NTPC Dividend History

ntpc dividend history

National Thermal Power Corporation Limited(NTPC), is an Indian statutory corporation that was founded on 7 November 1975. NTPC’s headquarter is in New Delhi, India.

The key services offered by NTPC are Electricity generation and distribution natural gas exploration, production, transportation, and distribution.

A dividend is a small form of payment given out of the profits to shareholders of a company as a form of gratitude. They are nowadays considered an important test to see the company’s strength and determine the enterprise as a stable corporation. 

They have even become a form of secondary income for investors that want a maximum return from their portfolio. This article will cover everything you need to know about dividends before buying shares of a company.

NTPC Dividend History

Announcement DateDividend (Rs)Dividend TypeDividend (%)Ex-Date
June 21, 20213.15Final31.5September 8, 2021
January 27, 20213Interim30February 11, 2021
July 2, 20202.65Final26.5August 13, 2020
March 12, 20200.5Interim5March 26, 2020
May 27, 20192.5Final25August 13, 2019
January 18, 20193.58Interim35.8February 6, 2019
May 28, 20182.39Final23.9September 6, 2018
January 19, 20182.73Interim27.3February 7, 2018
June 1, 20172.17Final21.7September 7, 2017
January 31, 20172.61Interim26.1February 15, 2017
May 31, 20161.75Final17.5September 8, 2016
January 18, 20161.6Interim16February 5, 2016
May 29, 20151.75Final17.5September 3, 2015
January 20, 20150.75Interim7.5February 4, 2015
May 15, 20141.75Final17.5August 13, 2014
January 17, 20144Interim40January 31, 2014
May 10, 20132Final20September 5, 2013
February 18, 20133.75Interim37.5March 1, 2013
May 10, 20120.5Final5September 6, 2012
January 12, 20123.5Interim35January 31, 2012
May 10, 20110.8Final8September 8, 2011
January 18, 20113Interim30February 4, 2011
May 17, 20100.8Final8September 8, 2010
February 26, 20103Interim30March 18, 2010
May 22, 20090.8Final8September 3, 2009
January 14, 20092.8Interim28January 29, 2009
May 29, 20080.8Final8August 28, 2008
January 16, 20082.7Interim27February 4, 2008
May 30, 20070.8Final8August 30, 2007
January 19, 20072.4Interim24February 2, 2007
May 31, 20060.8Final8August 30, 2006
January 30, 20062Interim20February 13, 2006
June 13, 20051.2Final12September 8, 2005
February 14, 20051.2Interim12February 25, 2005

The First time NTPC gave dividends was on February 14, 2005, of Rs. 1.2. For the last 10 years, NTPC is given dividends every year. NTPC has a good track record of giving dividends.

Is Dividend Good for the Company?

Yes, a dividend is good for the company because it makes it more attractive to the shareholders. The return of profits can be seen as a thank you note for the investors to trust the company. Dividends are a strong sign that the company’s balance sheet is strong and positive. 

Companies that pay dividends with consistent returns tend to be highly valued stocks with high market share rates. High stock price means larger market capitalization, and the company has a larger credit score to take on debt.

Who is Eligible for a Dividend?

Any shareholder owns a company’s stock for more than one business day before the ex-date dividends are paid out.

How do Dividends Get Paid?

Dividends are paid to the shareholder through a cheque that the shareholder can encash. A shareholder can also apply to receive the dividends in the form of additional company stocks. The stock-based Dividend is called a DRIP (Dividend Return Investment Plans) and is considered an additional investment. 

Why do Companies not Pay Dividends?

Small companies or startups do not pay dividends to their shareholders because they tend to be growing firms. They need many investments to fuel the expansion and become bigger as a company. Only highly well-established companies with no need for investment for future expansion tend to pay dividends.

What is the Dividend Announcement Date?

The company management comes together to announce when the company will pay dividends to the shareholders. The data then has to be approved by the shareholders before encashing their dividend cheques.

Types of Dividend

There are three types of Dividends that shareholders can receive-

  • Cash Dividends: You can receive these in the electronic transfer or the form of a cheque.
  • Property Dividends: A shareholder can receive one of the company’s assets as a form of property dividends.
  • Stock Dividends: These are additional stocks issued to the shareholder as a form of dividend return.

What is the Ex-Date of the Dividend?

The ex-date of the Dividend refers to the specific date before which a new shareholder must apply for a Dividend. If the shareholder buys the stock on the day or the ex-date of the Dividend, the seller will get a dividend. It is essentially a deadline for the new shareholders to come on board to get a dividend.