Vedanta Shares Rise 2% on Second Interim Dividend Announcement for FY26

On Tuesday, the Vedanta shares rose by 2.41 percent from the previous closing price of Rs 438.20 on NSE after the company announced that its Board of Directors will be meeting on August 21, 2025, to consider the declaration of a second interim dividend for the financial year 2025-26. The record date for determining shareholder entitlement to this upcoming dividend has been set as August 27, 2025. Vedanta’s consistent and high dividend payouts have made it one of the top-yielding stocks in India, which stands out for its robust annual dividends and regular interim distributions. At the current share price of around Rs 448, Vedanta’s dividend yield remains one of the highest among large-cap Indian corporates, around 9.78 percent as per sources.

In the last financial year (FY25) and the current financial year (FY26), Vedanta has maintained its track record of rewarding shareholders through frequent dividend payments. Specifically, the last five dividend payouts, including the current and previous fiscal years, are as follows: Rs 7 per share (June 24, 2025, for FY26), Rs 8.50 per share (December 24, 2024, FY25), Rs 20 per share (September 10, 2024, FY25), Rs 4 per share (August 2, 2024, FY25), and Rs 11 per share (May 24, 2024, FY25). Summing up its payouts, Vedanta distributed approximately Rs 43.5 per share to shareholders during FY25. These payouts exceed the payout frequency of its peers.

Vedanta’s commitment to shareholder returns is further underscored by its significant aggregate dividend payments in recent periods. From an operational standpoint, Vedanta’s Q1FY26 financial performance reflected continued resilience. Consolidated revenue rose by nearly 6 percent year-on-year and stood at Rs 37,824 crore, driven by increased production scale and pricing tailwinds in key segments. The company registered a profit after tax (PAT) of Rs 4,457 crore, while EBITDA came in at a record Rs 10,746 crore, the highest in any Q1 period for Vedanta, which signifies strong underlying margins and cost optimisation benefits. The EBITDA margin for the quarter expanded to 35 percent, up 81 basis points year-on-year, while the net debt to EBITDA ratio improved to 1.3x versus the previous year’s 1.5x. Operational highlights from Q1 included all-time high alumina production at the Lanjigarh refinery and record mined metal output at Hindustan Zinc.

On the strategic front, Vedanta has outlined bold capex ambitions for FY26, reflecting its intent to support future growth and maintain leadership across core verticals. The group plans to invest around $1.5 to $1.7 billion in growth capex during the year, underpinning projects in aluminium, zinc, and oil and gas, with a sharp focus on scaling production and unlocking cost efficiencies. Simultaneously, Vedanta remains committed to aggressive deleveraging, targeting a further reduction of $0.6 billion in net debt for FY26, reinforcing the group’s balance sheet strength and financial flexibility.