MRF announces interim dividend as Q2 net profit drops 28 percent

MRF Limited has declared an interim dividend of three rupees per equity share for the financial year ending March 31, 2027. This payout equals 30 percent on the face value of ten rupees per share.

Dividend Schedule

The company set Tuesday, November 17, 2026, as the record date to check which shareholders can get the interim dividend. The payout will reach eligible accounts on or after December 1, 2026.

Quarterly Earnings

The dividend news came alongside the July-September quarter results. Net profit fell 28 percent compared to the same period last year, dropping to 369 crore rupees from 512 crore rupees. Total revenue from operations grew nearly 18 percent to 8,524 crore rupees, up from 7,250 crore rupees. Total expenses jumped by more than 22 percent because of higher material costs linked to the war in West Asia. EBITDA fell to 522 crore rupees from 700 crore rupees, and earnings per share dropped to 912 rupees from 1,243 rupees.

Market Details

Tyre demand stayed strong during the quarter with steady dispatches from automakers. High natural rubber prices caused by supply shortages and bad weather in key producing countries forced companies to raise prices. MRF shares closed 1.3 percent lower at 1,25,070.85 rupees. Over the past year, the stock fell 21 percent, hitting a 52-week low of 1,15,333.30 rupees in October 2026 and a high of 1,25,070.85 rupees in November 2025.

Context

Companies often declare interim dividends to reward shareholders even when quarterly profits face pressure from rising production costs. Rubber price shifts and global supply issues regularly impact the profit margins of major tyre manufacturers.