After declaring 250% interim dividend, specialty chemical stock trades ex-dividend today

“The board has declared an Interim Dividend of ₹5/- (INR Five only) per equity share of the face value of ₹2/- each (i.e. 250% of the face value) for the Financial Year 2022- 2023,” the company said while announcing its second quarter earnings for the current fiscal or Q2 FY23. 

Further, the company has fixed Friday, November 4, 2022 as the Record Date for ascertaining eligibility for the payment of Interim Dividend declared by the Board for the Financial Year 2022-2023. The Interim Dividend will be paid on or after Thursday, November 17, 2022, it added.

On a consolidated basis, Navin Fluorine reported 9% fall in its net profit to ₹57.8 crore during the second quarter as compared to ₹63 crore in the year ago quarter. Meanwhile, itsnet revenue from operations came at ₹419 crore compared to ₹339 crore, representing a year-on-year (YoY) growth of 24%.

“We came out positive from the recent management meeting with Navin Fluorine International Ltd (NFIL), wherein the major discussion revolved around the company’s medium to long-term growth prospects, BU-wise growth visibility, new avenues of growth, capex outlook and capital allocation strategy etc,” said Nirmal Bang in a note on Navin Fluorine’s Q2 results’ review.

The management has maintained that pipeline for CY23 is extremely strong for the CDMO business and should start getting reflected from 4Q FY23, it highlighted.

“Most importantly, around $100 mn CDMO revenue visibility by FY25-end remains unchanged. The share of fluorine-containing small molecules in the innovators’ pipeline is significantly higher at ~45% (vis-àvis 29% share in the novel drug approvals). We believe that NFIL is dealing with 7-8 of these innovators (either directly or indirectly), and a large part of the incremental business can come from existing clients,” the brokerage said.

The specialty chemical stock is up about 7% in 2022 (YTD) so far.