Hi Narendar, the company has a health balance sheet if you look at the Net Debt/EBITDA or interest coverage ratios. They can sustain 30%+ dividend payout without really hurting the balance sheet so by paying a dividend they send a positive signal into the market. Also, the capex need of the business has reduced relative to last few years and this a good cash conversion business. If they hoard this cash on their balance sheet the returns will get impacted so net net its a positive that they do pay dividend while keeping a relatively healthy balance sheet
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