Hind Zinc rallies 8%; board to consider interim dividend for FY24 on July 8

The record date for the eligibility of interim dividend payment, if any, will be Saturday July 15, 2023, Hindustan Zinc said in a filing

Shares of Hindustan Zinc (Hind Zinc) surged 8 per cent to an intra-day high of Rs 336 apiece on the BSE after the Vedanta group company said it will consider an interim dividend payment for financial year 2023-24 (FY24). With this, the stock is on its way to reclaim its 52 week high of Rs 383 hit on January 1 this year. 

In a filing late Wednesday, the company said its board of directors will hold a meeting on Saturday, July 08, to consider an interim dividend for FY24. 

The record date for the eligibility of interim dividend payment, if any, will be Saturday July 15, 2023, it said.

In its June quarter (Q1) production released Monday, the company posted its highest ever mined metal production at 257,000 tonne, up 2 per cent YoY on account of higher ore production largely at Rampura Agucha & Kayad mines supported by improved mined metal grades and better mill recovery. 

However, on a sequential basis, mined metal production was down 15 per cent due to the mine preparation activities carried out every year in the first quarter. 

Refined metal production came in at 260,000 tonne, lower by 4 per cent QoQ in line with plant availability. Integrated zinc production was 1 per cent up YoY to 209,000 tonne, but down 3 per cent QoQ. 

Refined lead production was down 6 per cent on both YoY and QoQ basis to 51,000 tonne. Saleable silver production was 5.8 moz, up 1 per cent YoY and down 2 per cent QoQ, in line with lead metal production and higher WIP depletion, it said. 

Promoter Vedanta group holds 64.92 per cent equity share of Hind Zinc, which is an integrated producer of zinc, lead and silver. The government is seeking to sell its residual 29.54 per cent stake in the company, though the process has been in a limbo due to the government’s opposition to Vedanta's planned sale of global zinc assets to the erstwhile PSU

A report by PTI last month said that the Vedanta proposal expired in June and the government was looking to move ahead with the divestment plan with a likely beginning of international roadshows for the same. 

The Department of Investment and Public Asset Management (DIPAM) is looking at expediting an offer-for-sale, it said.