Bharat Heavy Electricals Limited (BHEL) has proposed an equity dividend of 79% (including 40% interim dividend paid earlier) for fiscal 2016-17. Significantly, not only is this four times the dividend paid (20%) in the previous year but also the highest dividend to be paid by the company in the last three years. With this, the company has maintained its impeccable track record of rewarding investors by paying dividends uninterruptedly for four decades without a break.
Notably, in fiscal 2016-17, BHEL has achieved double digit growth in its topline and bounced back into profit. During the year, BHEL recorded a turnover of Rs.28,840 Crore, up 11% over the previous year – after reversing the trend of negative topline growth prevailing for the last three years.
The company also returned to profitability with a Profit Before Tax (PBT) of Rs.628 Crore, compared to a loss of Rs.1164 Crore (IND-AS restated) in the last fiscal. Net Profit (PAT) stood at Rs.496 Crore, against a net loss of Rs.710 Crore (IND-AS restated) in the previous year.