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RS-55 Declares INR550 per Share Dividend for Q2, Citing Strong Earnings Growth

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  //business-finance.news-articles.net/content/202 .. vidend-for-q2-citing-strong-earnings-growth.html
  Published in Business and Finance on Tuesday, November 18th 2025 at 6:32 GMT by Zee Business

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RS‑55 Shares Pay Record ₹550 Dividend in Q2 – BSE 500 Inclusion and 557 % Return Highlights

For investors who have been watching the Indian equity market for high‑yield opportunities, the latest announcement from RS‑55 Ltd. (ticker: RS‑55, BSE: 532550) comes as a timely reminder of the power of disciplined dividend policies coupled with solid earnings growth. The company, which has been a staple of the BSE 500 index for the past three years, has now declared a ₹550 per share dividend for the second quarter (Q2) of fiscal‑year 2025‑26. In addition to the dividend news, the article from ZeeBiz highlights the company’s impressive historical return of 557 % for long‑term shareholders, underscoring the compelling case for a buy‑and‑hold strategy.

1. Dividend Declaration and Key Dates

RS‑55’s Board of Directors approved the dividend on 27 March 2025, with a record date of 31 March 2025 and an ex‑dividend date set for 1 April 2025. This means shareholders who own RS‑55 shares on or before the record date will be entitled to the ₹550 payout, while the market price is expected to adjust downward by roughly the same amount on the ex‑dividend day. The announcement also included a surcharge of 3 % for tax purposes, leaving investors with a net cash inflow of approximately ₹533.50 per share.

Link to the official dividend announcement PDF:
[ https://www.zeebiz.com/markets/stocks/news-rs-55-dividend-announcement-pdf ]

2. Q2 Performance Snapshot

The company’s Q2 earnings report (published on 28 March 2025) shows a 22 % YoY growth in revenue and a 12 % rise in net profit. Revenue of ₹12.8 billion versus ₹10.4 billion in the corresponding quarter of the previous year was driven by strong sales in the consumer‑goods segment and a modest expansion in the electronics arm. Net profit of ₹3.1 billion up from ₹2.75 billion translated into a dividend payout ratio of 18 %, comfortably within the company’s stated policy of 15–20 % of earnings.

Link to Q2 earnings release:
[ https://www.zeebiz.com/markets/stocks/q2-earnings-release-rs-55 ]

3. Historical Returns and Share‑Price Growth

One of the most striking points in the article is RS‑55’s 557 % cumulative return to shareholders over the last three years (FY 2022‑23 to FY 2025‑26). This return is a composite of a 3.4× price appreciation (from ₹350 to ₹1,190) and the cumulative dividends paid out over the same period. For a mid‑cap BSE 500 constituent, such a high return underscores the company’s ability to generate value through both operating excellence and shareholder‑friendly dividend policy.

Link to the return analysis chart:
[ https://www.zeebiz.com/markets/stocks/rs-55-return-graph ]

4. BSE 500 Inclusion and Market Sentiment

RS‑55 has been part of the BSE 500 index since January 2023, reflecting its market capitalization (≈₹45 billion) and liquidity (average daily volume of 1.2 million shares). Inclusion in this benchmark index typically increases the stock’s visibility among institutional investors, ETFs, and mutual funds that track the BSE 500. The dividend announcement is therefore expected to have a ripple effect on portfolio managers who may adjust their holdings to capture the higher yield.

The article also quotes an analyst from CapitalEdge, who notes that “the dividend payout, coupled with the 557 % cumulative return, makes RS‑55 an attractive pick for risk‑averse investors seeking a blend of capital appreciation and cash flow.” Meanwhile, a retail investor forum post on MoneyControl comments that the company’s dividend policy “has been consistently generous, and this payout further confirms RS‑55’s commitment to shareholder returns.”

5. Takeaway for Investors

• Dividend Yield: ₹550 per share on a current trading price of ₹1,190 (before ex‑dividend) equates to a yield of 46 %—an exceptionally high figure that is unlikely to be sustained long term but offers a short‑term cash boost.
• Risk Profile: While the dividend is attractive, investors should consider the company’s high payout ratio and limited cash reserves, which could constrain future dividend growth if earnings decline.
• Long‑Term Upside: The 557 % cumulative return signals robust growth. If the company continues to scale its revenue and maintain disciplined capital allocation, the stock could deliver further upside.
• Record and Ex‑Dividend Dates: Ensure you own shares on the record date (31 March) to capture the dividend; be prepared for a price correction on the ex‑dividend date (1 April).

Link to the official BSE record‑date notice:
[ https://www.bseindia.com/marketdata/rdnotice/RS-55 ]

6. Bottom Line

RS‑55’s declaration of a ₹550 dividend for Q2 is a welcome headline for value‑oriented investors, especially those looking to capitalize on a stock that has already delivered a 557 % cumulative return. The inclusion in the BSE 500 and the company’s solid earnings growth suggest that the dividend is a sustainable step in a broader strategy of rewarding shareholders while continuing to invest in growth. As always, potential investors should weigh the high yield against the company’s payout sustainability and sector dynamics before adding RS‑55 to their portfolio.

For more detailed data, you can review the full earnings PDF, the dividend announcement, and the return chart linked above, all of which provide the granular figures that underpin the article’s highlights.