Shares of this state-run financier are just 7% away from 52-week high after today’s upmove

IRFC share price, IRFC Q4 results: Shares of state-run Indian Railways Finance Corporation (IRFC) in Tuesday’s morning deals have zoomed as much as 4.5 per cent to day’s high price of Rs 181 per share on the BSE. The spurt in the stock comes following the company’s announcement of its Q4 earnings and dividend on the previous day.

Post today’s spike, the stock is just 6.5 per cent away from its 52-week high price of Rs 192.8 per share.

For the March quarter, the company reported a 34 per cent increase in its profit to Rs 1,717.3 crore on account of higher income. It had clocked a profit of Rs 1,285.2 crore during the fourth quarter of the last fiscal, the state-owned company said in a regulatory filing.

The company's total income rose to Rs 6,477.9 crore in the January-March quarter. During the period under review, its expenses stood at Rs 4,760.6 crore as against Rs 4,945 crore a year ago.

IRFC’s dividend for FY24

Alongside, the company’s board approved a final dividend to the tune of 70 paise per share for the financial year 2024. Earlier before, the company announced an interim dividend of 80 paise for which the stock turned ex-dividend on November 10 last year.

The final dividend for the financial year 2023-24 of Rs 0.7 per share, if declared at the ensuing AGM, will be paid to the shareholders within 30 days from the date of the AGM, said the company’s stock exchange filing.

As per the Trendlyne data since February 17, 2021, the company has declared a total of six dividends (with the latest one not being included). 

Since the Government of India holds the largest  majority stake in the state-run financier to the tune of 86.36 per cent, based on the number of outstanding shares it will fetch a handsome dividend pay-out of Rs 790 crore.

IRFC’s market borrowing programme for FY25

The board of directors also approved the raising of resources for the financial year 2024-25 up to Rs 50,000 crore from both domestic and international markets. It will be raised "through a prudent mix of tax-free bonds, taxable bonds on private placement or public issue basis", including capital gain bonds, government-guaranteed bonds, and government serviced bonds.

IRFC's share price performance

The railway stock has given a stupendous return of 431 per cent in the last one year, while its 1-month return is over 26 per cent.