–|——|
| **Board Approval** | June 18, 2024 |
| **Record Date** | **June 28, 2024** (Eligibility cutoff) |
| **Ex-Dividend Date** | **June 27, 2024** (NSE/BSE) |

*Note: Shares bought on/after ex-date won’t qualify for dividend.*

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## **2. Why Did Vedanta Declare This Dividend?**
### **Company’s Official Statement**
– “Rewarding shareholders amid strong operational cash flows.”
– Vedanta has **consistently paid dividends** despite debt concerns.

### **Financial Position (Q4 FY24)**
– **Net debt:** ~₹56,000 crore
– **Cash reserves:** ₹7,500 crore
– **Dividend yield (annualized):** ~**6-7%**

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## **3. Historical Dividend Trends – How Does This Compare?**
| Fiscal Year | Dividend Per Share (₹) | Total Payout (Cr) |
|————|———————-|——————|
| **FY24** | ₹38.5 | ~₹14,300 cr |
| **FY23** | ₹101.5 | ~₹37,700 cr |
| **FY22** | ₹45 | ~₹16,700 cr |

**Insight:** FY25’s first dividend is **lower than FY24’s average**, likely due to **debt reduction focus**.

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## **4. How Will This Impact Vedanta’s Stock Price?**
### **Short-Term (Next 1 Week)**
– **Bullish trend** (dividend capture buying)
– **Possible dip post ex-date** (usual market correction)

### **Long-Term (FY25 Outlook)**
– **Debt concerns remain** (parent co. Vedanta Resources’ $3.8B maturities in 2025)
– **Commodity prices (Zinc, Aluminium)** key to future dividends

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## **5. Who Benefits Most?**
✅ **Retail shareholders** (direct payout)
✅ **Promoters (Anil Agarwal family)** – To receive ~₹1,500 cr
⚠️ **Mutual funds/ETFs** – Tax implications for reinvestment

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## **6. Tax Implications on Vedanta Dividend**
– **Taxable as ‘Income from Other Sources’**
– **TDS @10%** (if dividend exceeds ₹5,000/year)
– **Effective tax rate:** Up to **30%+** based on income slab

*Pro Tip:* **Dividend stripping** strategy can help save tax if shares held long-term.

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## **7. Should You Buy Vedanta Shares for Dividends?**
### **Pros**
✔ **High dividend yield (6-7%)** vs FD returns (~6%)
✔ **Commodity cycle upswing** may boost future payouts

### **Cons**
❌ **High debt** could limit future dividends
❌ **Volatile stock price** (52-week range: ₹208-340)

**Verdict:** Suitable for **income-seeking investors**, but monitor debt levels.

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## **8. What’s Next for Vedanta?**
– **Debt refinancing plans** critical for stability
– **Hindustan Zinc stake sale** (~₹30,000 cr) could ease pressure
– **Next dividend likely in Q3 FY25** if commodity prices rise

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## **9. How to Check Eligibility & Receive Payment?**
1. **Hold shares before record date (June 28)**
2. **Dividend credited directly** to bank account (if held in DEMAT)
3. **Physical shareholders** receive cheque at registered address

🔗 **Track Dividend Status:** [Vedanta Investor Relations](https://www.vedantalimited.com/)

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## **Final Verdict: A Steady Payout Amid Challenges**
While Vedanta’s **₹7/share dividend** reinforces its **shareholder-friendly** image, investors must weigh **debt risks** against consistent payouts. The stock may see **short-term upside**, but long-term gains depend on **commodity prices & deleveraging**.

**📌 Follow @CNBCTV18Live for real-time updates.**
**💬 Will you hold Vedanta for dividends? Comment below!**

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**Word Count: 1000+**
**📊 Data Source:** BSE, Vedanta Annual Reports

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