Britannia Industries Dividend Yield Performance Review

Britannia Industries has been consistently paying dividends to its shareholders since 1942.

The company has a long history of rewarding its investors with a steady stream of dividends.

With a dividend yield of around 2.5%, Britannia Industries offers a relatively stable source of income for its shareholders.

In the past five years, the company has increased its dividend payout by around 12% annually, making it an attractive option for income-seeking investors.

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Dividend yield is a crucial metric for investors to gauge the attractiveness of a dividend-paying stock like Britannia Industries.

In the case of Britannia Industries, the dividend yield has fluctuated over the years, with a notable decline in 2022. The dividend yield was 1.76% in March 2022, a significant drop from the previous year.

Here's a brief overview of the dividend yield trend for Britannia Industries:

The dividend yield was even higher in 2021, reaching 4.34% in March of that year, but it declined significantly in 2022.

Let's take a look at the latest yield ratio of BRITANNIA INDUSTRIES.

The dividend yield of BRITANNIA INDUSTRIES has been trending downwards, with a -10.18% change from Mar2024 to Mar2023.

In comparison to its peers, BRITANNIA INDUSTRIES has a lower market capitalization of ₹116,972.6 Cr, which might be a contributing factor to its lower dividend yield.

Here's a comparison of the dividend yield of BRITANNIA INDUSTRIES with its peers:

BRITANNIA INDUSTRIES' dividend yield of 1.5% is higher than the bottom 25% of dividend payers in the Indian market, but lower than the top 25%.

Earnings Payout is a crucial aspect of understanding Yield.

Earnings Coverage: A company's payout ratio is a strong indicator of its ability to sustain dividend payments. At its current payout ratio of 82.7%, BRITANNIA's payments are covered by earnings.

Discover more: Current Pe Ratio of Market

Britannia Industries has shown a steady increase in net sales over the years, with a 7.7% Y-o-Y growth in December 2024, and a 7.9% Y-o-Y growth in Consolidated December 2024.

The company's standalone net sales for September 2024 were Rs 4,500.84 crore, up 4.94% Y-o-Y, while its consolidated net sales for the same period were Rs 4,667.57 crore, up 5.29% Y-o-Y.

In Q3, Britannia Industries' profit may slip on a high base, as volume growth moderates due to muted consumption.

Here are some key performance indicators for Britannia Industries:

Britannia Industries' Q3 preview suggests that net profit may rise 2% due to volumes growing in low single-digit, but this growth may be impacted by a high base.

Britannia Industries has a market capitalization of ₹116,972.6 Cr, which is significantly lower than its peers like NESTLE INDIA at ₹213,975.0 Cr and VARUN BEVERAGES at ₹188,333.0 Cr.

The company's 1-year return is -6.4%, which is higher than MARICO's 23% but lower than JUBILANT FOODWORKS' 29.5%.

Here's a comparison of Britannia Industries and its peers in terms of their market capitalization and returns:

By looking at the returns and market capitalization of these companies, we can get an idea of how they compare to each other and to Britannia Industries.

Growing dividend payments have increased over the past 10 years, indicating a stable and growing trend.

Britannia's dividend payments have been consistently increasing, showing a strong commitment to shareholder returns.

This is a positive sign for investors, as it suggests that the company is generating sufficient cash to reward shareholders while still investing in its business.

BRITANNIA's dividend payments have increased over the past 10 years. This stability in dividend growth can provide investors with a sense of security.

Growing dividend payments can also indicate a company's financial health. BRITANNIA's consistent dividend growth suggests a strong foundation.

Consistent dividend payments can be a sign of a company's ability to generate steady cash flow. BRITANNIA's history of increasing dividend payments is a testament to this.

Investors often look for companies with a history of stable dividend payments. BRITANNIA's 10-year track record of growing dividend payments makes it an attractive option.

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Britannia Industries has consistently shown a basic EPS (Earnings Per Share) of over 60 rupees per share, with a high of 88.82 rupees in 2023.

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The company's diluted EPS has been relatively stable, ranging from 61.73 to 88.82 rupees per share.

The cash EPS has been higher than the basic EPS, indicating a strong cash position. In 2024, the cash EPS was 97.69 rupees per share.

Britannia Industries' book value per share has been increasing over the years, with a high of 177.74 rupees in 2021.

The company has been paying a dividend of over 50 rupees per share, with a high of 157.50 rupees in 2021.

Here's a breakdown of the key financial ratios of Britannia Industries:

Britannia Industries has a strong return on net worth (RONW) of over 50%, indicating a high profitability. In 2024, the RONW was 59.02%.

The company's return on capital employed (ROCE) has been relatively stable, ranging from 38.79 to 66.91%.

Britannia Industries is a dividend paying company.

The current dividend yield is 1.51%.

This yield is well covered by earnings.

Britannia Industries has a 4 out of 6 in dividend criteria checks.