How Many Companies Have Distributed Dividend for FY 2077/78 As of Now? Summary of All Sectors With Exact Dividend Figure

Companies listed in NEPSE have already started to declare the dividend for the fiscal year 2077/78.

Commercial Banks

21 out of the 26 commercial banks have already proposed the dividend for the fiscal year 2077/78. Nabil Bank has proposed the highest dividend, i.e. 38%. As of now, Sunrise Bank has paid the least, i.e. 7%.

The book closure date for dividends of five of these companies has already elapsed, meaning investors won’t be able to claim the dividend of these companies. Meanwhile, other banks have yet to declare their book closure dates, and investors can buy the shares of these companies anytime before the book closure date to be eligible for the dividend.

Note for Beginners: You can buy the shares of a company after it has proposed its dividend and still be eligible to get the dividend. In other words, you do not have to invest in the company for one whole fiscal year, which is a misconception among amateur investors.

The book closure date is simply the date on which the company closes its books for the dividend. Investors can still buy the shares after that date but they won’t get the dividend. To get the dividend of the company, you must buy the shares before the book closure date and you must not sell those shares till the book closure date. For example, investors can buy the shares of a company on the last day before its book closure date and still be entitled to the dividend. The investor remains eligible even if they sell the shares at the book closure date.

Development Banks

Similarly, 5 of the total 16 development banks listed in NEPSE have declared the dividend for the fiscal year 2077/78. The book closure dates of two of them have already elapsed. As of now, Kamana Sewa Bikas Bank Limited (KSBBL) has paid the highest 19.47% and Shangrila Development Bank Limited (SADBL) has paid the least 10.5263%.

Microfinance Companies

28 microfinance companies listed in NEPSE have declared the dividend for the fiscal year 2077/78. A total of 50 microfinance companies are listed. Mahila Laghubitta Bittiya Sanstha Limited (MLBSL) has paid the highest dividend, i.e. 50%, and that too, a whopping 47.5% in bonus shares.

Hydropower

Meanwhile, 9 hydropower companies have declared the dividend. 43 hydropower companies are listed. As of now, Ngadi Group Power Limited has paid the highest, i.e. 21.05%. The book closure date of all 9 hydropower companies has elapsed.

Mutual Funds

21 mutual funds have also unveiled the dividend. Global IME Samunnat Scheme 1 (GIMES1) proposed the highest (100% cash dividend) for the fiscal year. It is also the only mutual fund scheme that hasn’t declared a book closure date yet, among others that declared their respective dividend. The book closure date of all other funds among the 21 funds has elapsed. Meanwhile, 3 mutual funds have yet to unveil their dividend.

Other Sectors

For the fiscal year 2077/78, only ICFC Finance Limited has proposed a 14% dividend from the Finance sector. The company has proposed 10% bonus shares and 4% cash dividends. It hasn’t declared a book closure date yet.

In the same way, two companies from the Investment sector and three from the Manufacturing sector have unveiled their dividend. There are 5 companies in the Investment sector and 7 in the Manufacturing sector.

In contrast, no companies from the Insurance sector or the Trading sector have unveiled the dividend for the fiscal year 2077/78. 12 Life Insurance companies, 18 Non-Life Insurance companies, and 2 Trading companies are listed in NEPSE.

Disclaimer: This article is intended to keep investors updated about the dividends declared by companies till now. It can be used to compare the trend of dividend proposals among companies and sectors. However, it should be noted that the dividend amount isn’t the only valuation metric, and depending on it solely may result in speculation errors. As mentioned in this article, higher dividend-paying stocks may already have a higher market price (hence reducing the profitability of buying).

Additionally, it is not owning more of something that has little value. Investors in NEPSE are overly attracted to bonus shares distribution, almost as if that is all that matters. As the legendary investor Mark Cuban puts it, a small stake in a watermelon is more than 100% of a grape.