Shares of Page Industries Ltd. corrected over 3% from the highs of the day after the company reported its June quarter results.

The company declared an interim dividend of ₹300 per share, which is the highest that it has announced on record. This also surpassed the previous highest of ₹150 per share that it announced twice in February and November 2021.

Page Industries had previously declared dividends of ₹120 and ₹100 respectively earlier this year.

Record date for the ₹300 dividend payout has been fixed as August 17, 2024. The payout will be paid on our before September 6, 2024.

For the June quarter, Page Industries reported sales volume growth of 2.6% year-on-year, which was below the consensus estimates of analysts, which had pegged the figure at 6%.

Net profit for Page Industries increased by 4.3% from last year to ₹165.2 crore, while revenue grew by 3.9% from last year to ₹1,277.5 crore.

Page Industries’ Earnings Before Interest, Tax, Depreciation and Amortisation remained flat, registering a 2% year-on-year growth to ₹243.3 crore, while EBITDA margin narrowed by 300 basis points to 19.1% from 19.4% last year.

The efforts taken to enhance the inventory health of the distributors has improved business efficiency according to Page Industries Managing Director VS Ganesh.

“We remain optimistic about the resurgence of demand in the upcoming quarters and are well-prepared to capitalise on it,” he added.

The management further said that consumer confidence is rebounding and is leading to increased spending on clothing and accessories.

“The industry is poised for significant growth, driven by rising disposable incomes, rapid urbanization, and a young consumer base with a growing preference for branded products,” the management commentary added further.

Out of the 23 analysts that have coverage on Page Industries, nine of them have a “buy” rating, six say “hold”, while eight of them recommend “selling” the stock.

At the current price, Page Industries shares are trading at a one-year forward price-to-earnings multiple of 57.3 times, which is lower than the five-year average of 77.3 times.

Shares of Page Industries ended 1.6% lower on Thursday at ₹40,614. The stock is still up 5% so far in 2024.